Karnataka’s New Utility-Scale Solar Power Product Benchmark Tariff is 30% Less at only ₹3.05/kWh

The Karnataka Electricity Regulatory Commission (KERC) has fixed generic tariffs for renewable energy projects developed across the state.

Generic Tariff for Solar Projects:

For grid connected MW-scale solar projects of capacity less than 5 MW, KERC has fixed a generic tariff of ₹3.05 (~$0.0447)/kWh.

The new utility-scale solar benchmark tariff is ₹1.31 (~$0.0192)/kWh or 30 percent less than KERC’s previous benchmark tariff of ₹4.36 ($0.07)/kWh. The reduction comes amid a trend of declining tariffs in state tenders.

KERC has fixed the generic tariff at ₹2.67 (~$0.0391)/kWh (without capital subsidy) for rooftop solar projects of 1 MW or less. The generic tariff for rooftop solar projects with a  capital subsidy is ₹3.56 (~$0.052)/kWh. These tariffs will be applicable for the control period April 1, 2018 to March 31, 2019.

The new generic tariff rate for rooftop solar without subsidy is ₹2.53 (~$0.037)/kWh or 49 percent less than the previous benchmark tariff of ₹5.20 (~$0.08)/kWh without subsidy.

KERC proposed a tariff of ₹2.79 (~$0.043)/kWh for new, MW-scale, grid-connected solar photovoltaic projects developed in Karnataka.

Karnataka tops the list of solar states in India, exceeding 5 GW of cumulative solar installations in Q1 2018, and represents a 24 percent market share of the total installed capacity in India during that same quarter.

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