Coal India will be undertaking a project for generation of 1000 MW of solar energy. This is to save 30 per cent of its power and fuel expenses. The company had to spend Rs 2,347-crore power bill in 2014-15 and another Rs 1,860 crore during April-December 2015. The company’s power costs have seen a rise of 7 per cent during the first three quarters of this year as compared to last year.
As per the current cost structure, upon the completion of the solar power project there is going to be a saving of Rs 750 crore annually by Coal India. Also, via the government’s viability gap funding scheme, a one-time grant of Rs 1 crore per megawatt (Mw) of solar power is going to be provided for the project.
There is a variation in cost of each unit of power between Rs 4 and Rs 11. At an average, it is Rs 7.5 and moving upwards every two years. As per a Coal India executive, solar energy will permit it to generate and utilise cheap electricity and reduce their requirement from power companies. There is soon going to be a bidding for the setting up of 200 MW solar power plant in the company area in Madhya Pradesh.
The company has also signed a MoU (memorandum of understanding) with Solar Energy Corporation of India. This is assisting Coal India through the process. Coal India is still to take a decision regarding issues like power banking, distribution of solar output, policies on power sourcing from distribution companies as well as other processes.
The company has set up 2.2-Mw solar power projects in two of its subsidiaries which include Mahanadi Coalfields and Central Mine Planning & Design Institute.
