The Punjab Energy Development Agency (PEDA) has awarded VP Solar Generation the development of 66 solar power projects, each with a capacity of 4 MW, aggregating to 264 MW. These projects are part of the feeder-level solarisation initiative under Component-C of the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) programme.
The solar projects, to be installed at 66 kV substations of the Punjab State Power Corporation Limited (PSPCL), are expected to generate approximately 400 million units of electricity annually and attract investments of Rs 10.56 billion. Additionally, the initiative is projected to save the state Rs 1.76 billion annually in agricultural subsidies.
The Punjab State Electricity Regulatory Commission (PSERC) has approved a tariff of Rs 2.38 per kWh for power procurement from these projects, a rate decided on through a transparent bidding process involving 34 bids and an e-reverse auction conducted by PEDA. The projects, tendered in August 2024, are scheduled for completion by December 2025. They are expected to support Renewable Purchase Obligation (RPO) targets under the distributed energy component while contributing to carbon emissions reductions.