Today, anyone can set up a Solar Power Plant with a capacity of 1KW to 1MW on a rooftop space. The Govt. latest guidelines state that installation of net-metering system at the site will connect it to grid via distribution companies. The regulations were long awaited.This will boost solar or green power generation across the state and encourage people to install solar rooftop systems.
100kw and above Solar power Plants Diagram
Power Purchase Agreement: PPA
You might not want to build your own solar plant, but rather buy just the electricity produced by the solar system. That way, you don’t have the upfront costs, construction and maintenance to worry about. Maybe someone else will be happy to build a solar plant on your roof (or nearby) and sell you the power through a Power Purchase Agreement (PPA). This model works typically for industrial and commercial consumers, and Indian companies have started offering it to residential customers in some cities.
Investment Model for 1 MW Solar Power Plant
We see a huge demand for information for investment models for setting up a 1 MW Solar Plant. We have decided to create a 1MW – 10 MW estimate series.
Below is the investment model for 1 MW Solar Plant All over India
Capacity of Power Plant : 1 MW Generation Expected per year: 17.50 Degradation till 1st 10 years: 0.05% Degradation from 11 to 25 years 0.67% Debt Percentage 70% Equity Percentage 30% Rate of Interest of Indian Bank Loan 13.0% Rate of Interest of Foreign Bank Loan 10% Repayment Period of Indian Loan 11 years Repayment Period of Foreign Loan 15 years Percentage of Indian Loan 70% Average Cost of Sale of Electricity 6.49 Rs/unit Cost of Project per MW O&M Cost per MW for 1st year Depreciation 5.28% Corporate Tax 30.28% Minimum Alternate Tax 18.38% Project Cost Debt Equity