The MNRE has announced the launch of phase-II of grid connected rooftop solar programme for achieving cumulative capacity of 40 GW from Rooftop Solar (RTS) projects by the year 2022 with the total central financial support of Rs 11,814 crore.
“The sanction of the President of India is hereby accorded for grid connected rooftop solar programme phase-II for achieving cumulative capacity of 40,000 MW from Rooftop Solar (RTS) Projects by the year 2022 with total central financial support of Rs 11,814 crore including capacity building and service charges to the implementing agencies,” said the notice issued by MNRE.
The scheme consists of two components i.e.
(i) Component A:- Setting up of 4,000 MW of Grid Connected Rooftop Solar plants in residential sector with Central Financial Assistance (CFA).
(ii) Component B:- Incentives to Discoms based on achievement for installing additional grid connected rooftop capacity in all sectors over and above the base level, with the incentives being limited to the first additional 18000 MW of rooftop capacity added in the country. However, achievements above this level will not be eligible for any incentive.
The Ministry has also provided categorization for financial outlay for implementation of Component A and Component B are as follows:
| Total Capacity Under The Ph-II | : | 38,000MW |
| Total CFA proposed for residential sector for 4000 MW capacity | : | Rs.6,600 Cr |
| Incentives to Discoms | : | Rs.4,950 Cr |
| Capacity building @1% of CFA | : | Rs. 66 Cr |
| Service charges @3% of CFA | : | Rs. 198 Cr |
| Total Central Financial Support | : | Rs. 11,814 Cr |
Year wise funds requirement for the implementation of component A and B as follow:-
| Year | Fund required for Component A | Fund required for Component B | Total Fund Requirement |
| 2019-20 | 858 | – | 858 |
| 2020-21 | 1716 | 742.5 | 2458.5 |
| 2021-22 | 3432 | 148.5 | 4917 |
| 01.04.2022 to 31.12.2022 | 858 | 2722.5 | 3580.5 |
| total | 6864 | 4950 | 11814 |
The Ministry further stated that detailed operational guidelines for implementation of the scheme will be issued separately.
In February this year the Cabinet Committee on Economic Affairs chaired by PM Modi given its approval for the Phase-II of Grid Connected Rooftop Solar Programme for achieving cumulative capacity of 40 GW from Rooftop Solar (RTS) Projects by the year 2022.
The programme will be implemented with total central financial support of Rs.11,814 crore.
In the Phase-II Programme Central Financial Assistance (CFA) for the residential sector has been restructured with availability of 40% CFA for RTS systems up to 3 kW capacity and 20% for RTS system capacity beyond 3 kW and up to 10 kW.
For Group Housing Societies/Residential Welfare Associations (GHS/RAW), CFA will be limited to 20% for RTS plants for supply of power to common facilities, however, the capacity eligible for CFA for GHS/RAW will be limited to 10 kW per house with maximum total capacity upto 500 kWp, inclusive of RTS put in individual houses in the GHS/RWA.
CFA under residential category will be provided for 4000 MW capacity and the same will be provided on the basis of benchmark cost or tender cost, which is lower.
Central financial support will not be available for other category i.e., institutional, educational, social, government, commercial, industrial, etc.
Under Phase-II Programme, focus will be on increased involvement of DISCOMs. Performance based incentives will be provided to DISCOMs based on RTS capacity achieved in a financial year (i.e. 1st April to 31st March every year till the duration of the scheme) over and above the base capacity i.e. cumulative capacity achieved at the end of previous financial year.
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