The State Government of Telangana in India believes the state can cross 5,000 MW of solar power generation capacity by 2019. Its current solar power capacity is over 1,300 MW, which makes it one of the top five solar states in India (see India Installed Over 5 GW In FY 2016-17).
The state government had signed power purchase agreements for 3,800 MW capacity from projects awarded in 2015. The entire capacity is anticipated to become operational between March 2018 to June 2018.
By the end of 2017, Telangana's solar power capacity is expected to touch 3,000 MW with several projects achieving completion. Once, it crosses the 3 GW mark, it would also have achieved more than 15% of renewable energy contribution in its power mix.
Speaking to The Times of India, a local daily, state officials attributed the success of its solar power policy to the distributed development model, supported by the center. The policy offers project developers the 'opportunity to develop units based on the demand-supply situation with minimal operational losses'. Telangana does not work on developing mega solar parks unlike other states.
As the share of solar grows so does demand for power in Telangana. The per capita consumption in Telangana has increased to 1,390 kWh per annum from 1,100 units. "The 24×7 power supply has started giving dividends in the forms of improved living standards and increased industrial production," said D Prabhakar Rao, chairman and managing director of Telangana Transco and Genco.
Among others, the state is also planning to implement a solar-wind hybrid policy, though no details have been published so far.