Gujarat setting up $2.3 billion solar power park

The Inidan state of Gujarat has announced plans to transform 12 square kilometers of land at the village of Charanaka into a hub for solar power generation. The Gujurat Solar Park is expected to be the destination of INR8,000 crore (USD2.3 billion) of investment from project developers.

Gujarat Urja Vikas Nigam Ltd, the state utility, is entering into long term power purchase with agreements with 80 solar power project investors who will commission 500 MW of generating capacity at the park during its first phase of development.

In 2009 India's central government announced a National Solar Mission to install 1,000MW of grid solar power by 2013 and 20GW by 2022. Gujarat is currently the only state signing power purchase agreements with solar project developers, which is expected to yield a total of 965 MW of installed solar power capacity in the next couple of years.

The Gujurat Solar Park project is being implemented under the the state's Solar Power Policy. Parts of the North Gujarat, Kutch and Saurashtra regions have been identified as having conditions for solar power plants. Charanaka in North Gujarat is the first site to be developed.

According to the state Power ministry, large parts of the state have solar insolation of 5.8-6.0kWh per metre square per day. Insolation is a measure of solar radiation energy received on a given surface area in a given time. The chosen site of Charanka has an insolation of 5.9kWh per metre square per day, said a state government official.