GOVERNMENT OF INDIA

MINISTRY OF NEW AND RENEWABLE ENERGY

RAJYA SABHA
UNSTARRED QUESTION NO. 448
ANSWERED ON 06/02/2024

SCHEMES UNDER GOVERNMENT'S SOLAR ENERGY INITIATIVE

448. MS. KAVITA PATIDAR

SHRI DEEPAK PRAKASH
SHRI PABITRA MARGHERITA

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

(a) the names of the Schemes that come under the solar energy initiative of Government; and;

(b) the specific financial assistance or subsidy provided under the Solar Energy Programme?
ANSWER

THE MINISTER OF NEW & RENEWABLE ENERGY AND POWER

(SHRI R.K. SINGH)

(a) & (b) MNRE is implementing various schemes and programmes which have provisions of
subsidy to promote solar energy, which inter-alia include:

i Rooftop Solar Programme Phase-II

ii Central Public Sector Undertaking (CPSU) Scheme Phase-II (Government Producer
Scheme) for grid-connected Solar Photovoltaic (PV) Power Projects by the Government
Producers
iii Production Linked Incentive (PLI) Scheme ‘National Programme on High Efficiency Solar
PV Modules’
iv Solar Park Scheme
v PM-KUSUM scheme
vi New Solar Power Scheme (for PVTG Habitation/Villages) under Pradhan Mantri Janjati
Adivasi Nyaya Maha Abhiyan (PM JANMAN)

The details of financial assistance or subsidy being provided by MNRE under these
schemes/programmes are given in Annexure-I.

*****
 Annexure-I

Annexure referred to in reply of parts (a) & (b) of the Rajya Sabha Unstarred Question No.
448 for 06.02.2024 regarding ‘Schemes under Government's solar energy initiative’

Financial assistance or subsidies being provided for the implementation of major solar
energy schemes/ programmes.

Scheme/ Programmes Incentive presently eligible as per the Scheme

a) Grid Connected The Programme envisages the installation of 4,000 MW of RTS
Rooftop Solar PV Power capacity in the residential sector by providing Central Financial
Projects Assistance (CFA). The CFA admissible for general category states
is Rs. 18000/kW for the first 3 kW Rooftop Solar (RTS) capacity and
Rs. 9000/kW for Rooftop Solar (RTS) capacity beyond 3 kW and up
to 10 kW. For special category states (North-eastern states
including Sikkim, Uttarakhand, Himachal Pradesh, UT of Jammu &
Kashmir, Ladakh, Lakshadweep, and Andaman & Nicobar Islands),
the admissible CFA is Rs. 20000/kW for first 3 kW RTS capacity and
Rs. 10000 /kW for RTS capacity beyond 3 kW and up to 10 kW. The
Resident Welfare Associations/ Group Housing Societies
(RWA/GHS) are also eligible to avail CFA for RTS installation in
common facilities, up to a maximum of 500 kW capacity. The CFA
admissible for RWA/GHS is Rs. 9000/kW in general category states
and Rs. 10000/kW in special category states.

The Financial outlay of the Phase-II Rooftop Solar (RTS)

programme is Rs.11,814 crore which includes Rs.6,600 crore of
CFA and Rs.4,985 crore of incentives to the Distribution
Companies.

b) Central Public Sector Viability Gap Funding (VGF) support up to Rs 55 lakhs per MW to
Undertaking (CPSU) the CPSUs/Govt. Organizations entities selected through
Scheme Phase-II competitive bidding process.
(Government Producer
Scheme)

c) PLI Scheme ‘National The beneficiaries are eligible for Production Linked Incentive (PLI)
Programme on High on production and sale of solar PV modules. The quantum of PLI
Efficiency Solar PV eligible for disbursal depends upon: (i) quantum of sales of solar PV
Modules’ modules; (ii) performance parameters (efficiency and temperature
coefficient of maximum power) of solar PV modules sold; and (iii)
percentage of local value addition in modules sold.

d) Solar Park Scheme Up to 25 lakhs per Solar park, for preparation of Detailed Project
Report (DPR).
Scheme/ Programmes Incentive presently eligible as per the Scheme
20 Lakh per MW or 30% of the project cost, whichever is lower, for
development of infrastructure.

e) PM-KUSUM scheme Component A: Setting up of 10,000 MW of Decentralized

Ground/Stilt Mounted Solar Power Plants
Benefit available: Procurement Based Incentive (PBI) to the
DISCOMs @ 40 paise/kWh or Rs.6.60 lakhs/MW/year, whichever is
lower, for buying solar power under this scheme. The PBI is given
to the DISCOMs for a period of five years from the Commercial
Operation Date of the plant. Therefore, the total PBI payable to
DISCOMs is up to Rs. 33 Lakh per MW.

Component B: Installation of 14.00 Lakh Stand-alone Solar Pumps

Benefit available: CFA of 30% of the benchmark cost or the tender
cost, whichever is lower, of the stand-alone solar agriculture pump
is provided. However, in North Eastern States, Sikkim, Jammu &
Kashmir, Ladakh, Himachal Pradesh and Uttarakhand,
Lakshadweep and A&N Islands, CFA of 50% of the benchmark cost
or the tender cost, whichever is lower, of the stand-alone solar pump
is provided. Component B can also be implemented without State
share of 30%. The Central Financial Assistance will continue to
remain 30% and rest 70% will be borne by the farmer.

Component C: Solarisation of 35 Lakh Grid Connected Agriculture

Pumps including through feeder level solarisation
Benefit available:
(a) Individual Pump Solarization (IPS): CFA of 30% of the
benchmark cost or the tender cost, whichever is lower, of the solar
PV component will be provided. However, in North Eastern States,
Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh and
Uttarakhand, Lakshadweep and A&N Islands, CFA of 50% of the
benchmark cost or the tender cost, whichever is lower, of the solar
PV component is provided. Component C (IPS) can also be
implemented without State share of 30%. The Central Financial
Assistance will continue to remain 30% and rest 70% will be borne
by the farmer.

(b) Feeder Level Solarization (FLS): Agriculture feeders can be

solarized by the State Government in CAPEX or RESCO mode with
CFA of Rs. 1.05 Crore per MW as provided by MNRE. However in
North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal
Pradesh, Uttarkhand, Lakshadweep and Andaman & Nicobar
Island, CFA of Rs. 1.75 crore per MW is provided.
f) New Solar Power Under Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan (PM
Scheme (for PVTG JANMAN), Ministry of New and Renewable Energy has issued a
Habitation/Villages) New Solar Power Scheme (for PVTG Habitation/Villages) on
under Pradhan Mantri 04.01.2024. This scheme will cover electrification of all un-
 Scheme/ Programmes Incentive presently eligible as per the Scheme
Janjati Adivasi Nyaya electrified households (HHs) in PVTG area by provision of off-grid
Maha Abhiyan (PM solar systems where electricity supply through grid is not techno-
JANMAN) economically feasible.

In addition, the scheme has provision for providing solar

lighting in 1500 Multi-Purpose Centres (MPCs) in PVTG area where
electricity through grid is not available. A total financial outlay of Rs.
515 crores have been approved under the Scheme. The Scheme
has provision for electrification of HHs through standalone solar
home lighting systems where HHs are scattered and through solar
mini-grid for a cluster of HHs.

S. Central Financial
Components
No. Assistance (CFA)
Provision of 0.3 kW Solar off-grid
Rs. 50,000 per HH
1 system for 1 lakh PVTG Households
or as per actual cost
(HHs)
Solar street lighting and provision of
lighting in 1500 Multi-Purpose
2 Centres (MPCs) of PVTG areas Rs. 1 lakh per MPC
where electricity through grid is not
available