Adani Power is planning to set up a 1 GW solar power project in Tamil Nadu state of India.
The company is aiming for 3 GW of installed capacity by the end of this year, with an addition of 1 GW capacity every year.
Once operational, the 1 GW solar power capacity is expected to generate over 1.6 billion kWh of electricity every year, offsetting around 1.5 million tons of CO2e.
Right now, Adani is in talks with state government officials concerning the project, the main issue being land required and the tariff rates.
As per the existing regulations in Tamil Nadu, projects commissioned by the end of Q3 2015 will be entitled to a tariff of around $0.11 per kWh which will fall to around $0.09 per kWh.
Tamil Nadu operates a great majority of wind energy projects in India.
Earlier this year, Adani signed an agreement with the state government of Rajasthan to set up 10 GW of solar power capacity over the next few years. The first leg of this program will see 5 GW capacity installed.
Adani Enterprises will also set up solar power projects of 5000 MW on its own as part of the solar park.
Besides development of solar park, Adani Group also plans to develop solar manufacturing units and power evacuation system in the state.
In all Adani Group proposes to make investment worth Rs.40, 000 crore in the state on these projects.
“India has embarked on an ambitious program to become a world leader in power generation from renewable technologies, and sees solar as a key part in realizing that goal,” said, Vneet S Jaain, CEO, Adani Power.
To back these large-scale capacity addition plans, Adani Power signed an agreement with SunEdison to set up India’s largest solar panels manufacturing facility in Gujarat. The facility would require an investment of about $4 billion.