SJVN bags procurement contract for 1,200 MW solar power from Punjab

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State-owned SJVN Ltd said on Saturday that it has secured a contract from Punjab State Power Corporation Ltd (PSPCL) to develop and procure 1,200 megawatts of solar power which entails an investment of Rs 7,000 crore.

“SJVN Green Energy Ltd (SGEL; a wholly owned subsidiary of SJVN) will develop a 1,000MW (solar) project anywhere in the country and a balance of 200MW in Punjab,” the company said in a statement.

SJVN has received a Letter of Intent (LOI) from PSPCL to purchase 1,200 MW of solar power.

PSPCL will buy 1,000 MW of power produced anywhere in India at a tariff of Rs 2.53 per unit, while 200 MW of power produced in Punjab will be purchased at a tariff of Rs 2.75 per unit.

The development of these projects involves an investment of around Rs 7,000 crore, which will be on a build-own-operate (BOO) basis.

The project will be commissioned within 18 months from the date of signing the PPA and is expected to be commissioned by the end of next year. A Power Purchase Agreement will soon be signed between PSPCL and SGEL for a period of 25 years.

(Only the title and image for this report may have been reworked by the Business Standard team; the rest of the content is generated automatically from a shared feed.)

First published: July 22, 2023 | 8:56 PM ist