TN to set up 10MW solar plant

Chennai: The Tamil Nadu government is planning to set up a 10Mw solar power plant in association with the private sector. The state government invited investors to establish more windmills and solar power plants in the state.

According to Arcot N Veerasamy, state electricity minister, a solar energy plant costs Rs 18-22 crore per Mw, which is high compared with hydro power (Rs 5 crore per Mw), thermal power (Rs 4 crore), and windmill (Rs 6 crore). Due to this high cost, both private and public sector companies were not in a position to set up solar energy plants.

Recently, according to the MNRE guidelines, the Centre was prepared to pay incentives up to Rs 12 per unit and has also asked state governments to pay Rs 3 per unit for grid interactive solar power generation. This would encourage more investments, said the minister.