SunEdison has announced that it has signed a memorandum of understanding with the state government of Karnataka (India) to develop 5GW of renewable energy (a mix of solar and wind energy projects) within the state over the next five years.
The electricity generated by these projects will be cost competitive with coal produced electricity, without subsidies or incentives, and will ease the electricity deficit that Karnataka currently experiences. As well, the projects will provide enhanced access to electricity for many of the people in Karnataka, who currently have no electricity or intermittent access to electricity. The renewable energy power plants will supply electricity, to be sold under power purchase agreements, to distribution companies and utilities within the state, entities of the Central Government of the Union of India and various other third party off-takers within and outside Karnataka. The government of Karnataka will explore location options with SunEdison to find suitable government land on which to construct the projects and will facilitate construction of the infrastructure required to connect the projects to the grid. The agreement includes details of an immediate plan to implement between 1,000MW and 1,500MW before 31 December 2016.
