India’s Recent Solar Auction Makes Way for Modi’s Green Targets

India's Recent Solar Auction Makes Way for Modi's Green Targets

Don’t you feel the need to find an alternative for the exhaustible source of energy? We do and that’s why our Prime Minister Narendra Modi wants the green targets to surge rocket high. The auction proved to be a feather on the cap for the low Indian solar tariff tenders. The green investments obtained can help shift the power to renewable from the fossil fuels. On February 10, the solar power charges fell to about 3.30 Rupees a Kilowatt-hour after the auction backed by the World Bank. The auction had helped the Central Madhya Pradesh to tender 750 MW of power. The auction carried out by the State and Central Government included payment details in order to drive the growth in various regions to make India the second largest in terms of energy security.

India's Recent Solar Auction Makes Way for Modi's Green Targets

Due to the auction, a number of solar powers can be set up and the growth in the renewable energy can be expected in the coming years. The growth in the Indian solar market can help make it cost beneficial. According to Modi, India must pledge to install 175 GW of renewable by 2022. Thus, solar capacity can dominate or replace the fossil fuels such as coal.

The price of the solar generated power is expected to lower due to the advancement in the storage and green power growth. Due to the fruitful results of the auction, the demand to replicate the auction in other parts increased.

However, the lower tariffs may hurt the returns of developers. Thus, the over-hyping of the auction may hinder growth due to the over expectation of the developers.

Modi’s pledge to make India reach the green targets is highly overwhelming.

 

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