UPPCL to take solar power for 25 years
Azure Power (NYSE: AZRE) has won a 160 MW solar power project in Uttar Pradesh at the highest tariff in a recent auction conducted by the Uttar Pradesh New & Renewable Energy Development Agency (UPNEDA).
Azure Power will sign a 25-year power purchase agreement with Uttar Pradesh Power Corporation Limited (UPPCL) which has a domestic debt rating of A+ by CRISIL, a S&P company, at a tariff of INR 3.55 (~US 5.2 cents) per kWh, ~45% higher than the lowest tariff bid for a solar project in India.
The project is expected to be commissioned in 2019 and developed outside a solar park.
With this win Azure Power’s solar portfolio will be 260 MWs in Uttar Pradesh which is the most populous state in India and has a large peak energy supply deficit, according to the Central Electricity Authority. fiinews.com
