The 750MW REWA Ultra Mega Solar Plant occupies over 1500 hectares where the plant area is divided into 3 units of 250 MW each, out of which Mahindra Renewables Private Limited (MRPL) has been allotted one 250 MW unit through tariff based competitive bidding conducted by Rewa Ultra Mega Solar Limited (RUMSL), the implementing agency of the Solar Park is a joint venture between the Madhya Pradesh Urja Vikash Nigam Limited (MPUVNL) and the Solar Energy Corporation of India (SECI). Mahindra Susten was one of the three companies that won the project in the reverse auction by bidding one of the lowest tariffs. The winning tariff was ₹2.979/- per unit in the first year and averaged at ₹3.30/- per unit over a period of 25 years. This tariff was viable due to some favourable factors such as market conditions at that time, the tender terms were favourable coupled with the accommodative project structure and site conditions.
(*sourced from: https://mercomindia.com/monsoon-solar-project-damaged-rewa/)
Here is what Basant Jain, Chief Executive officer says about the low tariff for the project, “The RUMS (Rewa Ultra Mega Solar) management, the State government, DMRC and their advisory teams — IFC, Sgurr, Trilegal and PWC — have identified the risks that are best taken by the State governments and allowed the enterprising abilities of the developers to flourish. The structuring of this tender reduces the risks for developers and that is why many players are willing to go down below ₹3 per kWh. The project also benefits from a credible procurer like the Delhi Metro Rail Corporation, even if only for 25 per cent capacity, and the State guarantee which minimised the risks for payment delay. If upcoming transactions are structured in a similar manner, the industry is likely to witness several sustainable projects at these tariff levels. The project is also expected to reduce carbon emissions equivalent to approx. 15 lakh tons of CO2 per year.
One of the major challenges faced during the execution of this project was the hard strata of the land. This was not conducive for digging cable laying trenches. The engineering team devised a new innovative method for cable laying, the all-terrain cable tray, which makes use of the vertical posts erected for the module mounting structure. This is the first-ever Solar Photovoltaic project to use this innovative cable laying method.
Also, another major challenge faced for execution of the project was with respect to power evacuation challenge. Demonetization and thereafter GST introduction has affected switchyard readiness earmarked for the project. However, Devco team of Mahindra Susten has, in coordination with RUMS, devised another way to synchronize the Project. Project got connected with nearby switchyard of another developer through a temporary line and synchronization of the Project achieved. Close coordination and assistance of other stakeholders such as WRLDC, PGCIL, concerned project developer have also helped a lot in achieving this. Due to this, Mahindra Susten project was the first project in Rewa Solar Park to achieve initial part commissioning as per PPA.
During the project, Mahindra Susten financed hygienic sanitation facilities for girls in the school by building washrooms, organized health camps for villages to bring awareness among those who do not have access to basic healthcare services or knowledge about the diseases they are suffering from. The team also organized skill development sessions for local women to ensure better job opportunities. These activities enabled women to work and also created an impact in the level of education of a girl child within the community. These activities were appreciated by the locals as well as the Sarpanch and MLA of REWA who shared their gratitude towards the organization.
The Rewa Project has globally been acknowledged for its robust project structuring and innovations. Its payment security mechanism for reducing risks to power developers has been recommended as a model to other States by MNRE. It has also received the World Bank Group President’s Award for innovation and excellence and was included in the book “A Book of Innovation: New Beginnings” released by the Prime Minister. The project is also the first renewable energy project to supply to an institutional customer outside the State, i.e. Delhi Metro, which will get 24% of energy from the project with the remaining 76% being supplied to the State DISCOMs of Madhya Pradesh.
The Rewa Project also exemplifies India’s commitment to attain the target of 175 GW of installed renewable energy capacity by the year 2022, including 100 GW of Solar installed capacity.
Mahindra Susten’s CSR vision, ‘To serve and give back to the communities within which we work’ is evident in all the projects that are undertaken by us. Our dedicated team of professionals come together to ensure, not only, a high-quality level of work but also care towards the local community.
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