Indian Railways to establish 3 GW solar plants on vacant land

• The projects-- to be established in three phases of 1 GW each-- are anticipated to be finished by year 2022-23. While the very first and the 3rd phases will be developed under public-private collaboration basis, the second phase will certainly be on the possession model of REMCL and eligible for funding subsidy under the CPSE plan.

Indian Railways has entrusted the Railway Energy Management Company Ltd (REMCL) with 3 GW of solar energy procurement from plants to be set up on vacant Railways land.

Besides tendering, the REMCL shall deal with installment supervision and also management of power supply from these solar energy plants.

REMCL is a joint venture between Indian Railways and state-owned engineering consultancy Rites Ltd

The task-- REMCL's biggest solar power required from Indian Railways-- will certainly be separated right into 3 stages of 1 GW each.

The very first and third stages of 1 GW each will certainly be developed on public-private collaboration (PPP) basis under 'design, build, fund, operate and also transfer' model.

The 2nd phase of the job (1 GW) will be on the possession version of REMCL, which will certainly be qualified for capital subsidy under the Central Public Market Task System for the growth of 12 GW of solar.

The whole setup is expected to be finished by 2022-23.

The Railways have actually already determined ideal land to be rented to REMCL on small lease rent.

Commenting on this mandate, Rajeev Mehrotra, Chairman & Handling Supervisor, RITES Ltd and also Chairman REMCL, claimed, "This is the biggest mandate gotten by REMCL for tendering, setup and also power management of solar energy. This will strengthen REMCL's placement as the eco-friendly energy remedy supplier and energy manager to Indian Railways as well as securely develop REMCL in the eco-friendly energy industry in India."

Besides proposal management charge at first, REMCL would certainly earn long-term earnings through supply management from these installments which might total up to approximately Rs 20 crore annually to REMCL throughout life of the job.