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Harnessing Solar energy, Options for India

A study on harnessing solar energy options for India was conducted recently by Shakti Sustainable Energy Foundation, Climate works Foundation and SSN foundation. Supporting this study it has been concluded that solar energy can play a big role in providing electricity to rural areas and thus has been included in India’s rural electrification policy. See more at: http://shaktifoundation.in/report/harnessing-solar-energy-options-for-india/

A study on harnessing solar energy options for India was conducted recently by Shakti Sustainable Energy Foundation, Climate works Foundation and SSN foundation. Supporting this study it has been concluded that solar energy can play a big role in providing electricity to rural areas and thus has been included in India’s rural electrification policy. See more at: http://shaktifoundation.in/report/harnessing-solar-energy-options-for-india/

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Table 2: Timeline of <strong>India</strong>n Policy<br />

Year Policy Description<br />

1974–79<br />

1988–89<br />

5 February<br />

2004<br />

April 2005<br />

2006<br />

2007<br />

3 August<br />

2009<br />

14<br />

November<br />

2009<br />

3<br />

December<br />

2009<br />

Minimum Needs<br />

Programme<br />

(MNP)<br />

Kutir Jyoti<br />

Scheme<br />

Definition of<br />

electrified village<br />

under the Ministry<br />

of Power’s<br />

Memorandum<br />

No.42/1/2001-<br />

D(RE)<br />

Rajiv Gandhi<br />

Grameen<br />

Vidyutikaran<br />

Yojana (RGGVY)<br />

Rural<br />

Electrification<br />

Policy<br />

Semiconductor<br />

Policy<br />

Draft of National<br />

<strong>Solar</strong> Mission<br />

approved by prime<br />

minister<br />

JNNSM<br />

Central Electricity<br />

Regulatory<br />

Commission<br />

(CERC)<br />

announces tariff<br />

<strong>for</strong> renewable<br />

<strong>energy</strong> power<br />

generation<br />

Overall objective was to cover at least 60% of<br />

villages in each state and union territory under the<br />

rural electrification programme by 1990; a target<br />

of 46,464 additional villages were fixed <strong>for</strong> the<br />

Sixth Plan under the MNP. The actual<br />

achievement, however, was estimated at 34,489<br />

villages. *<br />

Launched <strong>for</strong> extending single-point light<br />

connections to households of rural poor families<br />

below the poverty line, including Harijan and<br />

Adivasi families.<br />

The definition of an electrified village was<br />

changed (among other things) to at least 10% of<br />

the total number of households in the village being<br />

electrified.<br />

This was a major initiative towards universal<br />

electrification. Under the programme, 90% grant is<br />

provided by the central government and 10% as<br />

loan by the Rural Electrification Corporation<br />

(REC) to the state governments. The REC is the<br />

nodal agency <strong>for</strong> the programme.<br />

•Access to electricity <strong>for</strong> all households by 2009.<br />

• Quality and reliable power supply at reasonable<br />

rates.<br />

• Minimum supply of 1 unit per household per<br />

day as a merit good by 2012.<br />

To encourage semiconductor and ecosystem<br />

manufacturing, of which solar PV is also a<br />

component.<br />

A capital subsidy of 20% <strong>for</strong> manufacturing<br />

plants in Special Economic Zones (SEZ) and<br />

25% <strong>for</strong> manufacturing plants outside of SEZs,<br />

based on the condition that the net present value<br />

(NPV) of the investment is at least US$ 212<br />

million (`10,000 million [`1,000 crore] @ US$<br />

1 = `47).<br />

The plan has an ambitious target of generating<br />

20,000 MW solar power by 2020; the mission<br />

strategy consists of three phases.<br />

Release of mission document.<br />

For solar power, the tariff period has been<br />

specified as twenty-five years. The CERC has<br />

determined a tariff of `18.44/kWh <strong>for</strong> solar PV<br />

projects and `13.45/kWh <strong>for</strong> solar thermal projects<br />

commissioned in FY 2009–10.<br />

<strong>India</strong>’s <strong>Solar</strong>-specific Policies CSTEP | Page 36

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