en.Wedoany.com Reported - Gujarat State Electricity Corporation Limited (GSECL) has submitted an application to the Gujarat Electricity Regulatory Commission (GERC) seeking determination of the tariff for its 34 MW solar project located in Chadavada, Kutch district. This project is part of the Gujarat government's initiative to increase clean energy capacity by utilizing wasteland near existing power transmission infrastructure.
Initiated under a 2019 Gujarat government scheme, the project aims to provide affordable renewable energy to consumers. The scheme offers a 50% capital subsidy to reduce the overall project cost and supports the effective use of unused government land, minimizing the need for new land acquisition and environmental impact. The Chadavada solar project was awarded through a competitive bidding process, with M/s. Kosol Energie Pvt Ltd. selected as the main contractor. The contract is valued at approximately ₹22,014 million, with the total project cost rising to about ₹23,680 million, reflecting a combination of government support and meticulous planning.
The solar power plant commenced commercial operations on September 11, 2025. GSECL signed a Power Purchase Agreement (PPA) with Gujarat Urja Vikas Nigam Limited (GUVNL) on January 31, 2026, under which GUVNL will purchase the electricity generated by the project for 25 years. The tariff will be determined by GERC and remain fixed for the agreement's duration. GSECL's application is a regulatory requirement under the Electricity Act, 2003, and includes financial considerations such as government subsidies, depreciation, interest costs, and operation and maintenance expenses.
The Chadavada solar project is expected to deliver multiple benefits, including optimized use of land resources and reduced need for new transmission lines due to its proximity to existing infrastructure. The project supports Gujarat's efforts to promote renewable energy and reduce reliance on conventional power sources. Once the tariff is approved by GERC, the project will contribute to providing stable and affordable green energy to consumers within the state, advancing sustainable development goals.
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