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FAQ > Solar Overview

Jawaharlal Nehru National Solar Mission (JNNSM)

The National Solar Mission is a major initiative of the Government of India and State Governments to promote ecologically sustainable growth while addressing India’s energy security challenge. It will also constitute a major contribution by India to the global effort to meet the challenges of climate change.


Role of Various Agencies in Renewable Energy

1. Ministry of New and Renewable Energy

The Ministry of New and Renewable Energy (MNRE) is the nodal Ministry of the Government of India for all matters relating to new and renewable energy. The broad aim of the Ministry is to develop and deploy new and renewable energy for supplementing the energy requirements of the country. The JNNSM is following in the footsteps of countries successful in solar installations like Germany and Spain by using a combination of an attractive feed in tariff and a single point PPA. The broad targets of this mission are 1000 MW of grid connected, 200 MW of off grid solar power and 100 MW roof top installations by 2013 (phase I ) and a total of 20,000MW installed by 2022.


Category

JNNSM target

Incentives

Solar PV

Phase 1- (2009-13)  1000-2000 MW
Phase 2-  (2013-17)  4000-10000 MW
Phase 3-  (2017-22) 20000 MW

Current CERC guidelines for Solar PV

- Capital cost –Rs. 17 Cr/MW
- Capacity utilization factor- 19%
- O&M- 9lakh/MW
- Tariff – Rs. 17.91 for 25 years

Roof top

- Rooftop SPV systems connected to grid eligible for feed in tariff and self consumption of solar power.
- Utility is the facilitator for debit/credit to SPV rooftop operators.
- Generation based incentives to utility.


2. NTPC’s Vidyut Vyapar Nigam Limited (NVVN)
has requested Request for Selection (RfS) for New Grid Connected Solar Photovoltaic Projects under Phase 1 of JNNSM.

3. IREDA The Indian Renewable Energy Development Agency is a Non-Banking financial institution under the administrative control of this Ministry for providing financial (loan) support to specific projects and schemes for generating electricity and / or energy through new and renewable sources and conserving energy through energy efficiency.


4. Role of State Level Agencies

It is envisaged that the State Government shall appoint any Agency as a State Level Agency, which will provide necessary support to facilitate the development of the Projects. This may include facilitation in the following areas:
Access to Sites
Water Allocation for Solar Thermal Projects
Land acquisition for the project
Connectivity to the Transmission substation.

5. Role of Carbon Financing
Project developers are encouraged to identify the potential role of carbon finance in their investment analysis including:
The expected revenues from emission reductions; and
The cost of power with and without carbon revenues.

A Nodal Agency will be designated as the program coordinating entity for the purposes of facilitating the emission reductions benefits using the programmatic approach. It will perform this function in cooperation with project developers and other parties and in line with the tariff regulations laid down by CERC.



Jawaharlal Nehru National Solar Mission
Jawaharlal Nehru National Solar Mission
Proposed roadmap of JNNSM
Proposed roadmap of JNNSM
Solar Power Purchase Policy
  • 1,000 MW solar power (connected to 33 KV or more grid) to be purchased by NTPC Vidyut Vyapar Nigam (NVVN).

  • Tariff as fixed by Central Electricity Regulatory Commission (CERC).

  • Annual tariff review by CERC.

  • NVVN to bundle equivalent MW capacity of thermal power.

  • Utilities can meet their RPO by purchase of solar power.


MNRE incentive
  • MNRE would provide financial support upto  30%  subsidy or Rs. 90/Wp with battery storage and Rs. 70/Wp without battery storage.

  • Interest bearing loans at 5%.

  • Benchmark price for photovoltaic systems with battery back-up considered as Rs. 300/-.

Policy & Regulatory Framework
  • PPA duration 25 years

  • Solar specific RPO starting with 0.25% in 1st phase, increasing to 3% by 2022 to be fixed after policy change

  • RE Certificate - policy being finalized by Forum of Regulators


 
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