PPP mode dropped by Chennai Corporation after suppliers rejected it

The Chennai Corporation has dropped the proposal of using the public private partnership (PPP) mode to commission rooftop solar panels in 1,378 public buildings in city. The Corporation is planning to implement the project with smart city funds through the capex mode, in which the Corporation will own the assets.

The move comes after renewable energy service companies rejected the PPP mode, saying that most of the Corporation buildings were small with 1-12 KW solar power capacity, and the buildings were “scattered over a large area.”

Solar rooftop projects will be commissioned in 106 buildings in Tiruvottiyur, 46 in Manali, 28 in Madhavaram, 141 in Tondiarpet, 118 in Royapuram, 142 in Thiru-Vi-Ka Nagar, 117 in Ambattur, 91 in Anna Nagar, 103 in Teynampet, 107 in Kodambakam, 39 in Valasaravakkam, 111 in Alandur, 93 in Adyar, 76 in Perungudi and 57 in Sholinganallur.

The Electrical Department of the Chennai Corporation will install the projects by the end of this year. Officials said the Energy Department had already asked various line agencies to make arrangements for the Corporation and other urban local bodies to comply with net metering policy to facilitate the implementation of the project.

As per the Tamil Nadu Solar Energy Policy 2012, the government had set a target of achieving 2,000 MW of solar power by 2015. But the target has not been met by the agencies concerned. The civic body planned to promote solar rooftop systems in 3,000 buildings a few years ago. But the project did not quite take off.

Board resolution

As per a study conducted by a consultant and a presentation made to the Corporation Commissioner, the project was to be implemented through PPP and OPEX/RESCO model in which the investor would own the assets. A board resolution was passed by the Chennai Smart City Limited five months ago. But the PPP model has been dropped.