July 5, 2016: Coal India Limited, the biggest coal mining company of the world, is set to implement its striving solar power goals across India. As per the communication made by the coal giant to the Bombay Stock Exchange, Coal India Limited has signed agreements with the Solar Energy Corporation of India (SECI) with the aim to implement 200 MW of solar projects in Madhya Pradesh (MP). Whilst, the particulars have not yet been revealed, it is being rumored that SECI will likely call for bids and allocate projects on behalf of Coal India.
Besides Coal India Limited, another Indian coal mining company, Neyveli Lignite Corporation, has also planned ambitious solar objectives. Neyveli is planning to install 4 GW of solar projects across various Indian states such as Tamil Nadu, Karnataka, Kerala, Telangana, and Rajasthan.
Coal India to start 200 MW solar projects in Madhya Pradesh
The electricity generated from the solar projects will be obtained by two subsidiaries of Coal India Limited which include Northern Coalfields Limited and South Eastern Coalfields Limited. The company has determined that the solar projects will cost around $97 million each. On the other hand, the Central Electricity Regulatory Commission has estimated the cost of solar PV projects as $7.9 million.
Coal India will be investing $1 billion to achieve a target of installing 1 GW of solar capacity across India. The target was the consequence of a directive by the central government to all chief public sector firms to take up solar energy objectives.