The Rs.10,000 crore ($2.2 billion) concentrated solar energy park, on the lines of an industrial estate, is being developed by the sectoral nodal agency Gujarat Power Corporation Limited on over 2,089 hectare of wasteland bordering the Rann of Kutch, in Patan district.
In the first phase of the project, 15 solar power generation companies would produce 176 MW on the land leased out to them for 30 years, whereas Gujarat Energy Transmission Corporation Limited would set up a pooling station.
Anita George of the International Finance Corporation (IFC), World Bank, hailed the initiative and said the IFC had invested $1 billion so far on manufacturing and infrastructure projects in Gujarat.
The overall project cost in Phase I would be Rs.1,287 crore, including Rs.351 crore towards the cost of land and power infrastructure and evacuation facility worth Rs.624 crore. When completed, the 500 MW facility would have investments of another Rs.7,500 crore and generate about 5,000 direct jobs.
The planning commission has approved a one-time additional central assistance of Rs.210 crore for development of the park. The Asian Development Bank has also approved a soft loan of $100 million for the project, including development of a smart grid for evacuation of power.
With this solar power facility generating 1,250 million units, the country would save about nine lakh tons of coal and prevent emission of 12.5 lakh tons of carbon dioxide per annum. The area has 330 sunny days annually with high solar radiation ranging from 5.5 to six kilowatt per square metres per day.
Godawari Power To Set Up 50-MW Solar Power Project
Shares of Godawari Power & Ispat climbed over 4% to Rs. 209.35 on the National Stock Exchange on Thursday, after the company said it would set up a 50-MW solar thermal power project, awarded under Jawaharlal Nehru National Solar Mission Scheme to its subsidiary Godawari Green Energy. The stock rose to a high of Rs.215.50 earlier in the session.
The cost of the project estimated to be about Rs.700 crore will be financed through a mix of debt and equity capital, the company said in a statement to the stock exchange.
Also, the company has received board approval to invest in the equity capital of Godavari Green as and when required for setting up the project.