Study Material | Test Series
Drishti IAS
call1800-121-6260 / 011-47532596
Drishti The Vision Foundation
(A unit of VDK Eduventures Pvt. Ltd.)
Setting up of 15,000 MW of Grid-connected Solar PV Power Plants
Mar 04, 2015

The Union Cabinet gave its approval for the implementation of the scheme for setting up of 15,000 Mw of Grid-connected Solar PV Power projects under the National Solar Mission through NTPC/NTPC Vidyut Vyapar Nigam Limited (NVVN).

This will be done in three tranches:

1.  3000 Mw under Tranche-l under mechanism of Bundling with Unallocated Coal based Thermal Power and fixed levellised tariffs.

2.  5,000 Mw under Tranche-ll with some support from Government to be decided after getting some experience while implementing Tranche-l.

3.  7,000 Mw under Tranche-III without any financial support from the Government. 

In Tranche-l, which will be Batch-II of Phase-II of the National Solar Mission, 3000 Mw capacity of solar PV power plants will be based on bundling of solar power (3000 Mw) with unallocated thermal power (1500 Mw) in the ratio of 2:1 (in Mw terms), for which the required 1500 Mw unallocated thermal power has been made available by the Ministry of Power. 

The bundled power will be allotted to various States that come forward: 

1. To provide land for setting up the solar power projects.

2. To purchase a major portion of the bundled solar power for consumption within the State.

3. To ensure connectivity to the solar power project. 

  • The capacity allotted to each such State will be set up through developers, to be selected through international competitive bidding by NTPC /NVVN. 

  • Both private and government companies would be free to bid for projects. 

  • 1000 Mw capacity out of the 3000 Mw under the bundling scheme will be set up on land already identified in Andhra Pradesh. 

  • The balance 2000 MW capacity under the bundling scheme will be allotted in other interested States that come forward. 

  • It is estimated that implementation of Tranche-l of the scheme will entail total investment of over Rs.18,000 crore, all of which will be met by project developers, mainly private. 

Successful completion of additional 15,000 Mw capacity of Grid-connected solar PV power generation projects, mainly in the private sector, with largely private investment, under the National Solar Mission would accelerate the process of achieving grid tariff parity for solar power and also help reduce consumption of kerosene and diesel, which is presently in use to meet the unmet demand. 


Helpline Number : 87501 87501
To Subscribe Newsletter and Get Updates.