India to install 2GW of solar PV in 2015 – Mercom
India is set to double its annual installed capacity with a forecast of more than 2GW to be installed this year, up from 1GW in 2014, according to the latest quarterly ‘India Solar Market Update’ from Mercom Capital Group.
Mercom is raising its 2015 forecast up from 1.8GW due to recent developments in Tamil Nadu.
Raj Prabhu, chief executive and co-founder of Mercom Capital Group, told PV Tech he understood that Tamil Nadu had signed several power purchase agreements (PPAs), with speculation that a total of 1GW of PPAs has been signed by Tamil Nadu Generation and Distribution Corporation. It has been confirmed that 400MW of PPAs have been signed with a project commissioning due date of September 2015 in the state.
The Mercom report also covered several major policy and goal updates in the last quarter.
The Reserve Bank of India (RBI) added renewable energy under priority lending but with a cap of INR150 million (US$2.5 million) for renewable energy generators and INR1 million (US$16,393) per borrower for residential customers. Mercom said the impact of this policy would be minimal in the short term because the Indian solar market contains mostly large-scale projects at present.
Prabhu urged the government to consider increasing the cap in order to benefit large-scale projects in order to accelerate the implementation and execution of solar installations in the country.
The Solar Energy Corporation of India (SECI) announced another government programme to establish 2GW of solar PV projects with sizes of 500MW and 250MW on an EPC basis.