Hope all of you had a wonderful  deepawali and are back from holidays !

It seems that the state of Madhya Pradesh is taking the solar project development within the state quite seriously after the announcement of Madhya Pradesh (MP) Solar Policy. Very recently MP Power Management Company Ltd. (MPPMCL) invites responses from interested companies and/ or Bidding Consortium for selection of successful bidder(s) for supply of Solar Power from Grid connected Solar Power Project at the rate fixed for 25 years through a competitive bidding process for upcoming 100 MW Solar Plants in the state.

Brief Overview of the tender :

  • Size of Project – 100 MW Grid Connected Solar Plant through a competitive bidding process.
  • Minimum Bid Capacity : Bidder can apply for minimum 5 MW however there is no upper ceiling limit of capacity.
  • Eligible Bidder :
    • Net Worth : Net-worth should be equal to or greater than the value calculated at the rate of Rs. 3.50 Crore per MW
    • Technical Criteria : Minimum experience of having established at least 1/4th of the capacity of solar power being offered, either as Project Developer or as EPC contractor
    • Documentary proof that required land for project development @ 2 Hectares/MW for Solar PV and @ 3 Hectares/ MW for Solar Thermal Power is under clear possession of the project developer
  • Bid Bond : Rs. 20 Lacs/MW in the form of Bank Guarantee
  • Bidding Document Cost : Rs. 10,000/-
  • Submission Date : By 28-Jan-2014 Time: 1500 Hr
  • Opening of Bid :
    • Non-Financial Bid : 15.30 hours (IST) on 28.01.2014
    • Financial Bid : 15.30 hours (IST) on 10.02.2014

The bidding document can be downloaded from MP Power Management Company Ltd. (MPPMCL) website.

Solar Power Projects & Policy in Madhya Pradesh (MP) :

Estimated RE Potential in MP

Estimated RE Potential in MP

The state of Madhya Pradesh (MP)  has shown quite genuine interest towards the development of Renewable energy project including solar projects in the state and have provided support to the RE developers by various means in terms of Land, Local Clearances, Permits & Approvals, Solar park Policies, Regulatory provisions etc. For setting up of solar power projects, MP has also identified more than 8000 hectares of land which can accommodate development of close to 3000 MW of Solar Power possibly around Neemuch, Shahjapur, Mandsaur, Sheopur, Rewa areas & with solar park existing in Rajgarh spread arcoss around 140 hectares.

As per figures, the cumulative solar projects installed in MP till September 2013 appears to be around 220 MW !

Renewable Tariffs & Solar  Capacity Addition in MP

Renewable Tariffs & Solar Capacity Addition in MP

Some of the key highlights & generic benefits proposed under NRE policy in MP are :

  • No Electricity Cess For 10 Years.
  • No Electricity Duty For 10 Years
  • Wheeling Charge 2%
  • Third Party Sale Allowed
  • 100% Banking  Permitted
  •  Contract Demand Reduction Permitted
  • No Water Charges For Generation Of Power
  • No VAT
  • Entry Tax Exempted
  • Benefits Of Industry Status
  • Stamp Duty Exemption (50%) On Purchase Of Private Land
  • No Land Related Inspection
  • No Local  Body Approvals Required
  • No Surprise Inspection On Any Project Related Issues
  • Single Window Clearance
  • The state has launched solar park policy etc.

Solar REC Projects in Madhya Pradesh (MP) :

Madhya Pradesh is one of the first state in India to allow Third Party Sale for Solar Project developers willing to set up their solar projects under Renewable Energy Certificate (REC) scheme.

Till Dec 2nd, 2013 a total of around 51 Solar REC project of cumulative capacity close to 80.5 MW have been registered in MP. A detail list of solar projects in MP registeres under REC is as follows :

List of Solar REC projects registered in MP till Dec 2, 2013

List of Solar REC projects registered in MP till Dec 2, 2013

Upcoming Solar Projects in Madhya Pradesh (MP) :

Definitely MP is one of the most preferred location for developers who wish to set up their solar projects within the state with attractive returns especially under the Renewable Energy Certificate (REC) scheme with Third Pary Sale + REC benefits.

For any serious project developers planning  to set up their solar projects in Madhya Pradesh (MP) under various state / central policies & schemes especially under Third Pary Sale + REC scheme , we as a Solar Project Consultant in India can help them entirely from the concept till the commissioning of the project within the shortest timeframe with best project returns. For more details write us at

Meanwhile till we meet next time… enjoy the coming breezy winter days with garam chai & pakodas and also wishing you all a very “Happy Christmas” 🙂



Solar Project Consultant – India |  Also Follow us on :

Twitter @ UrvishDave1 & Facebook page @ RenewableEnergySolutionsInIndia


About Urvish Dave

Urvish Dave is working as a Project Consultant in the Renewable Energy Arena with an expertise and keen focus on Solar Energy Sector viz. Rural Electrification, Off-Grid Solar Projects, Grid connected, Captive power plants, Renewable Energy Certificates (REC) Mechanism etc. for various Renewable Projects in India along with market intelligence pertaining to renewable energy sector. He holds the distinction of executing numerous Solar projects during the career path including EPC projects for Rural Electrification, Solar Grid Connected Projects, Off-Grid Projects etc. For Consultation and Turnkey Solutions in Renewable Energy Projects and energy efficient product's, visit or write him at
This entry was posted in and tagged , , , , , , , , , , , , , , . Bookmark the permalink.


  1. Kamal Garg says:

    In my view, this is a good opportunity to invest in Solar Energy in India, more particularly, in view of ‘open access or third party sale’ of power and 100% banking allowed. If some developer/investor can have access to right land at cheap price, then, with proper business and financial modelling and sincere execution of the Project, the investor can have a good IRR through out the life of the Project.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s