July 4 (Solar) – Finnish utility Fortum Oyj (HEL:FORTUM) and India’s Tata Power Renewable Energy Ltd have won 250 MW each in a solar tender held by the Karnataka Renewable Energy Development Ltd (KREDL).
Fortum said Friday it has won the right to build the capacity at the Pavagada solar park and to sell the power at INR 2.85 (USD 0.042/EUR 0.036) per kWh. It expects to invest EUR 120 million (USD 140m) in the project. Commissioning is planned for the third quarter of 2019.
Mercom reports that the renewables unit of Indian electric utility Tata Power Co Ltd (BOM:500400) won with the same price of INR 2.85/kWh. The Letter of Award (LOA) has been issued on June 28, while the power purchase agreements (PPAs) are to be signed one month later, Mercom added, citing a KREDL official.
Fortum has 185 MW solar capacity in India, including 100 MW of operational capacity at Pavagada, and 35 MW in Russia. Last month it said it had agreed to sell a 54% share in the Indian solar portfolio to UK Climate Investments and Elite Alfred Berg.
(INR 100 = USD 1.46/EUR 1.25)