Coronavirus: 3 GW of solar projects could miss operation dates if trade with China is impacted over long period

Nearly 3 GW of solar projects worth Rs 16,000 crore could attract penalties for missing their Scheduled Commercial Operation Dates (SCOD), if the impact of Coronavirus outbreak on trade with China is prolonged. India sources about 80 per cent of its solar modules from China, where trade has been impacted as measures are being put in place to combat the spread of the virus, according to an analysis by Crisil.

According to the standard terms of power purchase agreements, non-adherence to completion timelines attracts penalties, including downward renegotiation of tariffs.

Measures such as restricted movement of people and shut-down of factories have disrupted module manufacturing in China and its feeder industries.