Solar Energy India

Potential & Opportunities

India Renewable energy opportunity

Renewable energy targets & investments required

Technology/Source

Target by 2022
(MW)

Solar

1,00,000
Utility scale Grid connected

40,000

Out the target; 20,000 MW through 25

solar parks

Off-Grid

20,000

Rural areas & telecommunication towers

Roof-top Solar PV

40,000

Government & Commercial Buildings,

Housing

Wind

60,000

Bioenergy/SHP

15,000

Targeted Renew capacity addition by

2022

1,75,000 MW

Biomass, Bio fuels, Small hydro

Estimated Investment of US$ 300 billion over next 8 years in Generation & Transmission
@ US$ 30 bn per year compared to current average of US $ 4 billion

Key drivers for renewable energy growth in India

Energy security concerns: Dependence on imported hydro carbons

Climate change: Indias commitment on Low carbon growth

Vast untapped potential: wind and solar

Increasing cost competitiveness of renewable energy technology
Wind & Solar achieving grid parity
Emphasis on increasing the electricity access: Distributed generation
Government support: Enabling environment
Maturing market for renewables: Favorable funding environment
RPO obligations by Utilities & Green energy commitment by Industries

Indias Power Sector today

Total installed capacity - 2,58,701 MW *

Renewable installed capacity - 31,692 MW
5780
Nuclear

40867
Hydro

106
WTE

1199
Diesel

22971
Gas

2632
Solar

31692
RES

4013
Biomass

3804
SHP

21136
Wind

156190
Coal
* As on 31st Jan 2015
Source- Ministry of Power
WTE-Waste to energy
RES - Renewable energy systems

India Renewable energy growth

MW

35

31.7

30

28.1
24.5

25
20

20

16.8
14.4

15

12.3
10.2

10

8
5.3

6.1

FY 4

FY 5

5
0
FY 6

FY 7

FY 8

FY 9

FY 10

FY 11

FY 12

FY 13

FY 14

Solar installed capacity (MW) today ....State wise

30.5
Odisha
Goa & UT 8.66
Delhi 5.15
Maharashtra
Madhya Pradesh
West bengal 7.05
31
Karnataka
Uttarakhand 5.05
16
Jharkhand
21.075
Uttar Pradesh
10.3
Haryana
98.36
Tamil Nadu
16.845
Punjab
Chattisgarh 7.1
Arunachal 0.025
131.84
Andhra Pradesh
Rajasthan
Gujarat

200

249.2
347.1

730.1
916.4

400

600
MW
5

800

1000

Indias State wise solar energy potential ..latest study by SECI (GW)
SN

State

GW

SN

State

GW

Andhra Pradesh

38.4

18

Meghalaya

5.8

Arunachal Pradesh

8.6

19

Mizoram

9.1

Assam

13.8

20

Nagaland

7.3

Bihar

11.2

21

Orissa

25.8

Chhattisgarh

18.3

22

Punjab

2.8

Delhi

2.0

23

Rajasthan

Goa

0.9

24

Sikkim

4.9

Gujarat

35.7

25

Tamil Nadu

17.6

Haryana

4.6

26

Telangana

20.4

10

Himachal Pradesh

33.8

27

Tripura

2.0

11

Jammu & Kashmir

111.0

28

Uttar Pradesh

22.8

12

Jharkhand

18.2

29

Uttarakhand

16.8

13

Karnataka

24.7

30

West Bengal

6.3

14

Kerala

6.1

31

UT

0.7

15

Madhya Pradesh

61.7

16

Maharashtra

64.3

17

Manipur

10.6

INDIA Potential

142.3

749 GW

Soalr energy- Eco system

FundSources

Commercial
Banks

Developers

Projects
Rooftop
Projects

Manufacturers

Consumers

Power tieup

Distribution
Utilities-RPO

Bidding:
State
Discoms

PSUs &
Government
sector
commitments

Bidding:
JNNSMNVVN,
SECL GoI
programme

1kW -1 MW

ECBs/Multi/Bil
ateral/Donor
organizations

Group
Funds/HNIs

State Govt
Solar parks
Suppliers
1000 MW
Private Stand
alone projects
IPPs
5-50MW
Private Solar
parks

Tax free RE
Bonds

EPC Players
50-500 MW
Captive
Projects

PEs

Integrators
5-20 MW

Private sector:
Comm &
Industrial
needs

Off grid
Distributed
generation

Roof topLarge
buildings &
industries

Third party:
Industrial/
Commercial

Captive
use:
Industries/
Commercial
establishme
nts
Part tie-up
through
Solar parks
policy

Target

1,75,000
MW By 2022

Solar Energy development - Favorable States

Solar Parks are being

proposed in the following
States

Solar Projects for Third party

sale policy & regulatory
encouraging in following
States

Solar Projects for Bid Tariffs

policy & regulatory
encouraging in following
States

1.
2.
3.
4.
5.
6.
7.
8.

1.
2.
3.
4.
5.

1.
2.
3.
4.
5.
6.

Madhya Pradesh
Andhra Pradesh
Rajasthan
Uttar Pradesh
Gujarat
Telangana
Karnataka
Meghalaya

Andhra Pradesh
Telangana
Karnataka
Madhya Pradesh
Tamilnadu

Andhra Pradesh
Telangana
Karnataka
Madhya Pradesh
Rajasthan
Gujarat

Solar energy Business models

Individual

SPV/IPP

Project size

5-10 MW

Financial
Capital cost

Debt

Equity

Rs 6.6 Cr/MW
70%
30%

Technical Parameters:
Development & Construction
Land requirement
Project life
Guaranteed Generation(PLFs)
Degradation (YoY)

1 year
5 acres/MW
25 years
17% - 19.5% (1.5MU/yr to 1.7MU/yr based on region)
0.65%

> Rs 6.20
> @ 3% yoy for 1st 10 yrs
> 10-15 Yrs
> Third party sale

Tariff
Escalation
Tenure
Customer

Project Economics

DSCR

EBITDA%

Equity Pay back period

Project location options

10-30 MW

Group level
50-100 MW

> Rs 6.20 @ 3%
> @ 3% yoy for 1st 10 yrs
> 25 Yrs
> Third party sale

> Rs 6.20
> @ 3% yoy for 1st 10 yrs
> 25 Yrs
> Third party sale

> Andhra Pradesh

> Telangana
> Karnataka

Solar Parks
> Andhra Pradesh

1.08
90%
10.5 yrs
> Andhra Pradesh
> Telangana

Solar energy Capital Fortunes Service offerings

A. Planning
1.
2.

3.
4.

Secure Land
Solar radiation
analysis
Evacuation studies
Regulatory
approvals

B. PDS & Financial

structuring
1.
2.
3.
4.
5.

Tender design
EPC M
Grid connectivity
PPAs
Debt syndication

C. Asset
management
1.
2.
3.

O&M Services
IT Management
Energy accounting &
settlement

Capital Fortunes adds value through

1.
2.
3.
4.
5.
6.
7.
8.

Preparation of shelf of Shovel ready projects

End to end due diligence studies
Reliable data on land selected
Evacuation solutions
Bankable DPRs
Financing solutions- debt & equity
Commercial contracts for energy sale
Monthly energy settlement

About Capital Fortunes

Capital Fortunes (CF) is a boutique infrastructure focused advisory & services company with over 19 years
experience and a value proposition that spans entire project life cycle
Our service offerings include project development advisory; capital syndication; M&A; governance & reforms;
Unlike typical advisory firms & investment banks whose role begin at the fund-raising stage, our involvement with
our clients begin at early stages in the projects development life cycle
We have raised over USD 5 bn in debt and over USD 2 bn in equity for projects across energy, transportation
and urban infrastructure
We have also worked with 7 projects with a combined value of USD 3.69 bn as project development partners

Over last 5 years as co-developers we have also selectively invested in high quality infrastructure projects along
with credible sponsors
Our cumulative investments & investment rights in companies across thermal energy, gas based, hydro energy,
renewable energy, transportation and allied services
CF is well networked with Indian infrastructure ecosystem including developers; intermediaries; lenders;
institutions and government agencies
We are looking to leverage our sector expertise, network and investment pipeline to diversify into asset
management business including externally managed fund as well as internally managed development company

5th Floor. M J Towers

Road No. 12, Banjara Hills, Hyderabad - 500034, India
T : +91 40 6603 8300 F : +91 40 6603 8399
www.capitalfortunes.com
PROJECTS. PARTNERSHIP. PROGRESS

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