State Government Signals to resolve Solar Sector Issues and help Achieve 25 GW state target
RSA delegation led by Shri Sunil Bansal, General Secretary met Mr. Devendra Bhushan Gupta, Hon’ble Chief Secretary-Government of Rajasthan today to discuss critical issues of solar sector. The delegation included leading industry stakeholders from Hindustan Zinc Ltd, Fortum India, Diwakar Solar, Ohms Energy, Shri Shakti Alternative Energy, Malpani Group, and Tecso projects, Rays Power Infra, Rays Power Expert and Sungrow. The delegation congratulated Shri Gupta on his new appointment. RSA delegation explained the burning issues faced by Solar Power Industry in State. Some of the significant issues are: Open Access,Renewable Energy Certificates, and Clarity on status of GST in state.
Open Access: Some of the issues from industry are: Electricity Duty: – It should be waived for 5 years or lifetime of project. Further Banking Facility should be provided & Cross Subsidy Charges for purchase of RE Power should also be waived for 5 years or life time-25 years. Transmission & Wheeling Charges and losses for captive & Bilateral Sale & purchase of RE Power should also be waived for 5 years or lifetime of project. Intra State Transmission Charges should also be applicable on actual PLF of the renewable projects. Clarity on Additional Surcharge should also be provided. Water Cess is not justified and also should be removed.
Renewable Energy Certificate (REC): RERC order to leave on State Govt to renew PPA for REC Projects beyond March 2019 was also highlighted. Big question for solar Renewable Energy Certificate (REC)investors is as they have invested Crore of rupees in state and currently No Solar REC certificates are traded since past one year or so and furthermore, there is no light of relief in near future. Discoms giving indication to sign PPA’s at lowest discovered solar tariff which is decreasing every year. Clear Policy mandate from Govt of Rajasthan to sign PPA atleast at last discovered APPC of 2019 i.e. more than 3.7 (APPC for 2018) was requested.
Clarity on GST / Tax applicable: –This is common problem with solar power related companies as tax authorities claim that only solar module is VAT exempted (earlier) / now GST 5% applicable. But in fact all PV solar energy systems and solar energy equipment is in purview of GST 5% applicable slot. RSA requested to issue necessary directions to commercial taxes department to specifically implement above.
Chief Secretary attentively heard the grievances of Solar Power Stakeholders and assured to solve the possible issues and do his level best towards bring Rajasthan on top of national solar map.
RSA thanks again Chief Secretary for his valuable time and efforts.
Sunil Bansal
General Secretary
Source: rajasthansolarassociation
