A number of incentives being provided by Government for implementation of major renewable energy programmes – Union Power & NRE Minister Shri R. K. Singh – EQ Mag

1. For Residential Sector
   • Central Financial Assistance (CFA) up to 40% for capacity up to 3 kWp
   • CFA up to 20% for capacity beyond 3 kWp and up to 10 kWp
   • CFA up to 20% for GHS/RWA capacity up to 500 kWp (limited to 10 kWp per house and total upto 500 kWp)
2. For Discoms

Incentives up to 10% of project cost depending upon achievements in capacity addition above baseline.

Vide its OM dated 27.01.2023, Ministry has fixed the CFA for the entire country. The revised CFA rates would be applicable on all future bids and the bids which are scheduled to be closed after 15 days of issuance of this OM. The revised rates are as follows:

For general category States/UTs:

1. Individual Household – For first 3 kW: Rs. 14588/ kW and for RTS capacity beyond 3 kW and upto 10 kW: Rs. 7294/kW.
2. Resident Welfare Associations/Group Housing Societies (RWA/GHS) – Rs. 7294/kW for common facilities up to 500 kWp @ 10 kWp per house. For special category States/UTs:

1. Individual Household – For first 3 kW: Rs. 17662/ kW and for RTS capacity beyond 3 kW and upto 10 kW: Rs. 8831/kW.
2. Resident Welfare Associations/Group Housing Societies (RWA/GHS) – Rs. 8831/kW for common facilities up to 500 kWp @ 10 kWp per house.

Producers

maximum power) of solar PV modules sold; and (iii) percentage of local value addition in modules sold.

20 Lakh per MW or 30% of the project cost, whichever is lower, for development of infrastructure.

Benefit available: Procurement Based Incentive (PBI) to the DISCOMs @ 40 paise/kWh or Rs.6.60 lakhs/MW/year, whichever is lower, for buying solar power under this scheme. The PBI is given to the DISCOMs for a period of five years from the Commercial Operation Date of the plant. Therefore, the total PBI that payable to DISCOMs is upto Rs. 33 Lakh per MW. Component B: Installation of 20.00 Lakh Stand-alone Solar Pumps

Benefit available: CFA of 30% of the benchmark cost or the tender cost, whichever is lower, of the stand-alone solar agriculture pump is provided.

However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh and Uttarakhand, Lakshadweep and A&N Islands, CFA of

Component C: Solarisation of 15 Lakh Grid Connected Agriculture Pumps including through feeder level solarisation

Benefit available:

1. Individual Pump Solarization: CFA of 30% of the benchmark cost or the tender cost, whichever is lower, of the solar PV component will be provided. However, in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh and Uttarakhand, Lakshadweep and A&N Islands, CFA of 50% of the benchmark cost or the tender cost, whichever is lower, of the solar PV component is provided.
2. Feeder Level Solarization: Agriculture feeders can be solarized by the State Government in CAPEX or RESCO mode with CFA of Rs. 1.05 Crore per MW available from MNRE. However in North Eastern States, Sikkim, Jammu & Kashmir, Ladakh, Himachal Pradesh, Uttarkhand, Lakshadweep

and Andaman & Nicobar Island, CFA of Rs. 1.75 crore per MW is available.

(for development of intra-state transmission system for RE

projects)

1. For Briquette/Pellet manufacturing plants: Rs. 9.00 Lakhs/ MTPH (Maximum CFA- Rs. 45.00 Lakh per project)
2. For Non-Bagasse Cogeneration Projects: Rs. 40 Lakhs/ Megawatt

(Maximum CFA- Rs. 5.00 Crore per project)

1. for Biogas generation: Rs 0.25 crore per 12000 cum/day (Maximum CFA- Rs.5.00 crore/project)

2. for    BioCNG/Enriched    Biogas/Compressed   Biogas    generation: (Maximum CFA- Rs.10 crore/project)
   1. BioCNG generation from new Biogas plant- Rs 4.0 Crore per 4800 Kg/day;
   2. BioCNG generation from existing Biogas plant- Rs 3.0 Crore per 4800 Kg/day;

3. for Power generation based on Biogas (Maximum CFA- Rs. 5.00 crore/project):-
   1. Power generation from new biogas plant: Rs 0.75 Crore per MW
   2. Power generation from existing biogas plant: Rs 0.5 crore / MW

4. for Power generation based on bio & agro-industrial waste (other than MSW through incineration process):- Rs. 0.40 crore/MW (Maximum CFA – Rs.5.00 Crore/Project)

5. for Biomass Gasifier for electricity/ thermal applications:

1. Rs. 2,500 per kWe with duel fuel engines for electrical application
2. Rs. 15,000 per kWe with 100% gas engines for electrical application
3. Rs. 2 lakh per 300 kWth for thermal applications.

Note:

• • In case, the Waste to Energy plants are set up in Special Category States (NE Region, Sikkim, Himachal Pradesh and Uttarakhand), Jammu & Kashmir, Ladakh, Lakshadweep and Andaman & Nicobar Islands, the eligible CFA would be 20% higher than Standard CFA pattern given above.
  • Biogas/BioCNG/Power (biogas based) generation plants based on cattle dung as main feedstock set up by Gaushalas independently or through joint ventures/partnerships will be eligible for 20% higher CFA than  Standard CFA pattern given  above. These  Gaushalas

(Shelters) should be registered with the respective State Government.