New hurdles could potentially shake solar power generation at the country’s largest solar farm in Bhadla, with over half a dozen solar power generating units including those from Tata Power, Adani Power, Renew Power and Italy’s Enel asked to cut power generation to 10 percent from December 1st.
The reason:
Delays in transmission projects, including the Bikaner-2 collection station, which was due to be operational by December 22, where over 50 percent of the work is currently pending and transmission line-laying has yet to begin.
State transmission major Power Grid Corp is now aiming to have Bikaner-2 complete by March 2023, but multiple sources back this up The Indian Express stated that this deadline should not be met either.
This is a big problem for solar developers, who typically bid on razor-thin margins, and a 10 percent cut could see margin wiped out for developers.
“…We are kindly seeking guidance from NRLDC to temporarily avoid the load cuts by taking advantage of the extra margin available on the lines due to the lower ambient temperature during the winter season,” Tata Power Renewable Energy Ltd said in a letter to the government.
A message to Praveer Sinha, CEO and MD, Tata Power, has garnered no response as of press time. Another developer affected by the cut order said the bigger problem is that the transmission lines have not been able to keep up with the capacity expansion. “This is a loss of revenue for us and negatively impacts our bottom line. The situation can only improve if the transmission capacity keeps up with the infrastructure,” said an executive on condition of anonymity. Experts say that in winter, ambient temperatures are low and this has created scope for greater power flow over the existing grid.
“The National Load Dispatch Center or NLDC must take positive action to increase power flow and avoid a power limitation, and PGCIL must complete work on the war base balancing grid to ensure this limitation does not last long. This is a blow to investment sentiment,” said an official on the grid’s operations. An email to PGCIL went unanswered as of press time. The Bhadla Solar Farm is one of the largest in the world, covering a total area of 14,000 acres in Jodhpur’s Phalodi Tehsil.
