Draft Guidelines for Selection of 3000 MW Grid- connected Solar PV Power Projects

The National Solar Mission is to deploy of 20,000 MW grid connected solar power capacity by 2022 in 3 phases (1000MW in first phase up to 2012-13 -, 9000MW in second phase from 2013 to 2017and 10000MW in third phase from 2017 to 2022).

MNRE had proposed to add a total Solar PV capacity of 15000 MW in three tranches to be implemented through NVVN as part of Phase-II Batch-II. The scheme envisages setting up of Grid-connected solar PV power plants of 15,000 MW aggregate capacity through open competitive bidding as under:

  • Tranche-I : 3,000 MW : 2014-15 to 2016-17 ( Bundling with 1500 MW unallocated NTPC Power from Coal Station allocated by MoP).
  • Tranche-II : 5,000 MW: 2015-16 to 2017-18 (selection mechanism to be decided later)
  • Tranche-III : 7,000 MW: 2016-17 to 2018-19 ( selection mechanism to be decided later)

MNRE now issues draft Guidelines for Selection of 3000 MW Grid- connected Solar PV Power Projects under State Specific bundling scheme to be implemented under Batch-II Tranche-I of NSM Phase-II scheme.

The proposed 3000MW Solar PV projects will be implemented by NVVN on Solar Parks to be developed through association of central and state agencies. Under Part-I of Tranche-I, 1000 MW PV Projects would be selected for setting of projects in Solar Park to be developed by a JV Company of SECI, NEDCAP & APGENCO at Kurnool district in Andhra Pradesh. The JV Company shall create necessary infrastructure facilities like roads, water, construction power, pooling substations etc. for speedy implementation of the solar projects.

Solar Power Developers (SPDs) will enter into Implementation Support Agreement with JV Company for land & associated infrastructure. The connectivity will be provided by STU (APTRANSCO)/CTU (PGCIL) with the provision of the STU/CTU pooling substation for the solar park. The SPD will enter into connectivity and transmission service agreement with the STU/CTU for power evacuation through STU/CTU system.

Project Capacity:

Given the requirement to connect the project to the transmission utility substations at 132kV and above, the Project capacity is 50 MW. The Capacity of the Project in MW is the installed Capacity of the Project / Maximum Power Output (AC) from the Solar Power Project which can be scheduled at the point of Injection to the grid during any time block of the day.

The total capacity of Solar PV Projects to be allocated to a Company including its Parent, Affiliate or Ultimate Parent-or any Group Company is limited to 250 MW.

Grid Connectivity:

The Solar Power Plant should be designed for inter-connection with the 400kV/220kV/132kV pooling /grid substation located in the solar park at voltage level of 132 kV and above through dedicated transmission line/underground cable. The Project Developer has to submit a letter from the APTRANSCO along with RfS confirming technical feasibility of connectivity of plant to pooling substation and Discoms willingness to purchase of power. The developer will not be entitled for any deemed generation.

Domestic Content Requirement:

Out of the total capacity of 1000 MW under Phase-II Batch-II Tranche-I Part-I, a capacity of 250 MW will be kept for bidding with Domestic Content Requirement (DCR). Under DCR, the solar cells and modules used in the solar PV power plants must both be made in India.

Power Purchase Agreement:

A copy of Draft Power Purchase Agreement to be executed between NVVN and the Project Developer will e provided by NVVN along with invitation for submission of RfS. Within one month of the date of issue of Letter of Intent (LoI), the Power Purchase Agreement between NVVN and the Project Developer for purchase of power from the project will be executed. The PPA wil be for a period of 25 years from the date of CoD with a provision to extend further by 15 years @ Rs. 3/kWh. This call will be taken after 20 years of operation of PPA. In case of disagreement the project developer may close the project or may seek extension of lease for further 15 years and sell power to third party.


The minimum capacity for acceptance of first part commissioning is 50% of Project Capacity subject to balance Project Capacity thereafter. The commissioned capacity is to be considered in the steps of 5 MW unit size. The PPA will remain in force for a period of 25 years from the date of CoD of the first part commissioning of the project.

Commercial Operation Date (CoD):

The projects commissioned during a month will be entitled for payment of energy @Rs 3.00/kWh as infirm power till CoD. The CoD will commence normally from 30 days from the actual date of commissioning or 1st of the subsequent month, whichever is later. CoD is tuned to match availability of thermal power for bundling. The 25 year tenure of PPA shall commence from Commercial Operation Date.

Technical Requirements for Grid Solar PV Power Plants:

The SPV modules used in the grid solar power projects must qualify to the latest edition of any of the following IEC PV module qualification test or equivalent BIS standards.

Crystalline Silicon Solar Cell Modules IEC 61215
Thin Film Modules IEC 61646
Concentrator PV modules       IEC 62108

In addition, SPV modules must qualify to IEC 61730 for safety qualification testing at 1000V DC or higher. The modules to be used in a highly corrosive atmosphere throughout their lifetime must qualify to IEC 61701.                                                                

Important Dates:


Sl. No.




Notice for Request for Selection

Zero date


Submission of Applications with docum ents for Registration

Zero date + 45 days


Short-listing of Projects based on RfS Applications received and decision on tariff bidding

Zero date + 90 days


Tariff bidding process and submission of proposals by short-listed developers

Zero date + 105 days


Evaluation of Tariff bid proposals

Within 30 days from submission of tariff bid proposals (zero date +135 days)


Issue of Letter of Intent

Within 15 days from evaluation of tariff bid proposals (zero date + 150 days)


PPA Signing

Within 30 days from the date of issue of letter of intent (LOI date + 30 days)


Financing Arrangement for the project

Within 210 days from the date of signing of PPA


Commissioning of the Project

13 months from the date of signing of PPA

For further information, please refer to the attachment:
  Download the attached file
Solar PV | News published on 15/10/2014 by Rashmi Nargundkar

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