- Category: Asia
25 Feb 2013
- Published on Monday, 25 February 2013 09:26
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A 7-megawatt solar power plant is to be built in the Indian state of Tamil Nadu to provide renewable energy of the operations of five auto parts companies based in the city of Chennai.
According to The Hindu Business Line report, Auto Parts, Super Auto Forge, The Rane group, MM Forgings and Natesan Industries have formed a consortium to put up the Rs 70 crore ($12.85 million) solar farm.
As severe power outages are common in Tamil Nadu, many companies are looking for other sources of energy to meet their needs and reduce their dependence on grid feed. MM Forgings, for instance, has already built 20 wind mills in Theni and Tirunelveli in southern Tamil Nadu.
“Each company today has to be more power independent, and green power is the best alternative. A common power facility will help bring down individual company costs,” said Vidyashankar Krishnan, Managing Director, MM Forgings.
According to Mr. Krishnan, the consortium originally intended to put up a coal-based power plant, but due to the long development period of three years, they opted for a solar power farm which only takes five months to develop, not to mention can use solar panels available locally.
The consortium is currently scouting for location of the project in Sivaganga and Tuticorin. The planned facility will occupy around 25 acres and will generate around 105 to 125 lahk units annually.
Construction of the solar farm is expected to commence by September.
Each company will own specific assets in the consortium, depending on its energy demand. MM Forgings seeks 2 MW while Auto Parts looks forward to 1 MW.
The companies said they are still open to interested partners and suppliers with the possibility of expanding the capacity of the solar farm up to 10 MW.
Currently, power pricing and policy on wheeling power of the planned solar plants, particularly during load-shedding hours, are still uncertain and the consortium is set to clarify these concerns with Tamil Nadu Electricity Board distribution wing by end of March. – EcoSeed Staff