Karnataka’s solar energy sector got a boost on Thursday with the signing of an agreement with the U.S.-based Sun Edison to buy power from its proposed 150-MW solar power plant being set up in the State at a cost of Rs. 1,500 crore.
Bangalore Electricity Supply Company (Bescom) and Hubli Electricity Supply Company (Hescom) signed agreements with Sun Edison here to buy power from the plant to be set up in about 18 months. The plant will generate about 225 million units of green energy a year.
Scouting for land
The proposed plant, which is the State’s biggest ever, will require 750 acres of land. The company is scouting for land in different districts. Company officials said they were considering options such as setting up the entire plant at one location or in five locations depending on the availability of land.
The two Escoms will buy power from the proposed plant at an average rate of about Rs. 7 a unit.
Energy Minister D.K. Shivakumar described the event as “historic”, while maintaining that it was the beginning of the implementation of the State’s mega plan to set up solar power plants with a total capacity of 1,000 MW within 18 months.
He explained that the proposed 150-MW plant was part of a scheme under which tenders had been called for setting up solar power plants with a total capacity of 500 MW. The other companies chosen under the scheme would soon set up their plants, he said.