Giving a fillip to the country’s renewable energy programme, the Cabinet Committee on Economic Affairs and the Union Cabinet gave its nod to key proposals for the solar power sector on Wednesday.

The proposals include providing support of ₹ 1,000 crore to central public sector units to set up over 1,000 MW grid-connected solar photovoltaic power projects, setting up of 25 solar parks each with a capacity of 500 MW requiring financial support from Centre of ₹ 4,050 crore and setting up of over 300 MW of solar power projects by Defence establishments.

The 1,000 MW to be set up by PSUs will be under various central/state schemes in three years from 2015-16 to 2017-18 with a condition that all cells and modules used in the plants will be made in India.

Similarly, the proposal for setting up of solar projects by defence establishment under Ministry of Defence and the Para Military Force under the Ministry of Home Affairs was also approved.

Under the scheme over 300 MW of grid connected and off grid solar PV projects will come up from 2014 to 2019. PV cells and modules used in plant should be made in India and an amount of ₹ 750 crore will be given by Ministry of New and Renewable Energy from the National Clean Energy Fund.

The Cabinet also approved setting up 25 solar parks and Ultra Mega Solar Power Projects to accommodate over 20,000 MW of solar power from 2014-15 to 2018-19.

The scheme will seek active support of state governments who will have to nominate their nodal agency. The agency may be sanctioned a grant of upto ₹ 25 Lakh for preparing a Detailed Project Report (DPR) of the Solar Park, conducting surveys. However, the DPR must be prepared in 60 days.

Central Government’s implementing agency will be Solar Energy Corporation of India.

Related Topics
comment COMMENT NOW