4,000 MW Rooftop Solar Capacity Addition Targeted In Residential Sector Through Central Financial Assistance: Govt

The Ministry of New and Renewable Energy is targeting 4,000 MW rooftop solar (RTS) capacity addition in residential sector through Central Financial Assistance (CFA) under the Phase-II of the Rooftop Solar Programme, the Parliament was told on Tuesday (3 March).

The CFA up to 40 per cent of the benchmark cost is provided for RTS projects up to 3 kW capacity and up to 20 per cent for RTS system capacity beyond 3 kW and up to 10 kW for individual households, Union Minister for Power and New and Renewable Energy R K Singh said in a written reply in Rajya Sabha on Tuesday.

For Group Housing Societies or Residential Welfare Associations (GHS/RWA), CFA is limited to 20 per cent for RTS plants for supply of power to common facilities for maximum 500 kW capacity, he said.

In addition, incentives up to 10 per cent of cost of rooftop solar is provided to distribution utilities depending upon achievements in capacity addition above baseline, the minister added.

He said that the programme is demand driven and capacities are allocated based on demand received from distribution utilities and other state implementing agencies.

Singh added that the ministry has so far allocated 3,162 MW of capacity for the residential sector.

Against the allocated capacity of 3,162 MW, a total 1,252 MW capacity has been reported installed as on 28 February this year.

The minister further informed that the grid connectivity for rooftop solar projects including net-metering is provided by distribution utilities as per regulations notified by the respective State Electricity Regulatory Commission or Joint Electricity Regulatory Commissions. These regulations are notified by regulatory commissions after stakeholder consultation and are amended from time to time, he said.

The ministry regularly reviews the progress of implementation of the programme including the net-metering problems with distribution utilities and advises corrective steps to resolve the same, Singh said.

MNRE has also issued a notification for simplification of Rooftop Solar programme which among other things includes online application for net- metering approval, he added.