Mumbai: Even as the government’s decision to lift tariff ceiling for renewable energy is likely to give a fillip to capacity addition, the average tariff will continue to be competitive, mainly due to lower module cost and continued tendering of large capacities, ratings agency Crisil said.
Last month, the Ministry of New and Renewable Energy (MNRE) removed tariff ceilings from renewable energy tenders will give the beleaguered industry a much-needed leg-up.
The tariff ceiling was one of the reasons cited by the industry players for poor participation in tenders by Solar Energy Corporation of India (SECI) and state utilities, thus slowing down the pace of capacity addition.
