Solar Power - 30% Subsidy in India


The simplest form of subsidy is 30% capital subsidy by MNRE.
Following are the basic MNRE guidelines for this -
  1. Project should not exceed 100 kWp installation (single location).
  2. Project could be off-grid or grid-synchronized.
  3. Power cannot be fed to the grid i.e. it has to be for captive consumption only.
  4. Battery backup is optional. The subsidy for projects with and without battery is different - MNRE adjusts subsidy amount for higher project cost due to battery.
  5. Project should be preferably executed by MNRE empanelled vendor.

INR 5.0 per kWh has been considered as the present grid price. In most of the cases across India this is true and INR per kWh for Grid Power is in the range of INR 6.0 to INR 7.0 as well. In some rare cases it can be lesser than INR 5.0 per kWh. For a plant using Grid + D.G. Set the landed cost will be certainly much above INR 5.0 per kWh.









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