Encouragement to Domestic Households for Installation of Solar Panels

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Encouragement to Domestic Households for Installation of Solar Panels

December 8, 2015 Anand Gupta

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December 8, 2015 Anand Gupta

Government has set a target for installation of 100 GW solar power by the year 2022. This was stated by Shri Piyush Goyal, Minister of State (IC) for Power, Coal & New and Renewable Energy in a written reply to a question in the Rajya Sabha today. The Government has taken following steps to promote generation of solar power in the country:

• Financial support in the form of generation based incentives and viability gap funding for solar power projects.

• Fiscal incentives such as accelerated depreciation, concessional custom duty, excise duty exemptions, income tax holiday for 10 years

• Concessional loans from Indian Renewable Energy Development Agency

• Loans under Priority Sector Lending upto Rs. 15 crore for renewable energy projects.

• Bank loans as a part of home loan/ home improvement loan for rooftop solar systems

• Subsidy for grid connected rooftop solar systems, solar pumping systems, concentrated solar thermal and other off-grid solar applications.

The Minister further stated that the Central Financial Assistance of 30% of the benchmark cost is provided for general category States/UTs and 70% for special category States/UTs including Andaman & Nicobar, Lakshadweep Islands in the country to defined categories including domestic houses.