Uttar Pradesh Approves 1,500 MW Solar Power Procurement, Boosting Clean Energy Efforts

Uttar Pradesh Electricity Regulatory Commission has approved UPPCL's solar power procurement deals for 1,500 MW, boosting the state's clean energy grid. Learn more about this renewable energy push.

The Uttar Pradesh Electricity Regulatory Commission (UPERC) has granted approval to two major solar power procurement deals by the Uttar Pradesh Power Corporation Limited (UPPCL), enabling a total of 1,500 MW of renewable energy to enter the state's power grid. This is seen as a significant step toward strengthening Uttar Pradesh's renewable energy landscape and meeting its renewable purchase obligation (RPO) targets.

1,000 MW Solar Power Procurement

The first order, approved on October 3, allows UPPCL to source 1,000 MW of solar power from four developers at highly competitive tariffs, ranging from ₹2.52 to ₹2.53 per unit. The procurement will be facilitated by the Solar Energy Corporation of India (SECI), which will act as the intermediary.

The developers participating in this initiative include:

• Avaada GJ Green Pvt. Limited (300 MW)

• Sprng Power Earth Pvt. Ltd. (250 MW)

• ReNew Solar Steller Pvt. Ltd. (300 MW)

• Solarcraft Power India 17 Pvt. Ltd. (150 MW)

  
  

This collaboration highlights Uttar Pradesh’s commitment to expanding its renewable energy capacity while keeping electricity costs affordable.

500 MW Solar Power Procurement

In the second approval, UPERC has greenlit another 500 MW of solar power procurement by UPPCL at a uniform tariff of ₹2.60 per unit. SECI will also facilitate this deal, with power sourced from the following developers:

• Jakson Limited (100 MW)

• Shiva Corporation India Ltd. (100 MW)

• ReNew Solar Power Pvt. Ltd. (300 MW)

Contentious Trading Margin

A key point of contention in both approvals was SECI’s trading margin of 7 paise per unit. While UPERC acknowledged that this margin could have been reduced to benefit consumers, it nonetheless emphasized the need for rapid adoption of renewable energy sources. The commission urged UPPCL to negotiate more favorable terms in future deals, aiming to strike a balance between cost-effectiveness and the urgency of meeting renewable energy targets.

Boosting Uttar Pradesh's Renewable Energy Commitment

These back-to-back approvals reflect Uttar Pradesh's growing focus on expanding its renewable energy footprint. The 1,500 MW of solar power will significantly contribute to the state's clean energy portfolio, reinforcing its commitment to sustainable development and reducing reliance on fossil fuels.