Union Power and New & Renewable Energy Minister: Roof-Top Solar Capacity Installations Showing 46% Compound Annual Growth Rate

The Union Minister for New & Renewable Energy and Power has informed that the rate of growth of renewable energy capacity in the country has been one of the highest globally in the last 5 years.

The Ministry of New and Renewable Energy (MNRE) launched Rooftop Solar Programme Phase-II on 08.03.2019 with an objective to achieve 40 GW of rooftop solar (RTS). The Programme envisages installation of 4,000 MW of RTS capacity in the residential sector by providing Central Financial Assistance (CFA). The CFA admissible for general category states is Rs. 14588/kW for first 3 kW RTS capacity and Rs. 7294/kW for RTS capacity beyond 3 kW and up to 10 kW. For special category states (North-eastern states including Sikkim, Uttarakhand, Himachal Pradesh, UT of Jammu & Kashmir, Ladakh, Lakshadweep, and Andaman & Nicobar Islands), the admissible CFA is Rs. 17662/kW for first 3 kW RTS capacity and Rs. 8831/kW for RTS capacity beyond 3 kW and up to 10 kW. The Resident Welfare Associations/ Group Housing Societies (RWA/GHS) are also eligible to avail CFA for RTS installation in common facilities, up to a maximum of 500 kW capacity. The CFA admissible for RWA/GHS is Rs. 7294/kW in general category states and Rs. 8831/kW in special category states.

The details of installed capacity State/UT- wise under the Grid connected Solar Rooftop Programme is attached as given below.

Cumulative installed capacity under the Grid connected Solar Rooftop Programme as on 30.11.2023

S.N. State/UT Capacity installed under subsidy scheme of Phase-II Programme (MW) Cumulative capacity installed in overall Sector (MW)
1 Andaman & Nicobar 0.00 4.20
2 Andhra Pradesh 5.03 190.96
3 Arunachal Pradesh 0.00 0.22
4 Assam 0.63 41.48
5 Bihar 7.13 59.02
6 Chandigarh 9.31 58.37
7 Chhattisgarh 4.08 71.65
8 DNH&DD 0.00 0.39
9 Goa 1.98 37.24
10 Gujarat 1956.85 3174.04
11 Haryana 46.06 518.49
12 Himachal Pradesh 2.77 18.55
13 J&K 12.86 34.94
14 Jharkhand 0.56 64.54
15 Karnataka 3.14 497.37
16 Kerala 210.92 591.17
17 Ladakh 0.00 0.00
18 Lakshadweep 0.00 0.00
19 Madhya Pradesh 44.85 316.51
20 Maharashtra 117.21 1852.22
21 Manipur 0.33 5.09
22 Meghalaya 0.00 0.21
23 Mizoram 0.59 1.91
24 Nagaland 0.00 0.10
25 NCT of Delhi 5.62 231.68
26 Odisha 1.50 41.91
27 Puducherry 0.30 42.28
28 Punjab 30.73 308.58
29 Rajasthan 67.05 1067.25
30 Sikkim 0.00 2.67
31 Tamil Nadu 10.51 489.32
32 Telangana 37.13 367.18
33 Tripura 0.03 4.78
34 Uttarakhand 10.22 69.12
35 Uttar Pradesh 63.76 175.95
36 West Bengal 0.00 67.13
Total 36 STATEs/UTs 2651.10 10406.51

 

The Financial outlay of the Phase-II Rooftop Solar (RTS) programme is Rs.11,814 Crore which includes Rs.6,600 Crore of CFA and Rs.4,985 Crore of incentives to the Distribution Companies. The Programme has been extended till 31.03.2026 without change in the financial outlay initially approved for the Programme.

There is inherent seasonal variation in energy production from various renewable energy sources, including solar, wind, and hydro. The variability in energy production from these sources exhibits complementary characteristics, for instance, solar generation is reduced during monsoon months, when wind and hydro generation is higher. A mix of different renewable energy sources can be utilized to reduce the overall variability.

Accordingly, the Government of India’s policies and programmes support deployment of different renewable energy sources, including hybrid combinations of different sources.

As reported by various Distribution Companies, the cumulative Roof Top Solar (RTS) installed capacity increased from 1.8 GW as on 31.03.2019 to 10.4 GW as on 30.11.2023. The Compound annual growth rate (CAGR) of RTS installations is around 46%. The Ministry of New and Renewable Energy has taken several steps to promote rooftop solar inter-alia include:

  • Launch of National Portal where residential consumers from any part of the country can apply for installation of rooftop solar and get subsidy directly into his bank account under the Programme.
  • Development of online portals at DISCOM level and aggregation of demand relating to RTS projects.
  • Electricity (Rights of Consumers) Rules, 2020 has been issued for net-metering up to five hundred Kilowatt or upto the electrical sanctioned load, whichever is lower.
  • Facilitation of concessional loans from multilateral agencies such as the World Bank.
  • Renewable energy included under priority sector lending guidelines of RBI.
  • Quality standards for deployment of solar photovoltaic system/ devises notified.
  • Information and public awareness activities through various mediums.

 

The present prices of solar PV cells and module are around their lowest levels in last one and half years or so. Thus, the present prices of solar PV cells and modules are not preventing the growth of solar power installations.