Adani to Offer Thermal Power at a Rate of ₹6.07 Per Kilowatt-hour

Rooftop solar installations in India are showing a promising upward trend, according to recent data disclosed by the Ministry of New and Renewable Energy.

Two states leading the charge are Gujarat and Maharashtra, with a combined total of over 9.4 lakh rooftop solar installations. Gujarat tops the list with 5.48 lakh installations, while Maharashtra follows closely with 3.92 lakh installations.

One of the more active public sector units (PSUs) in the renewable energy sector is NLC India Ltd. The corporation is currently constructing 2,110 MW of renewable energy projects and has plans to add an additional 7,500 MW, including a 500 MWh battery energy storage system in Tamil Nadu.

NLC India Ltd's renewable energy projects in Tamil Nadu have yielded a return on investment of 3.7 per cent. The corporation's overall profit in 2024-25 stood at ₹234.78 crore, with a return on equity of 12.6 per cent. The total investment in these projects was ₹6,350 crore.

However, progress under the PM Surya Ghar Muft Bijli Yojana, a subsidy scheme for small-sized rooftop solar plants, has been slower than expected. As of recently, there have been 16.5 lakh installations under the scheme, against 58 lakh applications.

In a separate development, Adani Power has received a 'letter of award' for a $3 billion coal-fired power plant in Bihar, with a power tariff of ₹6.075 a kWhr. This tariff is higher than the cost of renewable energy with storage, which typically rules at around ₹5 a kWhr.

Interestingly, standalone solar power is even cheaper. Punjab-based SAEL Industries recently sold solar power for ₹2.97 a kWhr.

These developments highlight the ongoing shift towards renewable energy in India, with both public and private sectors actively investing in this sector. The challenge, however, remains in meeting the demand for small-scale rooftop solar installations under the PM Surya Ghar Muft Bijli Yojana.