1MW Solar Power Plant Cost

A 1-megawatt solar power plant is like a big solar energy system. It can be on the ground or called a solar power station. Making a 1 MW solar plant is a big project that needs careful planning and money. The cost of making a 1 MW solar power plant can change a lot depending on things like where it is, the technology it uses, local laws, and the special needs of the project. 

Solar power systems that produce more than 100 kilowatts are called Solar Power Stations, Energy Generating Stations, or Ground Mounted Solar Power Plants. Imagine a 1-megawatt solar power plant like a giant solar farm – it’s so powerful that it can provide electricity for a whole business by itself. This type of solar farm needs about 4 to 5 acres of land and can generate around 4,000 kilowatt-hours of affordable electricity every day. If there’s extra electricity, it can be sold back to the government utility company through a process called net metering. In this article, we will look at different things that affect the cost of making a 1 MW solar power plant, like how much solar panels cost, what kind of technology the inverter uses, other costs, and specific things about the place where the plant will be.

1 Megawatt Solar Plant Cost

A 1MW solar plant in India usually costs between Rs 4 to 5 crores on average. The main part of a solar power plant is the solar panel, and there are different types of them. Most solar energy systems use crystalline solar panels, which come in two types: monocrystalline and polycrystalline.

The monocrystalline panels are more efficient but also increase the overall cost of your solar power plant in India. There are other factors to consider when putting together the best solar plant for your business.

Particulars	Estimated Cost
Solar Panels	3 Crore
Solar Inverter	1 Crore
Combiners + Junction Boxes	20 Lakh
Protective Gears Arrangement	10 Lakh
SCADA & Data Logger System	7 Lakh
Land Bank	*5 Acre
Erection of Project	50 Lakh
Total Project Cost	4.87 Cr. (Approx.)

Key Specifications of a 1MW Solar Plant:

Key components	Solar panels, solar mounting structure, solar inverter, solar batteries (optional), the balance of system (cables, fuses, MCBs, and Distribution boxes)
Energy output	Wonder how many units your 1MW solar power plant can produce?– 4,000 kWh of electricity per day– 1,20,000 kWh of electricity per month– 14,40,000 kWh of electricity per year
Area required	4 to 5 acres of land is required for 1MW solar plant

1000 kilowatts make 1 megawatt. A 100-square-foot installation area is required for a 1 kW solar system. Thus, (100 x 1000) = 1,00,000 square feet of space will be needed to construct a 1 MW solar power plant. An expensive initial investment is finding an adequate site for a solar power facility. The costs of land are greatly influenced by elements including location, accessibility, and closeness to electrical infrastructure. Nearly 5 acres of land are required for a 1 MW solar power plant, and the price varies for different locations and in India. Expenses associated with getting the right licenses, environmental approvals, and land-use permissions from local authorities.

The Engineering, Procurement, and Construction (EPC) cost of a 1 MW solar power plant can vary significantly based on a number of variables, including the plant’s location, the technology it uses, the cost of acquiring the land, and governmental regulations.

Site Selection and Acquisition

Land Cost:

1000 kilowatts make 1 megawatt. A 100-square-foot installation area is required for a 1 kW solar system. Thus, (100 x 1000) = 1,00,000 square feet of space will be needed to construct a 1 MW solar power plant. An expensive initial investment is finding an adequate site for a solar power facility. The costs of land are greatly influenced by elements including location, accessibility, and closeness to electrical infrastructure. Nearly 5 acres of land are required for a 1 MW solar power plant, and the price varies for different locations and in India. Expenses associated with getting the right licenses, environmental approvals, and land-use permissions from local authorities.

The Engineering, Procurement, and Construction (EPC) cost of a 1 MW solar power plant can vary significantly based on a number of variables, including the plant’s location, the technology it uses, the cost of acquiring the land, and governmental regulations.

Solar Modules and Inverters:

The primary component of a solar power plant is the solar panel, which comes in a variety of forms. The majority of solar energy frameworks usually use monocrystalline and polycrystalline crystalline solar panels. Based on variables such as the kind of module (polycrystalline, monocrystalline, thin-film), brand, quality, and quantity ordered, the cost of solar modules for a 1 MW solar power plant can vary significantly and the price can be around 3 Crore INR.

One of the most essential parts of a solar energy system is the inverter. It is a device that converts solar panels’ produced direct current (DC) electricity into the alternating current (AC) electricity required by the power grid. For a 1 MW solar power plant, the cost is around 1 crore INR.

Racking and Mounting Systems:

The cost of the solar panel mounting structure, which includes the materials, design, and installation, goes into the overall EPC costs. About 9–15% of the overall cost of a solar power plant goes toward the cost of the solar mounting structure. The cost for a 1MW solar power plant can be Rs.35, 00,000. Prices can vary by 10% to 12% based on the area, special offers, and solar brand.

Combiner and Junction box

A solar photovoltaic (PV) system requires a combiner and junction boxes. They are crucial in guaranteeing the overall system’s performance, effectiveness, and safety. Combiner and Junction box cost for a 1MW solar power plant is 20 Lakh INR.

Protective Gears Arrangement

To avoid injuries and accidents, safety should always come first when choosing safety gear for working with solar panels. To protect your eyes from pollutants and UV rays, start by wearing safety glasses or goggles that have been authorized by ANSI. Gloves made of rubber, latex, or insulation provide defense against injuries and electric shock. A licensed hard helmet protects falling items, while earplugs or earmuffs provide hearing protection from loud noises. Foot protection is provided by steel-toed boots, and wearing long sleeves and sturdy clothes is important. For a 1 MW solar power plant, you have to expend around 10 Lakh rupees.

SCADA & Data Logger System

For effective monitoring and management of solar panel systems, a Supervisory Control and Data Acquisition (SCADA) system and a Data Logger are essential. The SCADA system provides real-time monitoring, automation, and control of the solar plant by using parts like Remote Terminal Units (RTUs) and Human-Machine Interfaces (HMIs) for key parameter monitoring. While this is going on, the Data Logger is meticulously collecting data from numerous sensors that are monitoring things like irradiance, temperature, and electrical outputs. To ensure a thorough record of solar panel performance, the obtained data is then sorted and archived for more analysis. The SCADA & Data Logger System requires 7 Lakh rupees for a 1 MW solar panel.

1MW Solar Power Plant Project

A complete procedure is involved in the development of a 1 MW solar panel installation. It starts with careful site selection, taking into account elements like exposure to sunlight and grid availability. Detailed engineering and design plans are created after securing the required permits and approvals. Photovoltaic panels, inverters, and other system components must all be purchased. The first step in installation is to set up the mounting framework, which is followed by attaching the solar panels and building the electrical system. The system works properly after extensive testing and the establishment of the grid connection. It will cost additional expenses, which is around 50 Lakhs INR for a 1 MW solar power plant. Besides, there are some other miscellaneous expenses, such as legal fees, insurance, travel expenses, and administrative overheads.

Developing a 1MW solar power plant involves a complex interplay of various cost factors. To reduce expenses, it’s important to carry out in-depth market research, work with qualified consultants, and take advantage of economies of scale. Additionally, keeping informed of market developments and technological advances can result in the development of 1 MW solar panels that are more productive and economical.

1Megawatt Solar Power Plant Project Report

Particulars	Description
Power Plant Capacity	1-megawatt
Annual power generation	14.60 Lakh (On Average)
Degradation over the first decade (1 to 10 years)	0.05% per year
Degradation from 11 to 25 years	0.67% per year
Debt Percentage	70%
Equity Percentage	30%
Rate of Interest (Indian)	13.0%
Rate of Interest (Foreign)	10%
Repayment Period (Indian)	11 years
Repayment Period (Foreign)	15 Years
Percentage of Indian Loan	70%
Sale of Electricity	Rs.6.49
Cost of Project (per MW)	450 Lakh
O&M Cost (per MW)	8 Lakh/year
Depreciation	5.28%
Corporate Tax	30.28%
Minimum Alternate Tax	18.38%
Project Cost	450 Lakh
Debt	355 Lakh
Equity	95 Lakh

Originally published at futr.energy/knowledge