Faq On Rooftop
Faq On Rooftop
Faq On Rooftop
In a solar rooftop system, the solar panels are installed in the roof of any residential,
institutional, social, Government, commercial, industrial buildings etc.. This can be of two
types
(i) Solar Rooftop System with storage facility using battery, and
In grid connected rooftop or small SPV system, the DC power generated from SPV panel is
converted to AC power using power conditioning unit/Inverter and is fed to the grid either of
440/220 Volt three/single phase line or of 33 kV/11 kV three phase lines depending on the
capacity of the system installed at residential, institution/commercial establishment and the
regulatory framework specified for respective States. These systems generate power during
the day time which is utilized by powering captive loads and feed excess power to the grid as
long as grid is available. In case, where solar power is not sufficient due to cloud cover etc.,
the captive loads are served by drawing balance power from the grid.
CAPEX Model : Here, the entire system is owned by the rooftop owners and he bears the
cost of the Soalr system. Responsibility of O&M for the system lifetime (25 years) is also
with the rooftop owner. Developer is responsible for installing the system and initial 2 years
O&M and five years warranty.
RESCO Model : Here, the entire system is owned by the developer. Responsibility of O&M
for the system lifetime (say about 25 years) is also with the developer. Rooftop owners may
consume the electricity generated, for which they have to pay a pre-decided tariff on a
monthly basis. Excess generation may be exported to the grid, subject to availability of
requisite state regulations.
For consumers that have adequate manpower/expertise for O&M, rooftop access concerns,
availability of funds upfront, CAPEX model is better. Consumers in states that have net-
metering regulations can take benefit of the same in case they have substantial excess
generation.
On the other hand, consumers who prefer not to take responsibility for the system O&M, do
not have rooftop security concerns and prefer to pay on a monthly basis rather than bulk
upfront payment may choose to go for RESCO model.
6. What is net-metering?
The grid connected rooftop system can work on net metering basis wherein the beneficiary
pays to the utility on net meter reading basis only. Alternatively two meters can also be
installed to measure the export and import of power separately. The mechanism based on
gross metering at mutually agreed tariff can also be adopted.
( *Payback period may further reduce in case there is any change in higher tariff slabs
of electricity bill of the consumer due to net reduction in monthly electricity units
consumed from Grid or if electricity tariff increases)
In a RESCO model the entire system is owned by the project developer and
rooftop owners used to pay a monthly pre-determined tariff based on
their consumption of electricity to the project developer.
Responsibility of operations and maintenance is on the developer.
Selection of vendor:
To avail CFA the beneficiary need to install the RTS system through the valid selected
vendor of the respective State Nodal Agency which were selected through transparent
process ( say biding/empanelment/rate contract etc. ) against the MNRE’s sanctioned
capacity.
Feasibility analysis:
The selected vendor after getting the work order from the State Nodal Agency will do
the feasibility study of the RTS plants to be installed at the rooftop of beneficiary and
will install the plant as per the minimum technical standards specified by the Ministry
under the scheme.
The selected vendor will assist the consumer in submission of forms of respective
DISCOMs for grid connectivity/net-metering connections etc. After submission of
application form the DISCOM conducts feasibility study, charges application /net
metering fees, conducts site visits, installs net-meter and provides grid connectivity/net
metering after commissioning of the project. In some cases, inspection by Chief
Electrical Inspector to the Govt. (CEIG) may also be required.
Subsidy disbursement:
After installation of RTS plants the consumer shall inform the respective State Nodal
Agency for inspection of the plants along with grid connectivity/net metering
application form already submitted to the DISCOMs. Concerned State Nodal Agency
after due inspection and satisfactory performance will disburse the applicable CFA to
the beneficiary/ bidder depending on the condition that whether the full project cost
has been made by beneficiary or project cost minus CFA has been made by the
beneficiary.
(Note: The above procedure may vary from State to State depending on State policy)
10. How much area is required for a 1 kW rooftop Solar PV system?
A 1 kW rooftop system generally requires 10 sq. metres of shadow-free area. Actual sizing,
however, depends on local factors of solar radiation and weather conditions, efficiency of
solar module, shape of the roof etc.
11. What is the average cost of grid connected rooftop solar systems?
The benchmark cost of grid connected rooftop solar systems for FY 2018-19 varies from Rs.
53 per watt – Rs. 60 per watt. The details are as follows:
Above 1 kW and up to 10 kW 60
Above 10 and up to 100 kW 55
Above 100 kW and up to 500 kW 53
( Central Govt Subsidy is available on these Bench mark cost or tender cost established by
State Govt, which ever is lower.)
*However this varies from State to State/project developers/tenders etc. For the year 2019
Benchmark costs may be revised during April, 2019.
12. What are the subsidies/ capital support available from the Government?
The brief of central financial assistance/incentives for Rooftop Solar programme are as
follows:
Central Financial Assistance upto 30% of the benchmark cost for general category states
(upto 70% of the benchmark cost for special category states i.e., North - Eastern States
including Sikkim, Uttarakhand, Himachal Pradesh, Jammu & Kashmir and Lakshadweep,
Andaman & Nicobar Islands) is being given in residential, institutional, social sector etc.
Achievement linked incentives upto ( 25%, 15 % and 10 %) of the benchmark cost for
general category states and upto ( 60%, 36 % and 24 %) of the benchmark cost for special
category states i.e., North - Eastern States including Sikkim, Uttarakhand, Himachal Pradesh,
Jammu & Kashmir and Lakshadweep, Andaman & Nicobar Islands) is being provided based
on achievement in various slabs. Details are given in website
https://mnre.gov.in/file-manager/UserFiles/Notification-Incentive-&-Award-scheme-for-
Govt-Sector-30032017.pdf ,
https://solarrooftop.gov.in/notification/Notification-16022018-140242.pdf
The phase II of the programme has been approved by CCEA wherein central financial
assistance has been restricted to domestic sector only upto maximum capacity of 10
kWp.
3 For installed capacity achieved beyond 5% of the applicable cost** for capacity
15% over and above of installed based achieved above 10% and up to 15% of
capacity* within one financial year. the installed base capacity PLUS 10%
of the applicable cost** for capacity
achieved beyond 15% of the installed
base capacity.
*Installed base capacity shall mean the cumulative RTS capacity installed within the
jurisdiction of DISCOMs at the end of previous financial year. This will include total RTS
capacity installed under Residential, Institutional, Social Government, PSU,
Statutory/Autonomous bodies, Private Commercial, Industrial Sectors etc.
** applicable cost is the applicable benchmark cost of MNRE for the state/UT for mid-range
RTS capacity of above 10 kW and upto 100 kW or lowest of the costs discovered in the
tenders for that State/UT in that year, whichever is lower.
15. What are the procedures for availing subsidy/achievement linked incentives ?
Residential/Social/Institutional Sector:
Eligible beneficiary interested to avail subsidy may directly apply to the implementing
agency ( e. g. State Nodal Agency/SECI etc. ) and get necessary approvals prior to
installation of RTS systems. The implementing agency needs to select vendors for installation
of Rooftop projects by adopting competitive bidding process. Sanction orders are given by
MNRE to these implementing agencies for the capacity of the rooftop solar systems planned
to be installed by them.
The implementing agency must submit complete project details online in the website
www.solarrooftop.gov.in for availing eligible service charges and incentives. The online
portal captures all details of the project, viz. capacity, project cost, address, district, State,
latitude, longitude etc.
MNRE does not sanction any project or subsidy directly to the beneficiaries.
The sanctions would be issued on the basis of online project proposal submitted by
implementing agency.
State Subsidy support is also available in a few states which varies according to the state
policies.
17. Whether solar module should be made of indigenously for subsidised projects?
18. What is the minimum warrantee period envisaged under the scheme?
Solar PV modules used in solar power plants /systems must be warranted for their output
peak watt capacity, which should not be less than 90% at the end of 12years and 80% at the
end of 25 years.
19. What are the other fiscal incentives are available for Solar Rooftop Systems?
There are provisions of concessional import duty, accelerated depreciation, tax holiday for
setting up grid connected rooftop power plants.
20. What are requirements from State to promote grid-connected rooftop solar
systems?
(i) States should have conducive solar policy to allow the grid connectivity.
(ii) State Regulators have issued tariff order for appropriate tariff, net-metering/gross
metering and the grid connectivity,
(iii) The Distribution Companies agree to allow grid connectivity and purchase the electricity
on feed-in-tariff or through net metering arrangement.
21. Who are the main stakeholders of the Grid Connected Rooftop Programmes ?
Financial Institutions/Banks
The financial Institutions and financial Integrators i.e., NABARD, National Housing
Banks, other Banks, IREDA, etc.
Other Govt. Departments/Agencies i.e., Railways, Defense/Para Military Forces,
Local Government Bodies including Municipal Corporations/Municipalities,
State Departments, etc. interested in directly implementing the programme are
also encouraged.
22. Kindly name the States having notified the solar rooftop policy?
Electricity Regulatory commissions have notified the regulations for all States /UTs.
https://mnre.gov.in/file-manager/UserFiles/solar-rooftop-states-policy-tariff.htm .
Amendments if any may kindly be seen at the respective websites of the State
Electricity Regulatory Commission/Joint Electricity Regulatory Commission .
24. Kindly name the States having notification on mandatory solar installation?
Haryana (http://hareda.gov.in/writereaddata/document/hareda742575984.pdf ),
Chandigarh (http://www.crestchd.org.in/Building.pdf ), Uttar Pradesh & Chhattisgarh
so far. For any amendments please visit respective website of State Govt. please.
25. Kindly name the State having online portal for rooftop solar installation?
• Chandigarh (https://www.solarchandigarh.com/ )
• Andhra Pradesh (http://usrtp.nredcap.in/ )
• Punjab (http://solarpunjab.com/ )
• Delhi ( http://solarrooftop.gov.in/delhi/ )
• Gujarat (https://geda.ahasolar.in/ )
• Haryana ( http://www.dnreapplyonline.gov.in/ )
• Jharkhand (https://jreda.ahasolar.in/ )
• Odisha (http://rts.odisha.gov.in/ )
• Rajasthan (http://rreclmis.energy.rajasthan.gov.in/Detail/Allproject.aspx )
• Assam (http://rodalee.com/ )
• Goa (http://solarrooftop.gov.in/goa/ )
• Uttar Pradesh ( https://upnedasolarrooftopportal.com/ )
• Maharashtra (https://www.mahaurja.com/gcrt1819/login.php )
• Kerala (www.buymysun.com )
• Telangana (http://tsredco.telangana.gov.in/)
26. What efforts is the Government making to provide loans for solar rooftop
systems?
Department of Financial services has instructed to all Public Sector Banks (PSB) to
encourage home loan/ home improvement loan seekers to install rooftop solar PV
plants and include cost of system in their home loan proposals. So far, nine PSBs
namely Bank of India, Syndicate Bank, State Bank of India, Dena Bank , Central
Bank of India, Punjab National Bank, Allahabad Bank, Indian Bank and Indian
Overseas Bank have given instructions to extend loan for Grid Interactive Rooftop
Solar PV Plants as home loan/ home improvement loan.
27. What are the multilateral loans available for RTS projects and who are the
implementing banks:
• World Bank to SBI (USD 620 Million). See loan product details at
https://www.sbi.co.in/webfiles/uploads/files/SBI_WORLD_BANK.pdf
• Asian Development Bank to Punjab National Bank ( USD 500 million). See loan
product details at https://www.pnbindia.in/Rooftop-Solar-Power.html
28. What are the O&M aspects of a grid-connected rooftop solar PV system?
Compared to most other power generating technologies, solar PV systems have very
low maintenance and servicing requirements. However, suitable maintenance of a PV
plant is essential to optimise energy yield and maximise the life of the system.
Some of the maintenance activity typically may include but not limited to the
following:
Only Module cleaning is required (dust, bird dropping and other debris can
cause decrease in power generation)
India is endowed with vast solar energy potential. About 5,000 trillion kWh per year energy
is incident over India’s land area with most parts receiving 3-5 kWh per sq. m per day. Based
upon the availability of land and solar radiation, the potential of solar power in the country
has been assessed to be around 750 GW.
30. What is the potential for rooftop solar power in the country?
National Institute of Solar Energy (NISE) has estimated a potential of 43 GW for Grid
Connected RTS in the country.
31. What targets has the Government kept for installation of Rooftop Solar Plants in
the country?
Government of India has set the target of installing 40,000 MW of Rooftop Solar (RTS)
Power by the year 2022. Statewise tentative targets are available in the website link
(https://mnre.gov.in/sites/default/files/webform/notices/State-wise-and-year-wise-target-for-
installation-of-40000MWp-GCRT-systems_0.pdf )
32. What is the State wise breakup of sanctioned capacity under the scheme?
29 Lakshadweep 1
30 Meghalaya 8
31 Goa 2
32 Karnataka 0
33 Sikkim 0
34 Nagaland 0
35 Dadar and Nagar Haveli 0
36 Daman and Diu 0
Sub-Total ( by State Nodal Agency/
A1 1319.39
Departments)
Total sanctioned capacity as on
Sr. No. States/entity
04.03.2019 ( MW)