The Government of Gujarat has announced the allocation of 479 MW of solar projects to various developers under the Pradhan Mantri Kisan Urja Suraksha Evam Uthan Mahabhiyaan (PM KUSUM) program. These projects, tendered for feeder-level solarization under Component C of the PM KUSUM program, are expected to become operational by the end of 2024. This initiative aims to enhance the usage of solar power in agricultural sectors, reduce dependency on traditional power sources, and promote sustainable energy practices.
The successful bidders for these projects include prominent companies such as Onix Renewable, Indian Infrastructure and Project India, WAA Solar, Raghuvir Avenues, and GreenBloom Energy, among others. The quoted tariffs for these projects ranged from Rs 2.87/kWh to Rs 3.00/kWh, demonstrating competitive pricing that will benefit both the developers and the consumers. Detailed information regarding the tariffs and capacities allocated to each winner is provided in the table titled ‘List of Winners of Solar Projects Under PGVCL’s Tender (Component C of KUSUM Program).’
These solar projects will be distributed across 170 locations in Gujarat, facilitating widespread adoption of solar energy in the agricultural sector. Power purchase agreements (PPAs) have been signed with the state electricity distribution company, Paschim Gujarat Vij, ensuring a stable market for the generated solar power.
Under the PM KUSUM program, agricultural feeders that are either already segregated or primarily support agricultural loads can be solarized by installing grid-connected solar projects to meet their annual power needs. The program assesses the total annual power requirements for an agricultural feeder and install a solar project of sufficient capacity through either the CAPEX (capital expenditure) or RESCO (Renewable Energy Service Company) mode.
Solar power projects can be installed at the feeder level to meet the power needs of a single feeder or multiple agricultural feeders from a distribution substation. These projects will provide power at 11 KV or higher voltage, depending on land availability and technical feasibility. The installation of these projects will ensure reliable and sustainable power supply for agricultural activities, reducing the dependence on conventional energy sources and enhancing energy security.
The cost of a solar project is benchmarked at Rs 35 million/MW, with central financial assistance (CFA) of Rs 10.5 million/MW. This financial support from the central government significantly reduces the burden on the developers, making it a lucrative investment and encouraging more participation in future tenders.
This initiative aligns with Gujarat’s vision of becoming a leader in renewable energy adoption, contributing to India’s broader goals of increasing renewable energy capacity and reducing carbon emissions. The successful implementation of these projects will not only provide a reliable power source for the agricultural sector but also create job opportunities and contribute to the economic development of the state.
