Lok Sabha Question No. 1153 (UNSTARRED), answered on 2023-02-09
Subject: Subsidy on Solar Energy Production
Ministry: NEW AND RENEWABLE ENERGY
Asked by: Bharatiben Dhirubhai Shyal

## GOVERNMENT OF INDIA

## MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 1153

ANSWERED ON 09.02.2023

## SUBSIDY ON SOLAR ENERGY PRODUCTION

## 1153. DR. BHARATIBEN DHIRUBHAI SHIYAL

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

- (a) the details of the subsidy given on solar energy production, State/UT-wise;
- (b) the quantum of the subsidy given to the State of Gujarat during the last five years along with the subsidy proposed to be given; and
- (c) the details of the schemes in which subsidy is being given by the Government for solar energy production?

## ANSWER THE MINISTER OF NEW & RENEWABLE ENERGY AND POWER

## (SHRI R.K. SINGH)

(a) to (c)The Ministry of New and Renewable Energy through its various ongoing schemes is providing financial assistance for promotion of solar energy projects. The brief of these ongoing schemes and State-wise subsidy given are placed at Annexure I . The details of State wise funds released, including funds released to the State of Gujarat, is placed at Annexure II.

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## Annexure-I referred to part (a) & (c) of the Lok Sabha unstarred question No. 1153 to be answered on 09.02.2023

## Details of major ongoing schemes for promotion of Solar Energy

| Scheme/ Programmes                  | Financial support presently available as per the Scheme                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   |
|-------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| a) Rooftop Solar Programme Phase-II | Addition of 4000 MW RTS capacity in Residential Sector through provision of Central Financial Assistance (CFA). In addition, incentives to Discoms for initial 18000 MW RTS capacity addition. The Programme is demand driven and open for all citizens of the country for installation of rooftop solar in residential sector as per provisions of implementation guidelines issued for the Programme (i) For Residential Sector • Central Financial Assistance (CFA) up to 40% for capacity up to 3 kWp • CFA up to 20% for capacity beyond 3 kWp and up to 10 kWp • CFA up to 20% for GHS/RWA capacity up to 500 kWp (limited to 10 kWp per house and total upto 500 kWp) (ii) For Discoms Incentives up to 10% of project cost depending upon achievements in capacity addition                                                                                                                                                                                                                                                                                                                                       |
| b) PM-KUSUM scheme                  | above baseline. The Scheme is demand driven and open for all farmers of the country for implementation as per guidelines issued for the Scheme. Component A : Setting up of 10,000 MW of Decentralized Ground/Stilt Mounted Solar Power Plants on barren/fallow/pasture/marshy land of farmers. Such plants can be installed by individual farmer, Solar Power Developer, Cooperatives, Panchayats and Farmers Producer Organisations. 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 that payable to DISCOMsis upto Rs. 33 Lakh per MW. Component B : Installation of 20 Lakh Stand-alone Solar Pumps in off-grid areas. 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 C: Solarisation of 15 Lakh Grid Connected Agriculture Pumps through (i) Individual Pump Solarisation and (ii) Feeder Level Solarisation. Benefit available: (a) Individual Pump Solarization: CFA of 30% of the benchmark cost or the tender cost, whichever is lower, of the solar PV component is provided. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, 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. (b) Feeder Level Solarization: Agriculture feeders can be solarized by the State Government in CAPEX or RESCO mode with CFA of Rs. 1.05 Crore per MW available from MNRE.   |
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| c) Central Public Sector Undertaking (CPSU) Scheme Phase-II (Government Producer Scheme) for grid-connected Solar Photovoltaic (PV) Power Projects by the Government Producers | Viability Gap Funding (VGF) support up to Rs. 55 lakh per MW to the CPSUs/Govt. Organizations entities selected through competitive bidding process.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         |
| d) Solar Park Scheme                                                                                                                                                           | Up to Rs. 25 lakh per Solar Park, for preparation of Detailed Project Report (DPR). Rs. 20 Lakh per MWor 30% of the project cost, whichever is lower, for development of infrastructure.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     |
| e) Green Energy Corridor Scheme (for development of intra-state transmission system for RE projects)                                                                           | GEC Phase-I: CFA of 40 % of DPR cost or awarded cost whichever is lower. GEC Phase-II: CFA of 33 % of DPR cost or awarded cost whichever is lower.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           |
| f) PLI Scheme 'National Programme on High Efficiency Solar PV Modules'                                                                                                         | The beneficiaries are eligible for Production Linked Incentive (PLI) on production and sale of solar PV modules. The quantum of PLI eligible for disbursal depends upon: (i) quantum of sales of solar PV 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.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             |

## Annexure-II referred to part (b) of the Lok Sabha unstarred question No. 1153 to be answered on 09.02.2023

## State-wise funds released for Solar projects  (FY  2017-18  to FY 2021-22)

|   S.No. | State                                    |   Amount Released ( Rs. in Crore) |
|---------|------------------------------------------|-----------------------------------|
|       1 | Andhra Pradesh                           |                            832.31 |
|       2 | Arunachal Pradesh                        |                             69.07 |
|       3 | Andaman &Nicobar                         |                             52.09 |
|       4 | Assam                                    |                             52.07 |
|       5 | Bihar                                    |                              9.57 |
|       6 | Chandigarh                               |                             26.47 |
|       7 | Chhattisgarh                             |                            313.12 |
|       8 | Daman and Diu and Dadar and Nagar Haveli |                              1.5  |
|       9 | Delhi                                    |                             71.46 |
|      10 | Goa                                      |                              4.09 |
|      11 | Gujarat                                  |                           1897.76 |
|      12 | Haryana                                  |                            300.52 |
|      13 | Himachal Pradesh                         |                            106.4  |
|      14 | Jammu &Kashmir                           |                             74.36 |
|      15 | Jharkhand                                |                            137.78 |
|      16 | Karnataka                                |                            631.58 |
|      17 | Kerala                                   |                             77.5  |
|      18 | Ladakh                                   |                             12.41 |
|      19 | Lakshadweep                              |                              3.97 |
|      20 | Madhya Pradesh                           |                            707.92 |
|      21 | Maharashtra                              |                            501.05 |
|      22 | Manipur                                  |                             61.33 |
|      23 | Meghalaya                                |                             14.33 |
|      24 | Mizoram                                  |                             58.28 |
|      25 | Nagaland                                 |                             41    |
|      26 | Odisha                                   |                            110.62 |
|      27 | Puduchchery                              |                              0.89 |
|      28 | Punjab                                   |                            171.1  |
|      29 | Rajasthan                                |                           1696.45 |
|      30 | Sikkim                                   |                              2.77 |
|      31 | Tamil Nadu                               |                            332.65 |
|      32 | Telangana                                |                            221.19 |
|      33 | Tripura                                  |                             50.75 |
|      34 | Uttarakhand                              |                            131.26 |
|      35 | Uttar Pradesh                            |                            361.91 |
|      36 | West Bengal                              |                             33.28 |