Azure Power India Pvt Ltd is planning to invest Rs. 2000 million to set up a 2 MW solar plant in Kolar and a 10 MW solar plant in Bagalkot in Karnataka. The company has received state government approval for Kolar project and signed the necessary purchase agreements. The unit will become operational by March 2011. The company had already commissioned a 2 MW solar power plant in Amritsar. It may be noted, the Karnataka government has provided a 10 year tax holiday to its solar power projects in the state.