Lastmonth, Gujarat Urja Vikas Nigam – the state-backed off-taker of solar power –demanded it be allowed to cut payouts to the owners of nearly 1GW of installedPV capacity.

GUVNargued that it had been misled by developers about the true cost of PV, and itshould be allowed to reduce its payments to a more “reasonable” 9 rupees($0.14) per kWh – down from the average 12.54