"It will be the single largest solar PV power plant. A MoA has signed between West Bengal Green Energy Development Corporation Ltd and Power Finance Corporation for loan funding of Rs 30.9 crore," WBGEDCL managing director S P Gon Chaudhuri said.

The total project cost was Rs 41.2 crore, excluding land.

The union government would pay incentive a maximum of Rs 12 per unit for ten years to subsidise the generation cost which would be Rs 15 per unit," he said.

Dishergarh Power Station would buy all the power generated by the solar PV power plant.

The price of power has not yet been decided as it would depend on the government incentive.

"We are looking at this as a pilot project and the rate of interest would be softer than the usual rates," PFC chairman and managing director V K Garg said.

Garg said the project would also be entitled to Rs 3 crore in carbon credit during the life of the project.

West Bengal Power minister Mrinal Banerjee said a solar park was coming up at Purulia on 100 to 150 acre and would have a cumulative generation capacity of 30 MW.

Gonchaudhuri said West Bengal had a potential of 10,000 MW of renewable sources.

"We have set a target to add 400 MW of power from renewable sources by end of 11th Five-year plan," he said.