Friday, September 18, 2015

1 MW Solar Plant Setup requirements in India

Process to Setup 1 MW Solar Plant
Process to setup solar plant varies by State based on the requirement of the State Nodal Agency, EB
and DISCOM, Below is the step by step process for Andhra Pradesh.

Land Selection
It is recommended to select the project site with in 2 km of a Power Substation to reduce the power
excavation charges

State Nodal Agency (NREDCAP) Process
1. Submit Solar Application Form
2. Submit Solar Connectivity Application Form
3. Get the Sanction Letter

DISCOM Department Process For <= 10 MW
1. DISCOM evaluates the Solar project application form and provides feasibility report to the
developer for projects less than 10 MW capacity after the application is approved by State Nodal
Agency
2. Developer provide Bank guarantees, signed MOU and other documents, Please see document
checklist for list of required documents
3. DISCOM provides evacuation estimation report to Developer

TRANSCO(EB) Department Process For > 10 MW
1. EB (TRANSCO) evaluates the Solar project application form and provides feasibility report to the
developers for projects greater than 10 MW capacity after the application is approved by State
Nodal Agency.
2. Developer provide Bank guarantees, signed MOU and other documents, Please see document
checklist for list of required documents.
3. TRANSCO provides evacuation estimation report to Developer.

Document Checklist(Required Documents)
Developer Registration Documents
1. Copy of Permanent Account Number (PAN) (Mandatory).
2. Copy of Director Identification Number (DIN).
3. Copy of Tax Information Number (TIN).
4. Copy of Central Sales Tax (CST).
5. Copy of Service Tax .
6. Copy of Value Added Tax (VAT).
7. In case of New Entrepreneur, a Copy of Fulfillment Certificate
Obtained From Chartered Accountant.
8. Court Cases(if any).

Solar Power Application Documents
Solar Power Project Registration
1. A Certified Copy of the Memorandum & Article Association of
the Company .
2. Certified Copy of Registration Certificate.
3. Certified Copy of the Authority Confirming Powers on the Person(s) Who are Competent to        Execute the MOU/the
Agreement with NREDC/DISCOM .
4. Certificate from the Chartered Accountant Showing the “Net
Worth” of the Company.
5. Copy of Possessed Certificate of Land.
6. Hard Copy of Filled Solar Registration Form.

Solar Connectivity Documents
Solar Connectivity Form
1. Certified Copy of the Memorandum & Article Association of the
Company.
2. Certified Copy of Registration Certificate.
3. Certified Copy of Partnership Deed.
4. Certified Copy of Authority Confirming Powers on the Person(s)
Who are Competent to Execute the MOU/the Agreement with
NREDCAP/DISCOM.
5. Certificate From the Chartered Accountant Showing the “Net
Worth” of the Company.
6. Copy of Certificate for SPV Panels as per the MNRE
Guidelines.
7. Copy of Transmission of Power & Evacuation Plan/
Interconnection Facility for the Proposed Plan.
8. Hard Copy of Filled Solar Connectivity Form.

Developer Evacuation Documents
Developer Evacuation
1. Consent Form.
2. Under Taking for Acceptance Terms and Conditions Form.
3. Bank Guarantee Form.
4. Memorandum of Understanding Form (MOU).
5. Bank Challan (DD).

Below is the process workflow for setting up 1 MW Solar Project in Andhra Pradesh 
1MW Solar Plant Process WorkFlow

Here are the Actual expenses to setup up 1 MW Solar Plant in India
SL.NO        DESCRIPTIONAMOUNTTOTAL
1     PROPOSED PROJECT LAND
Land 5 Acres (Per acre)3,00,000.0015,00,000.00
Stamp Duty60,000.0060,000.00
Registration Fee15,000.0015,000.00
Facilitation fees10,00,000.0010,00,000.00
Land levellingExtraExtra
Compound wallsExtraExtra
Site facility expensesExtraExtra
Transmission cost after 2 KM
Per KM – 5,00,000
ExtraExtra
2      REGISTRATION CHARGES (NON-REFUNDABLE)
EB Fee1,12,360.001,12,360.00
DISCOM Fee11,236.0011,236.00
PPA-Documentation(Site Survey, Project Techno-Economic Pre-Feasibility Studies, PV analysis reposrt & Detailed Project Report )10,00,000.0010,00,000.00
Other un-official expenses15,00,000.0015,00,000.00
3      SUB-TOTAL (1+2)51,98,596.00
4      EPC COST PER MW6,00,00,000.00
5      PERFORMANCE BANK GUARANTEES
The Performance Bank Guarantee is furnished to DISCOM in the form of three bank guarantees in favor of Managing Director of the DISCOM to enter in to PPA.(For Project Bankability of 30% equity and 70% collateral Security are required) 1,56,00,000.001,95,00,000.00
6      TOTAL1,95,00,000.00


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