This is an archive article published on November 26, 2015
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Going solar

Environment-friendly alternatives can now match coal in energy production

Written by: Prem Shankar Jha
5 min readNov 26, 2015 12:23 AM IST First published on: Nov 26, 2015 at 12:23 AM IST
Another major policy shift recommended by the DDC is the “zero government subsidy”. Since storing electricity is prohibitively expensive, photovoltaic power plants will never be able to meet more than the daytime peak demand for electricity.

The solar power auction in Andhra Pradesh that ended earlier this month has shown that solar power is finally here to stay. This was an international auction for a commercial, grid-connected plant of 500 MW, in which 30 Indian and foreign companies participated. While the lowest bid was at Rs 4.03 per unit, it is the plethora of bids at Rs 4.60 to 5.00 per unit that shows that solar power is now fully competitive with coal-based power, especially for meeting peak loads.

But all the bids were for setting up solar photovoltaic (PV) power plants, which can deliver power only during daylight hours, and at full efficiency for only a part of those. In effect, this amounts to 2,000 hours per year, at most. Since storing electricity is prohibitively expensive, photovoltaic power plants will never be able to meet more than the daytime peak demand for electricity.

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