New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) and Andhra Pradesh Eastern Power Distribution Corporation Limited (APEPDCL) is going ahead with the Central government’s mandate of setting up solar powered pump sets in agriculture fields.
The modalities were finalised at a convergence meeting held between the two companies here on Friday.
Interacting with The Hindu , Vice-Chairman and Managing director of NREDCAP M. Kamalakar Babu said the mandate of the Central government was to install one lakh pump sets across the country and it has allotted 10,000 sets to A.P. “We have already received 6,000 sets in the first phase,” he said.
The sets are being distributed in two varieties – 5 HP and 3 HP. In normal terms a 5 HP set cost about Rs. 4.9 lakh and a 3 HP one cost around Rs. 3.2 lakh.
While Ministry of New and Renewable Energy (MNRE) will bear 33 per cent of the cost, the government of A.P. will give 1 per cent as grant. Of the remaining amount, the beneficiary will bear about 11 per cent and the rest will be taken care of by the A.P. government by obtaining loan from Power Finance Corporation (PFC).
PFC has already sanctioned a loan of Rs. 125 crore to the AP government, and it will be repaid by quantifying the amount with the energy saved.
“For every traditional agricultural pump set, the government spends about Rs. 40,000 per annum in the form of subsidy. These pumps will run on solar energy, which is green energy and will not draw power from the conventional power lines,” said Mr. Kamalakar Babu.
The selection of beneficiaries will be done by the Discom and the NREDCAP team, and each set will be treated as a new connection, said Chief General Manager of APEPDCL B. Ramesh Babu.
Solar power park
Andhra Pradesh is building the biggest solar power park, spread over an extent of 15,000 acres, in the three districts of Anantapur, Kadapa and Kurnool.
The power plants, which are being set-up at a cost of Rs. 17,500 crore will generate about 2,500 MW of power, said Mr. Kamalakar Babu.
The Central Government has already allotted Rs. 500 crore for development and Prime Minister Narendra Modi is likely to lay the foundation stone some time in February, he said.
Central government plans to install one lakh pump sets across the country and has allotted 10,000 sets to A.P.
