A Memorandum of Understanding (MOU) has been signed to sell the electricity produced at Rewa Ultra Mega Solar Power project to Delhi Metro Rail Corporation (DMRC). The Delhi metro will run on electricity from Madhya Pradesh.
The Chairman of MP Urja Vikas Nigam limited (MPUVNl) Vijendra Singh Sisodia said the energy produced at 750 megawatt Rewa Ultra Mega Solar Power Plant located at Gurh Tehsil of Rewa district will be sold to DMRC. This Rewa Ultra Mega Solar limited (RUMSl) is a joint venture of MPUVNl and Solar Energy Corporation of India (SECI), he added.
Sisodia further said that the 750 megawatt plant is developed in three parts of 250 megawatt. For each selling unit a Power Purchase Agreement (PPA) has been signed for 25 years with DMRC by each developer. The DMRC is committed to purchase 121 million units from each selling unit. In this way, DMRC will purchase 363 million units from all the three selling units all together. Under this agreement in any time block DMRC will utilize 150 megawatt electricity.
As per this arrangement, the rate per unit will be decided through floating tender and reverse auction. For the first year the rate will be as per the contract and later every year there will be an increase by 5 paisa per unit and it will continue till the end of 15th year. If the rates go higher than 5.43 paisa then the DMRC reserves the rights to come out of the agreement. DMRC is also a part of the project managing committee that will take care of the contractual and coordination part of the project.