Solar power producers won projects after quoting tariffs less than ₹5 a unit in the latest auction conducted by NTPC for the 500-MW Pavagada Solar Park in Tumakuru, Karnataka.

The lowest tariff quoted was ₹4.78 a unit by RattanIndia’s subsidiary Yarrow Infrastructure for setting up a 50 MW unit in the park.

Adani Group, Finnish-firm Fortum, ACME and Tata Power Renewable bagged 100 MW each for a tariff of ₹4.79 a unit. The last 50 MW unit was won by Sumant Sinha’s ReNew Power for a tariff of ₹4.8 a unit.

“In order to get a footprint all over the country, it was important for us to have a presence in Karnataka and also become part of the current stage of National Solar Mission. We are happy that we have secured this tender in the state of Karnataka and have managed to get it at the right price – a price we are comfortable at,” said Manoj Kumar Upadhyay, Founder & Chairman, ACME Group.

ACME said that the project cost is estimated to be ₹750 crore and work will commence by July 2016 and commissioning will be in 2017.

Finnish firm Fortum’s Indian subsidiary’s Managing Director Sanjay Aggarwal said, “The country provides a good platform for Fortum to further develop its business in solar.”

The company also plants to invest €200-400 million in solar projects in India. The company so far has a 15MW solar power generation capacity in India. In January, it had won a 70-MW solar project.