The Schemes Launched by Government to Promote the Solar Energy in the Country
Shri Raj Kumar Singh, Minister of State (IC) for Power and New & Renewable Energy, informed the Lok Sabha today in a written reply to a question on schemes initiated by the government to promote solar power in the country, that the government has launched several schemes in the country to promote solar energy. The following systems and their components of Central Financial Assistance are described in detail:
Table of Contents
| Sr. No. | Scheme | Central Financial Assistance/Subsidy |
| 1 | The Scheme for Development of Solar Parks and the Ultra Mega Solar Power Projects. | 1. Rs.20 lakhs/MW or 30% of the project cost including Grid-connectivity cost, whichever is lower. 2. CFA p Rs 25.00 lakh per park for DPR preparation of solar parks, conducting surveys, etc. |
| 2 | Operationalization of 300 MW Solar PV Projects by defence establishment and para military forces | 1. Bidders selected on the basis of the bids for minimum VGF requirement for the project with the commitment to supply solar power at Rs. 5.50/KWh for 25 years. 2. The upper limits of the VGF are as follows: Category-I:Rs.2.5 crore/MW for project capacity up to 5 Mega Watts or 30% of the project cost whichever is lower; Category-II:Rs. 2 crore/Mega Watts for project capacity greater than 5 Mega Watts up to 25 Mega Watts or 30% of the project cost whichever is lower; and Category-III:Rs. 1.5 crore /MW for project capacity greater than 25 MW or 30% of the project cost whichever is lower. Keeping in view technology upgradation and the economies of scales, the upper limit of VGF was revised on 17.02.2017 to @ Rs. 1.10 Cr./Mega Watts for all the projects irrespective of sizes for which tenders were not brought out. |
| 3 | Scheme for Setting up of 750 Mr Grid-connected Solar PV Power Projects under Batch-1 of Phase-II of JNNSM with Viability Gap funding Support. | Selection of bidders has been based on the Viability Gap Funding (VGF) required for project in an the ascending order upto the full capacity. The Viability Gap Funding (VGF) is limited to 30% of the project cost or 2.5 crore per Mega Watts, whichever is lower. Solar 3. The Energy Corporation of India (SECI) has signed PPA with such project developers for purchasing entire the power from the project for 25 years at 5.45 Rs. per unit (4.75 Rs. per unit for the projects availing accelerated depreciation). |
| 4 | The Scheme for Setting up of 2000 MW Grid-connected Solar PV Power Projects under Batch-III of Phase-II of JNNSM with Viability Gap Funding Support. | The Project developer is provided a viability gap funding based on his the bid. Upper limit for the VGF is kept at Rs.1.0 Crore/Mega Watts for open category (Rs. 1.31 Crore/Mega Watts for projects in DCR category). Funding Support. |
| 5 | The Scheme for Setting up of 5000 Mega Watts Grid-connected Solar PV Power Projects under Batch-IV of Phase-11 of JNNSM with Viability Gap Funding Support | Project developer is provided a Viability Gap Funding based on his the bid. upper limit for The VGF is kept at Rs. 1.0 crore/Mega Watts for open category and Rs. 1.25 crore/Mega Watts for projects in DCR category. SECI 3. will select projects through competitive e-bidding based on minimum VGF sought (quoted in INR/Mega Watts), or there may be a provision for quoting a discounted tariff(quoted in INR/kWh). |
| 6 | Grid Connected Rooftop | CFA is 30% of the benchmark cost for general and 70% CFA for North Eastern and Special Category States for residential, social and institutional sector. |
| 7 | Pilot-cum-demonstration project for development of grid connected solar PV power plants on canal banks and canal tops. | 1. Financial support of Rs.3 crore/Mega Watts or 30% of the project cost, whichever is lower, for Canal Top SPV projects and Rs. 1.5 crore/Mega Watts or 30% of the project cost, whichever is lower, for the Canal Bank SPV projects. 2. Total CFA of upto Rs.225 crore for 100 Mega Watts (50 Mega Watts on Canal Tops and 50 MW on Canal Banks) to be disbursed over a period of MaXimum 2 years post the sanctioning of the plants as under: • upto 40% on sanctioning of the projects. • 60% on successful commissioning of the projects. • Service charge to SECI @1% of project cost. |
| 8 | Scheme for setting up of 1000 MW of Grid-Connected Solar PV Power projects by Central Public Sector Undertakings (CPSUs) under Batch-V of Phase II of JNNSM | 1. The Viability Gap Funding (VGF) provided through SECI at a fixed rate of Rs. 1 Cr/ Mega Watts for projects where domestically produced cells and modules are used and Rs. 50 lakh/ Mega Watts in cases Where domestically produced modules are used. The VGF released in two tranches as follows: I. 50% on successful commissioning of the full capacity of project (COD). II. Balance 50% after one year of successful operation of the project. |
Note: CFA stands for Central Financial Assistance.
Benefits can be availed by applying under these the schemes in accordance with guidelines of respective the schemes. Guidelines are the hosted on the website of the Ministry at www.mnre.gov.in, Shri Singh informed.