India to double solar park 2020 capacity goal to 40 GW (Confirmed)
The makeup of India’s 100 GW solar goal by 2022 has shifted shape this week following the confirmation by the Cabinet Committee on Economic Affairs (CCEA) that the target for solar park capacity has doubled from 20 GW to 40 GW.
This target capacity increase was first outlined in the new budget at the turn of the year, but the confirmation from government also included further details of how the target is to be reached.
The Solar Energy Corporation of India (SECI) will oversee the development of this goal, working closely with respective state governments to see through project development of ultra-mega solar power plants across the country.
A total of 50 solar parks will now be built between 2019-2020, backed by central government financing of $1.2 billion. Park developers will receive a grant of up to INR 2.5 million (around $37,000) to draw up draft project reports prior to each park’s construction, after which the government will release Central Financial Assistance of up to INR 2 million ($29,800), or 30% of the project and grid connection costs (whichever is lowest), to each developer.
Prior to the CCEA confirmation, India had begun planning or building 34 solar parks across 21 states as it inched slowly towards that earlier 20 GW target. Raj Prabhu, Mercom Capital Group CEO, has previously warned of the difficulties some developers face in bringing their plans to fruition, with many running into difficulties concerning poor and lacking infrastructure in or near identified development sites.