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Clarity lacking policy strands solar projects in AP

Clarity lacking policy strands solar projects in AP

The Federation of Andhra Pradesh Chamber of Commerce and Industries has said that about 750 mw of solar power projects are stranded for want of clarity in policy issues and clearances in Andhra Pradesh. The Andhra Pradesh Government announced its Solar Power Policy in September 2012 seeking to encourage solar power projects.

But projects already under various stages have been impacted due to lack of clarity. Devendra Surana president of Fapcci said that enthused by the StateÂ’s interest to tap solar power, developers who had initiated projects are still unable to complete them due to local issues.

Applications for about 750 mw were submitted and many more are in the pipeline awaiting clarity. The policy did not envisage any investment subsidy from the Government or the APTransco or AP Discoms.

Yet to the discomfiture of the industry and solar power developers, clearances and much-needed clarifications and rules have not been forthcoming.

AP Electricity Regulatory Commission, APTransco and AP Discoms have not clarified in spite of more than 6 months elapsing since the announcement of the policy.
The clearances relate to banking of power, wheeling agreement, transmission and wheeling charges, cross subsidy and maximum demand related charges and rules.

These are very essential for effective implementation of the policy.

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