NSEFI fears KUSUM Scheme will find it difficult to take off due domestic content requirement, restricting only manufacturers for development and lack of clarity in FIT determination
National Solar Energy Federation of India(NSEFI) held a consultative session with industry stakeholders on 11th September, 2019 to gather views of industry members on KUSUM Scheme.
NSEFI Chairman Pranav R Mehta says that “It is beyond any reasonable doubt that KUSUM scheme when implemented successfully in its true spirit will be a great game changer for the country.” However Chairman Mehta exclaims that “there are a few impediments in the implementation of the scheme and it is imperative that we address it for a successful implementation of the scheme.
NSEFI believes Domestic Content Requirement (DCR) in component B&C of the Scheme is a huge impediment for the implementation of the scheme while the determination of FIT by SERCs through DISCOMs might end up being a non-starter for component A. Industry stakeholders unanimously opposed the clause of allowing only manufacturers to participate in the Scheme.
Apart from these NSEFI also expresses concerns on the state of metering facility available and its impact on grid connected solar pumps. NSEFI emphasizes that KUSUM has been designed keeping in view to uplift the economic conditions of farmers in India. Hence, the payment mechanism prescribed for component A might need to be revisited to facilitate a smooth transfer of benefits to the farmer. NSEFI also believes that there should be more focus to promote efficient irrigation techniques intertwined with off-grid and on-grid solar pumps. However NSEFI seeks clarity from MNRE on the disbursement mechanism from DISCOMs to developers in Component A and Developers in component B and C.
Overall NSEFI believes that through this scheme the country will involve even the smallest of the farmer in every corner of the country in mitigating the effect of global warming and climate change
Source: nsefi
