SDMC signs MoU with PTC for setting up solar power plant

The South Delhi Municipal Corporation today signed an MoU with Power Trading Corporation (PTC) for setting up a 2.5 MW solar power plant on its land in Ferozpur village.
After foraying into electricity generation through rooftop solar panels, the civic body is now gearing up to set up the plant at 10 acre of its land in Ferozpur village.
The MoU was signed by SDMC Chief Engineer (Electrical) Firoz Ahmed and Director PTC Ajit Kumar at the SDMC headquarters in Civic Centre here.
SDMC Commissioner P K Goel termed the initative as an ambitious project following the civic body's move to replace more than two lakh conventional streetlight bulbs and tubes with energy efficient LED lamps.

"The civic body after exploring various options concluded that the solar power plant will lead to revenue through sale of power on a long term basis besides earning annual rent on the parcel of land," Goel said, adding it would also help reduce carbon dioxide emission by 3,000 ton annually.
The project will ensure a return of an internal revised rate of 16 per cent on the capital invested amounting to Rs 148 lakh by the SDMC on account of equity portion, he said.

The civic body will also earn around Rs 7.26 lakh per annum on account of land lease rent of the site. An initial amount of Rs 1.5 crore is being invested by both SDMC and PTC on the project.

The plant is likely to remain functional for 25 years and the cost of the project is estimated at Rs 1,187 lakh, Goel said.
Earlier, the SDMC had installed solar panels roofs of around 40 of its buildings. Sixty more buildings have been identified for rooftop solar generation, senior municipal corporation officer said.