Lok Sabha Question No. 3030 (UNSTARRED), answered on 2020-03-12
Subject: Investment in Renewable Energy Sector
Ministry: NEW AND RENEWABLE ENERGY
Asked by: Shobha Karandlaje

## GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 3030

TO BE ANSWERED ON 12.03.2020

## INVESTMENT IN RENEWABLE ENERGY SECTOR

## 3030. KUMARI SHOBHA KARANDLAJE

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

- (a) whether it is a fact that the renewable energy capacity addition in the year 2019-20 is likely to exceed the capacity addition achieved in the year 2018-19;
- (b) if so, the details of the total investment made in this sector during the last three years;
- (c) the steps taken/being taken by the Government to boost the investment in renewable energy sector in the country;
- (d)  whether  the  Government  has  launched  Kisan  Urja  Suraksha  evam  Utthaan  Mahabhiyan  (PM KUSUM) with the objective of providing financial and water security to farmers and if so, the details thereof;
- (e) whether the combination of three components of the PM KUSUM scheme are likely to save about 27 million tonnes of Carbon Dioxide (CO2 ) emission per annum and if so, the details thereof; and
- (f) the objectives of setting up of Indian Renewable Energy Development Agency (IREDA) Limited?

## ANSWER

## THE MINISTER OF STATE (I/C) FOR NEW & RENEWABLE ENERGY, POWER and MoS for SKILL DEVELOPMENT AND ENTREPRENEURSHIP

## (SHRI R.K. SINGH)

- (a) A total of 8004.64 MW of renewable energy capacity has been installed during the period April, 2019 to January, 2020 as compared to 5978.47 MW installed during the same period of the year 2018-19.
- (b) Most of the grid connected renewable energy projects in the country are being implemented by the private sector developers selected through transparent competitive bidding process. Capital investment made by these developers is their privileged information. However, based on standard capital cost per MW, an investment  of  around  Rs  1.34  lakh  crore  is  estimated  to  have  been  made  in  the  renewable energy sector during the last three years i.e. 2017-18 to 2019-20 (upto January 2020).
- (c)  The  steps  taken  by  the  Government  to  boost  the  investment  in    renewable  energy  sector  in  the country,  inter-alia,  include  Permitting  Foreign  Direct  Investment  (FDI)  up  to  100  percent  under  the automatic route, strengthening of Power Purchase Agreements(PPAs), mandating requirement of Letter of Credit(LC) as payment security mechanism by distribution licensees for ensuring timely payments to RE generators, setting up of Ultra Mega Renewable Energy Parks to provide land  and transmission on plug and play basis to investors, waiver of Inter State Transmission System (ISTS) charges and losses for inter-state  sale  of  solar  and  wind  power  for  projects  to  be  commissioned  by  31 st December,  2022, notification  of  standard  bidding  guidelines  to  enable  distribution  licensees  to  procure  solar  and  wind power at competitive rates in cost effective manner, declaration of trajectory for Renewable Purchase Obligation (RPO) up to the year 2022, laying of transmission lines under Green Energy Corridor Scheme for evacuation of Power in Renewable rich states, launching of  new schemes such as Pradhan Mantri

Kisan  Urja  Suraksha  evam  Utthaan  Mahabhiyan  (PM-KUSUM),  Solar  Rooftop  Phase  II,  12000  MW CPSU Scheme Phase II, etc.

(d)  The Ministry  has  launched  Pradhan  Mantri  Kisan  Urja Suraksha evam Utthaan Mahabhiyan (PMKUSUM) on 8.3.2019, which has following three components:-

- (i) Component-A :  Installation  of  10,000  MW capacity through small renewable energy based power plants each of capacity up to 2 MW on the barren/fallow land of the farmers;
- (ii) Component-B : Installation of 17.5 lakh standalone off-grid solar water pumps; and
- (iii) Component-C : Solarisation of 10 lakh existing grid-connected agriculture pumps.

Under the scheme, a total of 25750 MW of renewable power capacity will be created by the year 2022 with total Central Financial Assistance (CFA) of Rs. 34,422 crore including the service charges to the implementing agencies.

(e) The installation of 25750 MW of solar capacity and savings in diesel consumption due to installation of 17.5 lakh standalone solar pumps under PM-KUSUM scheme are likely to save 27 million tonnes of Carbon Dioxide (CO2) emission.

(f)    Indian  Renewable  Energy  Development  Agency  Limited  (IREDA)  is  a  Public  Sector  Enterprise under the administrative control of Ministry of New and Renewable Energy (MNRE). IREDA has been established  as  a  Non-Banking  Financial  Institution  engaged  in  promoting,  developing  and  extending financial assistance for projects relating  to  new  and  renewable  sources  of  energy  and  energy efficiency/conservation.

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