New Delhi: Higher land prices have pushed the solar power tariff to Rs 3.48 per unit in the 1 Gw capacities auction conducted by Uttar Pradesh New and RenewableEnergy Development Agency (UPNEDA), according to a source. 

The Rs 3.48 per unit tariff is higher than Rs 2.70 per unit quoted in an auction conducted by the Solar Energy Corporation of India (SECI) for 750 Mw Solar PV earlier this month. Solar tariff had touched all time low of Rs 2.44 per unit last year in May. 

The source said that the UPNEDA conducted the auction for 1 Gw capacities, allowing bidders to quote multiple bids for different packages and the tariff remained higher at Rs 3.48 per unit than the recent bid of Rs 2.7 per unit due to expensive land prices in Uttar Pradesh. 

The developers will install this solar capacities across the state. The UPNEDA concluded the auction late in the evening on Tuesday. 

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According to the source, Adani Group firm Mahoba Solar (UP) quoted lowest tariff of Rs 3.48 per unit to develop 250 Mw of projects. The company quoted Rs 3.48 per unit tariff for five packages of 50 Mw each. Similarly, Maheshwari Mining & Energy also quoted Rs 3.48 to develop 20 Mw. 

ACME Solar Holdings quoted Rs 3.54 per unit to develop 150 Mw of solar PV projects and Rs 3.55 per unit to develop another 150 Mw of solar PV projects. 

Feynman (Canadian Solar) and Sukhbir Agro Energy quoted Rs 3.54 per unit to develop 50 Mw of projects each. 

Rays Power Infra and EDEN Renewables also quoted Rs 3.55 per unit to develop 50 Mw each. The Azure Power also quoted Rs 3.55 per unit to develop 160 Mw. Hero Solar Energy also quoted Rs 3.55 for 50 Mw capacities. 

Commenting on his firm winning 300 Mw in this auction, ACME Group Founder and Chairman Manoj Kumar Upadhyay said: "With consistently offering most competitive tariff and highest solar power generation, ACME has become the leader in solar power generation in India. This has entrusted a huge responsibility on us to chart the future ahead in solar power in India". 

"I am confident that with this addition of 300 Mw capacity, ACME will strive to achieve highest efficiency in solar power generation and strengthen its partnership with the government in building a strong nation and economy," said Upadhyay.