Lack of infrastructure in solar parks hurting projects: report

Lack of access roads, clean green lands, and clear demarcation of land areas in solar parks are some of the challenges being faced by project developers, Mercom Capital report says


India has a target of setting up 100 gigawatts (GW) of solar power capacity by 2022, of which 20 GW has been allocated to solar parks. Photo: Mint
India has a target of setting up 100 gigawatts (GW) of solar power capacity by 2022, of which 20 GW has been allocated to solar parks. Photo: Mint

Mumbai: Incomplete infrastructure at solar parks in India is hurting the development of some large-scale solar power projects, consultancy Mercom Capital Group Llc said in a report on Tuesday.

Lack of access roads, clean green lands, and clear demarcation of land areas in these solar parks are some of the challenges being faced by project developers, Mercom Capital said.

India has a target of setting up 100 gigawatts (GW) of solar power capacity by 2022, of which 20 GW has been allocated to solar parks. India has approved 34 solar parks in all.

“The government’s rush to auction projects in these parks ahead of completing land acquisition formalities has led to project developers winning bids but finding infrastructure not ready to start construction. In some cases... bid-submission deadlines for tenders have been repeatedly extended,” Mercom said.

The ministry of new and renewable energy (MNRE) is considering increasing the capacity to be developed at solar parks to 40 GW, Mercom said in the report. “Currently, there are 34 solar parks planned across 21 Indian states, where projects aggregating 20 GW will be set up. However, project development is being hampered by delays relating to infrastructure and site preparation issues,” it said.

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