“Bankability of Solar in Indian Market”

By:Gensol Consultants Private Limited

Technology

International Installed

Solar PV Base21 GW *

*REN 21 Report 2010** PV status Report 2010

9 MW Crystal

line

Indian Installed

Solar PV Base10 MW *

1 MW Thin Film

Figure: Project market dominance of PV technology **

Which Technology is Feasible?

ENERGY GENERATION

COST PROVENLIFE

RETURNS

SILICON CRYSTALLINE

THIN FILM PV

Preference to on-ground presence of crystalline technology for almost 25 years over that of thin film for

not even 10 years

EPC Players

Key Considerations

Energy Generation Guarantee

Market Presence

Experience in terms of project size and complexity

Product suppliers

Teams – quality & structure

Financial stability

Government liasioning

Risk handling

International – proportional BG after real time data analysis

Indian – BG against flat generation

Average installations of international EPC players entering India is atleast

150 MW

Average installations of Indian EPC players is approximately 3-4 MW

Tariff Backed Policies

IRR13.3%

IRR22%

IRR38%

REC

NSM

GSP

Tariff structure and returns on project

Risk associated on long term basis

NSMREC

GSP

NSM – National Solar MissionGSP – Gujarat Solar PolicyREC – Renewable Energy Certificate

Credible Data Availability

Data collection devises

Internationally available software

Satellite data

Do not take local geographical criteria's into consideration

Imperfect data during extrapolation and interpolation of data

Available software

PV syst

Meteonorm

3 Tier

Power Purchase Agreement

Strict penalties on late commissioning

No reliable guarantees against the tariff payment schedule

Long pending cases related to payment matters of power plants

Case Study: Dabhol Power Company’s Power PlantClaimed to be the biggest coal based thermal power plant with state-of-art technologyPayment settlement issues with Maharashtra State Electricity Board turned into an international conflictCase filled by stakeholders against GoIGE, Bechtel, off-shore banks, other financial institutions and OPIC (US government agency) received some amount of their claims

JNNSM v/s GSP v/s REC

Payment back-up support is best in case of NVVN as PPA signing body due to the balancing of profits through unallocated quota

There is no back-up support in case of REC mechanism or any other state policy like GSP, in case of PPA signing bodies experience losses

DSCR schedule for a project becomes important for banks from the point-of-view of recovery of their money from any project

REC GSP JNNSM

Financing Criteria

Clients

Gensol Consultants, an ISO 19001:2000 certified company is a pioneer in Renewable Energy and Carbon Advisory. With a portfolio of 25 million credits spread across 400+ clients in 16 states, Gensol is an empanelled consultant with Govt of Himachal and represents Ministry of Environment at International Forums.

Bajaj Hindustan Quippo Energy

Suzlon Zaveri & Co

Landmark Hotels Asian Tiles

And many more…

About Us: Overview

Featured In

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Credentials

•150+ Trained Team - all Graduates and Post Graduates in Energy and Environment•Over 25 million Carbon Credits Under Manage•Presence in 16 states•60 MW+ Solar Power Projects under execution•Recipient of multiple awards including BusinessWorld Hottest Young Entrepreneur and Economic Times Power of Ideas.

Ahmedabad | Gurgaon | Bangalore | London

Business Dailies: Business Standard Economic TimesBusiness Magazines: Business India BusinessWorldIndustry Journals: Power Line Energetica Carbon News

About Us: Credentials

Carbon Advisory & Trading

Commanding India’s largest market share by projects, Carbon Advisory and Trading division has been instrumental in reducing 25 million tones of carbon.

About Us: Company Services

Strategic Consultancy

Having international presence, strategic consultancy spans across carbon, energy and Information Technology management to enhance sustainability in organizations

Asset Management

With over 2500 crores of Assets under Management, the Gensol Renewable Energy Fund is bound to be India’s largest RE specific fund.

Solar Division

Providing Complete Concept to Commissioning Solutions, Gensol Solar Division is a one point stop for all solar specific needs.

Contact Us:

Gensol Consultants Pvt Ltd14 - 15, 2nd Floor, Camps Corner – 2,Opp. Auda Garden, Prahladnagar,Ahmedabad – 380015, GUJARAT

W: www.gensolconsultants.comE: solar@gensolconsultants.comPh: +91-79-39122276