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Mahagenco solar project may be relocated

EM NEWS BUREAU ,  Friday, December 09, 2011, 10:47 Hrs  [IST]

Untitled - 30The 125-mw Shivajinagar Sakri solar power plant—dubbed to be amongst the largest solar projects in the world—is facing prospects of relocation. Landownership impediments are coercing the project to move out of the Dhule district where it was originally planned. Maharashtra State Power Generation Company Ltd (Mahagenco), the project promoter, has reportedly planned to relocate the project to Chandrapur district in eastern Maharashtra.

The state forest department has staked claim on roughly half of the 350 ha (865 acres) of land in Dhule district on which the project was supposed to come up. The forest department move is oddly enough coming at a time when all clearances were in place and project construction had begun.

The `1,987-crore project would comprise of dual technology, with 75 mw power to be generated using crystalline technology based photovoltaic cells, while 50 mw power from thin film solar cells. Lanco Solar of the Lanco Group had been awarded the `884 crore contract for crystalline technology.

The project is being implemented by Maharashtra State Power Generation Company (MahaGenco). It received all major clearances and was announced with great pomp by the Chief Minister Prithviraj Chavan in May. German development bank KfW has already given a €250-million reduced-interest loan for the project.

Background: The Shivajinagar Sakri solar farm project was announced in May this year, and was seen as Maharashtra's biggest move in the renewable energy field. In August this year, German lending institution KfW pledged its support supporting to the project with a $356 million loan with reduced interest. Mahagenco would contribute the remaining $170 million. The project has a provision of expanding capacity to 150 mw for which KfW would be providing additional funding.

"By financing this strategic investment in renewable energies KfW Development Bank is making a significant contribution to combating climate change and implementing the energy turnaround in India," a KfW statement noted whilst announcing its assistance to the project.
 
                 
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