Hiraco Renewable Energy Private Limited

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Hiraco Renewable Energy Private Limited (HREPL, a subsidiary of Hiraco India Private Limited), signed an MoU with Gujarat Energy Development Agency (GEDA) for setting up a 20-MW photovoltaic solar project at Porbander District in the state of Gujarat, under the Gujarat Solar Policy 2009 (Phase-II). HREPL had installed 85,536 polycrystalline solar PV modules of 235Wp from Hanwha SolarOne. The average PLF for the first year of operation was expected to be 20.22%. HREPL had contracted for a fixed price EPC contract through an international competitive bidding process. The output from the project would be fed to the North-East-West-North-East (NEWNE) grid of India. Power evacuation would be through 66 kV Ranakandorma Substation of GETCO, and as per the state policy, was the responsibility of Gujarat Energy Transmission Corporation Limited (GETCO). Hiraco Renewable Energy Private Limited (HREPL) had entered into a 25-year Power Purchase Agreement with the state utility Gujarat Urja Vikas Nigam Limited (GUVNL), which would be effected at the time of commissioning of the project. As per GEDA documents, the PPA had been signed before 11th December 2011. The APPC (Average Power Purchase Cost) as per the Gujarat Solar Policy 2009, was US$ 0.33/Unit (INR 15 per unit @ 45INR/USD) for the first 12 years, and US$ 0.11/Unit (INR 5 per unit @45 INR/USD) from 13th year to 25th year for units commissioned before 29th January 2012. The total capacity of 20 MW was eligible for carbon credits and HREPL had applied for the same. Proceeds of carbon credit were to be shared as follows: (a) 100% by HREPL in the first year after the date of commercial operation of the generating station/ transmission system;(b) in the 2nd year the share of GUVNL would be 10% which would be progressively increased by 10% every year up to 50% whereafter the proceeds would be shared in equal proportion, by HREPL and GUVNL. Transmission and/or wheeling charges would be paid by HREPL. Dates of financial closure couldn't be verified, however the financial closure had been executed before December 2011 (commissioning date as per GEDA document).The total estimated project cost, as per UNFCC documents was US$ 66.6mn (INR 3108.8mn @46.67 INR/USD). Construction for the plant was started in June 2011 (date of signing of contract for onshore services, civil works, onshore and offshore supply) and GEDA documents indicate that the plant was commissioned before December 2011 (corroborated by company sources as well). In absence of credible information on dates of financing, we have considered December 2011 as the financial closure date for our database.