MNRE Scheme on Grid-connected Rooftop PV Systems

Rakesh KumarDirector (PS)

Solar Energy Corporation of India

SECI- Inception and Objectives

Apr 18, 2023 SOLAR ENERGY CORPORATION OF INDIA 2

OUR MANDATE:

To assist MNRE in executing the

National Solar Mission objectives

To plan and execute an

integrated programme on

development and deployment of

solar energy technologies to

achieve commercialization;

To own, operate and manage,

both grid-connected & off-grid

power stations;

To promote R&D in Solar

OUR MANDATE:

To assist MNRE in executing the

National Solar Mission objectives

To plan and execute an

integrated programme on

development and deployment of

solar energy technologies to

achieve commercialization;

To own, operate and manage,

both grid-connected & off-grid

power stations;

To promote R&D in Solar

SECI- Ongoing Activities

Apr 18, 2023 SOLAR ENERGY CORPORATION OF INDIA 3

Contd…

Apr 18, 2023 SOLAR ENERGY CORPORATION OF INDIA 4

Growth of Solar Capacity in India (MW)State MWp %Gujarat 857.9 47.42Rajasthan 601.2 33.23Maharashtra 160 8.84Madhya Pradesh 37.3 2.06Andhra Pradesh 33.2 1.84Uttar Pradesh 17.4 0.96Tamil Nadu 17.1 0.95Jharkhand 16 0.88Karnataka 14 0.77Orissa 13 0.72Punjab 9.3 0.51Haryana 7.8 0.43West Bengal 7.1 0.39A & N Island 5.1 0.28Uttarakhand 5.1 0.28Chhattisgarh 4 0.22Delhi 2.6 0.14Lakshadweep 0.8 0.04

3 11 36

936

16841809

2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Sola

r Ca

paci

ty (

MW

)

Moving Towards grid parity

Apr 18, 2023 SOLAR ENERGY CORPORATION OF INDIA 6

Source:KPMG

By 2016-17, roof top solar power cost will reach the grid parity.

Why Rooftop PV• On national level, reduces requirement of

land for addition of solar capacities

• For consumers, it – Reduces the dependency on grid power

– Mitigates diesel generator dependency

– Long term reliable power source

• For Discoms, it reduces – Day Peak load Demand

– T&D and conversion losses as power is consumed at

the point of generation

• Most suitable for commercial establishments– Max generation during peak usage time

– Solar power cost is close to the commercial power

cost

Roof top PV potential in India• According to 2011 Census India has:

– 330 million houses

– 166 million electrified houses

– 76 million houses use kerosene for lighting

– 1.08 million houses use solar for lighting

– 140 million houses with proper roof (Concrete or

Asbestos / metal sheet)

– 130 million houses having > 2 rooms

•Average houses can accommodate 1-3 kWp of

solar PV system

•Large commercial roofs can accommodate larger

capacities

•As a conservative estimate, about 25 GW

capacity can be accommodated on roofs of

buildings having > 2 rooms alone (considering

20% roofs are available/suitable)

Rooftop PV Programmes under JNNSM• Small scale rooftop PV systems

– Size: less than 100 kWp

– Implemented through MNRE Channel

Partners

– Generally in off grid mode

•Large scale rooftop PV scheme– Size: 100 to 500 kWp grid-connected systems (without battery back up)

– Implemented through SECI through a process of competitive bidding

– 3 Phases announced; Phase I: 5.5 MW (4 cities); Phase II: 11.3 MW (6 cities);

Phase III: 10 MW (9 cities)… more to come

– Possible locations include public buildings, hospitals, educational institutions,

warehouses etc.

Apr 18, 2023 SOLAR ENERGY CORPORATION OF INDIA

10

Palatana (1)

Kolkata (1)

Bhubaneswar (1)

Chennai (4)

Coimbatore (1)

Bangalore (2)

Mumbai (1)

Pune (1)

Gwalior (1)

Chandigarh (1)

Jaipur (3.25)

New Delhi (2)

Gurgaon (2) Noida/Greater Noida (1.5)

Raipur (2.05)

Hyderabad (2)

30% subsidy available from MNRE

Projects being set up in select cities

Project capacity:Phase I: under implementationPhase II: Rooftop identification in progress Phase III: Projects in bidding and evaluation stage

MNRE’s Large-scale Rooftop PV Scheme

11

LegendPhase IPhase IIPhase IIIMultiple phasesCapacity in MW()

Simple cost estimations

State Tariff (INR)(HT customers)

Madhya Pradesh

4.10

Rajasthan 5.50

Andhra Pradesh

6.08

Tamil Nadu 5.50

Karnataka 5.10

Punjab 6.26

Haryana 5.30

Gujarat 4.20

System size 100 kWp

System cost 0.8 -0.9 crore

Subsidy 30%

Expected electrify generation 160000 units

Payback period @ Grid electricity cost (Rs. 6.5/ Wp)

5-6 years

Payback period with Accelerated Depreciation

4-5 years

Pay back @ diesel power cost 3-4 years

Plant life 25 years *Connectivity, fixed charges, metering charges, Taxes will be extra ( will add between Rs. 1-2)

SECI’s Implementation methodology

• SECI is implementing the scheme by selected developers through competitive bidding on the project cost in for selected cities .

• SECI has prepared technical specifications to ensure quality of installations.

• Under the scheme SECI will – Allocate capacity to selected bidders for each city.– Verify project proposals w.r.t. technical specifications and release

the sanction for subsidy which is linked to performance up to 2 years.

– Release initial subsidy on successful commissions as per technical specifications. (20%).

– Release 5 % subsidy at the end of 1st and 2nd year of successful maintenance of the project.

– Help developers for identification of projects through dissemination workshops and to assist in resolving any issues with concerned authorities.

Status of ImplementationPhase-I:

Chennai – 2 MW Bangalore – 2 MW Delhi – 1 MW Gurgaon – 0.5 MW

•Companies shortlisted as per their bids for each cities against benchmark project cost of Rs. 130/Wp•Projects allocated up to ~ Rs. 88/Wp•About 4.5 MW of projects already identified and started implementation

Phase –II:

Revised benchmark cost Rs. 90/Wp

Jaipur – 3.1 MW

Bhubaneswar/Cuttack - 1 MW

Hyderabad – 2 MW

Gurgaon – 1.5 MW

NOIDA/ Gr. NOIDA – 1.5 MW

Raipur – 2 MW

The initial deadline for identification of the Projects is 14th Nov, 2013

Experience in Bhubaneswar• 1 MW allotted to two bidders under Phase II of Rooftop scheme• Following developers selected:

– M&B Switchgears Ltd (500 kW)– Photon Energy (500 kW)

• About 700 kWp of projects have already been identified– Kalinga Institute of Social Sciences (500 kW)– NALCO (160 kW +) - Requested for more capacities on their Angul Plant.

• Orissa government is also implementing/planning to install roof-top projects on government buildings

• More roof-top capacities could be considered for allocation, if there is good progress and interest of the stake holders

Main Issues in implementation Connectivity Issues

Electricity to be fed into grid at Voltage level below 33 KV

No clarity on connectivity norms at these voltages

– However, CEA has published the CEA (Technical Standards for

Connectivity of Distributed Generated Resources), Regulations

2013 recently to address these issues

Metering issues Many states have no regulations on net metering

No uniformity of standards, different state regulations inconsistent

– CEA has come up with draft CEA (Installation and Operation of

Meters) Amendment Regulations, 2013

– SECI working with states to bring out net metering regulations

Contd…

Business models – Tariff & PPA etc Confusion over contract clauses; different tariffs quoted to different

consumers

ـ SECI has identified some key provisions to be a part of PPA for

benefit of rooftop owners and developers

ـ SECI may assist in discovering optimum tariff structure

Project Performance Performance of large scale grid connected rooftops untested in India

SECI to monitor performance and facilitate mitigation of issues

(if any)

THANK YOUVisit us at www.seci.gov.in

States’ Initiatives for Rooftop PV

Initiatives for promotion of Rooftop PV in Andhra Pradesh

The consumer/SPV generator also

has to set up a protection system on

their premises with “Islanding” for

events like grid failures

Any prevalent subsidy from

Government of India can be availed.

AP Solar Policy 2012 promoting roof top solar projects

Only for 3 phase service consumers can setup roof top PV systems

Net metering is allowed

Recently announced by a committee that Rs.3.50 per unit would be

paid for exported power for 7 years

Gujarat

Gujarat already initiated 5MW

Rooftop Project in Gandhi Nagar in

PPP model.

Generated power is completely fed to

the grid.

As per their model, Roof owner gets

paid lease rent (Rs.3.00 per unit) and

the project developer gets feed-in-

tariff (Rs.11.21) for 25 years.

Recently announced a rooftop

scheme for development of 25 MW in

5 other cities.

Kerala

• Kerala launched its 10,000 rooftop power plants

program for 2012-2013.

• With each applicant eligible to apply for 1 kW

only, the total capacity target is 10 MW.

• Due to the small per capita limit; the target

audience will be only households and small

cottage industries.

• Apart from the MNRE’s 30% capital subsidy, the

state is offering a discount of Rs. 39,000 per

system.

West Bengal• West Bengal has initiated a net-metering solar rooftop

model promoting self consumption.

• Under the WBERC Regulations, grid-integrated rooftop PV

is allowed only for institutional consumers like government

departments, academic institutions, etc.

• The system size limited to 2-100 kW, Connectivity is

allowed at Low Voltage or Medium Voltage, or 6 KV or 11

KV, of the distribution system of the licensee.

• Solar injection is permitted only up-to 90% of the annual

electricity consumption, and the net energy supplied by the

utility would be billed as per existing slab tariffs.

• Solar generation would first offset consumption in the

highest tariff slab and then the lower slab.

• Policy targets 16 MW of rooftop and small PV installations

by 2017.

Kolkata development authority mandated all commercial and high raise building to install solar PV to meet 2% of their energy demand.

Tamil Nadu Solar Policy 2012

• Targets 3000 MW by 2015 , including 350 MW of

rooftop capacity in three phases of 100, 125 and

125 MW (per year) during 2013-2015.

• 50 MW from domestic customers who will receive

a GBI of Rs. 2/kWh for the first two years, Rs.

1/kWh for the next two and Rs. 0.5/kWh for the

subsequent two years.

• 300 MW from government buildings and

government schemes for rural and urban lighting.

• Mandates 6% SPO for HT consumers to achieve

targets.

• TEDA designated as single window agency.

• Connectivity : < 10 kW - 240

V

< 100 kW – 415 V

> 100 kW - 11 kV

Uttarakhand• Uttarakhand Electricity Regulatory Commission released regulations for solar

roof top plants.

• Allowed roof to projects to connect at the following voltage levels

(i) Load up to 4 kW: low voltage single phase supply

(ii) Load >4 kW and up to 75 kW: low voltage three phase supply

(iii)Load >75 kW and up to 1.5 MW: at 11 kV

(iv)Load >1.5 MW and up to 3 MW: at 11/33 kV or as per site condition.

• UERC determined levelized net tariff for roof top systems as Rs.9.2 without

accelerated depreciation and Rs. 8.15 and with accelerated depreciation.

Other States/UT

• Chandigarh – Hon’ble Union Minister

inaugurated roof top PV projects on July 3,

2013.

• Punjab and Haryana are vey actively pursuing

development of roof top PV projects.

• Rajasthan expressed to develop 3.1 MW of

roof top solar plants in Jaipur.

• Chhattisgarh is also actively working on roof

top programs and submitted request for

2MW.