Lok Sabha Question No. 2882 (UNSTARRED), answered on 2018-01-04
Subject: Use of Funds under NCEF
Ministry: NEW AND RENEWABLE ENERGY
Asked by: RABINDRA KUMAR JENA, DEEPENDER SINGH HOODA

## GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 2882

TO BE ANSWERED ON 04.01.2018

## USE OF FUNDS UNDER NCEF

## 2882. SHRI RABINDRA KUMAR JENA: SHRI DEEPENDER SINGH HOODA:

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

- (a): the changes made in the guidelines regarding use of funds under the National Clean Energy Fund;
- (b): the  project  proposals  cleared  and  the  funds  given  from  the  said  Fund  since  2011,  Statewise;
- (c): the number of projects relating to or in the nature of the research and innovation in clean technologies out of the projects implemented under the said Fund;
- (d): whether  there  is  any  mechanism  to  check  the  commercial  and  operational  viability  of  a project  before  fund  for  it  is  sanctioned  by  the  Inter-Ministerial  Group  and  if  so,  the  details thereof;
- (e): the details of funds utilized/yet to be utilized by the respective designated Departments/Agencies along with the reasons for non-utilization of funds, project-wise; and
- (f): if so, the details thereof?

## ANSWER

## THE MINISTER OF STATE FOR POWER AND NEW & RENEWABLE ENERGY (I/C) (SHRI R.K. SINGH)

- (a): The  National  Clean  Energy  Fund  (NCEF)  was  created  out  of  cess  on  coal  produced  / imported, through Finance Bill 2010-11. NCEF guidelines of April 2011 were revised in March 2017, to expand the scope of the fund to include clean environment initiatives. Accordingly, the name of NCEF has been changed to National Clean Energy and Environment Fund (NCEEF). Further, the Goods and Services Tax (Compensation to States) Act, 2017 which has been notified in  April  2017,  provides  that  coal  cess,  along  with  some  other  cess  would  constitute  GST Compensation Fund and the same would be utilized to compensate the States for five years to compensate them for potential losses on account of GST implementation. After five years any amount left would be shared on 50% basis between Centre and States.

(b) to (d): An amount of Rs. 24,614.49 Cr was allocated from NCEEF to the Ministry of New & Renewable Energy, Ministry of Water Resources, River Development & Ganga Rejuvenation and Ministry of Environment and Forests from the year 2011-12 till date. The Inter-Ministerial Group  (IMG),  in  consultation  with  the  Ministries  proposing  the  projects,  after  examining  the suitability as per the guidelines, has recommended 55 projects with a total Viability Gap Funding (VGF)  of  Rs.  34,811.19  crore.  These  projects  include  innovative  schemes  like  Green  Energy Corridor  for  boosting  up  the  transmission  sector,  Namami  Gange,  Green  India  Mission, Jawaharlal  Nehru  National  Solar  Mission  (JNNSM)'s  installation  of  solar  photovoltaic  (SPV) lights and small capacity lights, installation of SPV water pumping systems, SPV Power Plants, Grid Connected Rooftop SPV Power Plants.

(e) & (f): From the financial year 2011-12 to 2016-17, an amount of Rs. 20,942.29 crore was transferred  to  NCEEF  and  an  amount  of  Rs.  15,911.49  crore  was  financed  from  NCEEF  for projects.  For  the  year  2017-18,  a  Budget  Estimate  of  Rs.  8,703  crore  has  been  transferred  to NCEEF.

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