• To generate solar power by installing solar panels on the roof of the houses, Ministry of New and Renewable Energy, Government of India is implementing Grid-connected Rooftop Solar Scheme (Phase-II).

    • Under this scheme Ministry is providing 40% subsidy for the first 3 kW and 20% subsidy beyond 3 kW and upto 10 kW.

    • The scheme is being implemented in the states by local Electricity Distribution Companies (DISCOMs).

    • The DISCOMs have empaneled vendors through bidding process and have decided rates for setting up a rooftop solar plant.

    • Residential consumers willing to set-up a rooftop solar plant under MNRE scheme can apply online and get rooftop solar plants installed by listed vendors.

    • For this, they have to pay the cost of rooftop solar plant by reducing the subsidy amount given by the Ministry as per the prescribed rate to the vendor.

    • The subsidy amount will be provided to the vendors by the Ministry through the DISCOMs.

    • Domestic consumers are informed that to get subsidy under the scheme of the Ministry, they should install rooftop solar plants only from the empanelled vendors of the DISCOMs following due process of approval by DISCOMs.

    • The solar panels and other equipment to be installed by the empanelled vendors shall be as per the standard and specifications of the Ministry and also includes 5-year maintenance of the rooftop solar plant by the vendor.

    • It has also been brought to the notice of the Ministry that some vendors are charging more price than the rates decided by DISCOMs from domestic consumers, which is incorrect.

    • Consumers are advised to pay only according to the rates decided by DISCOMs.

About Rooftop Solar Scheme

    • The scheme aims at achieving total rooftop solar power generation capacity of 40,000 megawatt (MW) by 2022.

    • It has two components. The first component involves setting up 4,000 MW grid-connected rooftop solar plants in the residential sector with central financial assistance (CFA).

        ◦ CFA @ 40% for capacity up to 3 kWp

        ◦ CFA @ 20% for capacity beyond 3 kWp and up to 10 kWp

        ◦ CFA @ 20% for GHS/RWA capacity up to 500 kWp (limited to 10 kWp per house and total upto 500 kWp)

    • The second component involves incentives to discoms based on achievement for installing additional grid-connected rooftop capacity in all sectors over and above the base level, with the incentives being limited to the first additional 18,000 MW of rooftop capacity added.

        ◦ No incentives for capacity addition up to 10%

        ◦ 5% incentives for addition beyond 10% and up to 15%

        ◦ 10% incentives for addition beyond 15%

    • The government plans to add 38,000 MW of capacity under the second phase with a total central financial assistance of an estimated Rs 6,600 crore for achieving 4,000 MW capacity for residential sector.

    • The government is working on a target to achieve 175 gigawatt (GW) of renewable energy generation capacity by 2022. That includes 100 GW of solar, 60 GW of wind, 1 GW of biomass-based plants, and 5 GW fo small hydro. 

    • The solar power capacity target includes 40 GW of rooftop solar projects.

(The author is a trainer for Civil Services aspirants. The views expressed here are personal.)