COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER

Sl. Name of State/ Andaman and Nicobar Andhra Pradesh Bihar Chhattisgarh
No. Description Island (From RE policy of State)
(From RE policy of State)
1 Order Date Policy for power Generation Andhra Pradesh Solar Power Policy – Bihar Policy for promotion Chhattisgarh Solar Energy Policy
through New and Renewable 2012 vide order no. G.O. Ms. No. 39, of New and Renewable 2012, issued by CREDA, Dept. of
Energy Sources in Andaman Dt. 26-09-2012 Energy Sources 2011- Energy Government of Chhattisgarh

Compendium of State Government Policies on Renewable Energy Sector in India

and Nicobar Island- May Resolution vide Letter during 2012
2012 No.PRA-02/BREDA-
APRA NITI-11/08/2845
Dt.24/06/2011. This policy
supersedes the previous
policy i.e. “Policy for
Private Sector Participation
for Developing Non-
Conventional Energy
Sources”, issued in 2003
and ended in 2008.
2 Eligible Producer Registered companies, All registered companies, Central and Any Industry, Institution, Any Person, Registered company
Corporations and Co- State power generation/ distribution Private Agency, Partnership (s), Central and state power
operatives/registered companies and public / private sector Firm, Consortia, Panchayat generation/distribution companies
societies, NGOs, local self solar power project developers will Raj Institutions, Urban and public/ private sector solar power
governments, partnerships be eligible for setting up of Solar Local Bodies, Co-Operative project developers (Solar PV/ Solar
and individuals. Power Projects, either for the purpose or Registered Society. thermal) and manufacturing units of
of captive use and/or for selling of equipments and ancillaries related
electricity as per EA 2003. to solar power projects shall be
eligible for setting up of Solar Power
Projects, either for the purpose of
captive use and /or for selling of
electricity, in accordance with the
Electricity Act-2003, as amended
from time to time.
3 Land Allotment • Developer to arrange Project Developer will be responsible • Government land in • Acquisition of the land for the
land at his own cost. for acquiring the land required for an Industrial Area, if project is the responsibility of the
• Govt. land, if available, the project. available and identified developer.
would be charged on by the developer, • Government land will be made
nominal monthly lease may be leased in available to the project developer
rent of Rs.1.00 only accordance with the as per the prevailing state
for the entire period applicable GoB policy policy.
of the project, subject • The developer may • Terms and Conditions of
to further renewal on purchase private “State‘s model Rehabilitation
mutually agreed terms land directly from the and Resettlement policy” shall
and conditions. owners. be applicable for acquisition of
• Use of agriculture land private land.
may be allowed for non- • All the statutory clearances/
agriculture purposes approvals shall be obtained by

27
the developer.
 28
Sl. Name of State/ Andaman and Nicobar Andhra Pradesh Bihar Chhattisgarh
No. Description Island (From RE policy of State)
(From RE policy of State)
4 Operative Period From the date of publication The policy shall come into operation From the date of notification This policy will come into effect
in official gazette and remain with effect from the date of issuance and will be valid for a from the date of issuance and shall
in force until 2017 or until and shall remain applicable till 2017. period of 5 Years from date remain in operation up to 31st March
modified or superseded. of notification 2017. Solar power plants approved,
installed and commissioned during

Compendium of State Government Policies on Renewable Energy Sector in India

the period alone shall be eligible for
benefits of this policy.

5 Sale of Power Power producers can use the Power generated from these projects • Third-party sale or • DISCOM(S) will fulfill its duty
and Tariff power generated for captive shall be purchased by AP Discoms at captive use permissible, of meeting RPOs through a
consumption or for sale pooled cost of PPA as determined by using BSEB network tariff based competitive bidding
to other bulk consumers/ APERC from time to time. on payment of BERC process.
licensees including approved open-access • For projects under REC
Electricity Department, A&N charges. Third party, mechanism, state utility will have
Administration. if any, must be an HT the option to purchase Solar
consumer procuring Power at pooled cost determined
at least 1 MW Sale of by the appropriate commission
electricity. from time to time.
• Captive power
developer may sell
excess power to state
grid/ BSES, if the power
available is over 1 MW.

6 Wheeling 2% of the energy fed to the • Producer to bear the wheeling and BSEB to extend the Wheeling charges as per CSERC
grid transmission losses as per actual. facility of wheeling the regulations.
• Wheeling charges for sale outside generated power through
the state will be as per APERC its transmission and
regulations. distribution system as per
• No wheeling and transmission the terms under point 5
charges for wheeling to the desired above
location/s for captive use/third
party sale within the state through
33KV system subject to industries
maintaining their demand within its
contracted demand.
Sl. Name of State/ Andaman and Nicobar Andhra Pradesh Bihar Chhattisgarh
No. Description Island (From RE policy of State)
(From RE policy of State)
7 Banking Allowed for a period of one • 100% from January to December Energy banking facility will be
year of that year allowed at mutually agreed terms
• No banking for energy produced
being consumed on the same day.
• Banked units cannot be consumed/

Compendium of State Government Policies on Renewable Energy Sector in India

redeemed between February to
June and also during peak hours
i.e. 6.30 PM to 10.30 PM.
• Developer to pay 2% of the banked
energy towards banking charges.
• Energy unutilized by December of
that year gets lapsed

8 Power • Grid interfacing • Evacuation line from interconnection • Developer to • Power generated form solar
Evacuation and required to connect the point to grid substation to be laid by necessarily offer 25% power project to be injected as
Grid Interfacing generating units to be the APTRANSCO or DISCOM at of the power generated, per Grid code to the nearest
established / constructed the cost of the project developer. to Distribution Licensee sub-station of the Chhattisgarh
and maintained by the • If developer wishes to lay evacuation except in case of Transco/ Distribution Licensee.
Developers at their own line by themselves, they can do so captive projects. • Evacuation line from
cost. by paying the supervision charges • If Developer proposes interconnection point to grid
• Developer to lay its own to APTRANSCO/DISCOM. to sell full or part of substation to be laid by the CG
transmissions lines and • APTRANSCO/DISCOMs to its generation to the TRANSCO or DISCOM at the
associated switchgear ensure the technical feasibility for grid or use the grid for cost of the project developer.
from the switchyard of its evacuation is granted within 21 wheeling power to third • If the project developer wishes to
generation facility to the days of applying. parties the developer lay evacuation line by themselves,
Electricity Department, will design the system they can do so without paying
A&N Admn./ Licensees at their own cost the supervision charges to CG
grid sub-station at its • Capital cost of the Transco (CSPTCL) or DISCOM
own cost. transmission be borne (CSPDCL).
• Developer to install by BSEB, provided • CG TRANSCO / DISCOMs to
2 separate meters 1 the developer offers ensure the technical feasibility
for export of power to to supply at least 50% for evacuation which is granted
the grid and other for generation, subject to a within 21 days of applying.
import of power from minimum of 2MW
the grid which would be
sealed by A&N Admn./
Licensees.

29
 30
Sl. Name of State/ Andaman and Nicobar Andhra Pradesh Bihar Chhattisgarh
No. Description Island (From RE policy of State)
(From RE policy of State)
9 Incentives and • A&N Administration and • Incentives as under will be given • Generated electricity The state industrial policy 2009-14
General NTPC sign an MoU to solar power Developers who exempted from has recognized non conventional
for establishment of commission their solar plant by Electricity Duty. sources of power generations
6MW solar plant in A&N June 2014. • No Entry Tax on the as a priority industry and offers
Islands. • Wheeling as detailed at point 6 New & Renewable a number of incentives to solar
• Complete project above. Energy Sources power generation plants which

Compendium of State Government Policies on Renewable Energy Sector in India

support and facilitation • Cross subsidy charges not to devices, equipment, includes;
services including be applicable for Open Access and/ or machinery. • interest subsidy
administrative support obtained for third party sale within • Provisions of section • fixed capital investment subsidy
for obtaining statutory the state subject to the industries 14 of the Electricity Act • exemption from electricity duty
clearance, financial and maintaining their demand within 2003 in respect of rural • exemption from stamp duty
technical assistance to its contracted demand with the areas to be applicable. • exemption/concession in land
pvt. promoters. DISCOMs and for captive use. • All projects entitled premium
• A&N Administration • Electricity duty to be exempted to avail the facilities • project report subsidy
to charges facilitation for captive consumption and third available under • Technical patent subsidy.
services charges @ party sale within the state. Industrial Incentive
0.1% of project cost as • VAT for all the inputs required Policy and such other Additional Incentives - Following
per DPR. for solar power projects to be policies of state govt. additional incentives will
• Developers can avail refunded. • Loans available as be extended to those solar
CDM benefits. • Industries Department to provide per central/ Bihar power developers who would
• Producers entitled to all incentive in terms of refund of state government or commission their solar plant by
the available incentives Stamp Duty and Registration agencies. March 2017. These incentives
as provided by the charges for land purchased for • Project is entitled to all will be in force for the period
MNRE, GoI and A&N setting up solar power project. the applicable benefits of 7 years from the dated of
from time to time. • All projects developed with the under central/ state implementation of the project
• Tax incentives as above incentives eligible for REC policies. • VAT exemption by the commercial
declared by Govt. of India benefits. tax department.
and A&N Administration • These incentives will be in force for • Open Access is granted to any
from time to time shall a period of seven years from the developer, they shall pay the
be applicable. date of implementation. applicable open access charges
• To accelerate • Solar power developer will sell and losses as approved by
development of NRSE RE (Solar) certificates as per the CSERC.
projects, a Single regulations of APERC. • Cross Subsidy surcharges
Window Clearance • No fossil fuel to be allowed to be will not be applicable for open
Mechanism shall be used in a Solar Power Plant. access obtained for third party
established. • Drawl of Reactive Power by the sale within the state.
• All necessary and solar power plant shall be charged • All Grid connected solar project
applicable clearances as decided by the APERC. developed also eligible for REC
required for the project benefits.
shall be considered in
a time bound (within 60
days from the date of
submission of complete
application along with
requisite fee.
• Exempted from electricity
duty
 COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
1 Order Date Solar Power Policy - 2009 Haryana Solar Energy Draft Jharkhand Solar Solar Power Policy 2013, No.47 ST
G.R.No.SLR-11-2008-2176-B Policy 2014 - Renewable Policy, 2013 of 2013 dt.18/03/2013
dated 6th January, 2009 Energy Dept. Haryana Govt
Notification dated
4.9. 2014

Compendium of State Government Policies on Renewable Energy Sector in India

2 Eligible Producer • Any company or body Private,IPPs and Public Any Individual/ Firm/ Society/ Any company or body corporate or
corporate or association Private sector Institution/ Registered association of body of individuals for
of body of individuals, Company etc developing the purpose of captive use and/or for
whether incorporated or Solar power Projects. selling of electricity as per JKSERC/
not, or artificial judicial CERC regulations.
person,
• Minimum project capacity
of a Solar Power
Generators (SPG), in case
of solar Photovoltaic (SPV)
and Solar Thermal (ST) to
be 5MW each
• A maximum 500 MW SPG
allowed for installation
3 Land Allotment • Possibility of setting up • In the case of • Nodal Agency to prepare a Land
50 MW capacity scale Government assistance Bank of Potential sites
solar plants on barren for land acquisition/ • Available sites to be advertised
panchayat land and on Government land to seek bids.
canals to be explored; transfer for Solar Power • Government land to be leased
• To promote installation of Plant, the land-use scale to the developer on payment
small capacity roof top grid will be at maximum 2 of premium/rentals to be
connected solar plants on Hectare/ MW. determined by the Government
the roofs of industries, • In case the Developer till the expiry of concession
public and private purchases private land period.
institutes, school college, for the project, they • In case of non availability of
commercial institutions/ will be eligible for an Govt. Land, the land to be
establishments, hospitals, exemption of stamp arranged by Science & Tech.
charitable trust Bhawans duty. department J&KEDA / LREDA /
and residential buildings KREDA and will be leased out to
etc. IPP as token rate to be decided
by PAC.
• Govt. to facilitate forest land, if
required, and compensation etc.
to be paid by entity.
• For projects on sites identified
by the developer, nodal
agency to examine the site for
determination of power potential
while evaluating the price bid of

31
the project.
 32
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
4 Operative Period Up to 31.3.2014 From the date of notification 5 years from the date of With effect from publication in the
upto 31.3.2017 notification, or until modified State Gazette and to remain in force
or superseded by any other until superseded or modified
solar policy of the State,
whichever is later.
5 Sale of Power and • Open Access for Third part • To develop SPV plants of Category I Projects: • Can be used for captive use or

Compendium of State Government Policies on Renewable Energy Sector in India

Tariff sale 1-10 MW capacity to fulfill • For projects allotted sold to PDD or any 3rd party in or
• Cross subsidy surcharge Solar Renewable Purchase under tariff based outside state.
not applicable for open Obligation to ensure that competitive bidding for • For sale to PDD, Tariff as per JK
access for third party sale entire requirement of sale of power to JSEB SERC.
within the state. solar power required to be / its successor Discoms • For third party sale, infrastructure
• Energy to be sold to purchased by DISCOMs / other distribution facilities of PDD as available will
Distribution licensees in under RPO is purchased licensee, PPA to be be provided subject to payment
the State at levelised fixed from developers situated executed between JSEB of Open Access charges & losses
tariff for SPV & ST (as within the state by March and the successful as approved by JKSERC.
detailed in Policy) for 25 2017; bidders. • T&D losses also to be borne by
years • To encourage and facilitate Category II Projects: the developer.
IPPs to install solar plants • PPA to be executed • Distribution licensees in J&K
for captive use or for third between the Power are mandated to purchase solar
party sale on average Producer and the power specified by JKSERC.
power purchase cost to Procurer on mutually
the DISCOM under REC agreed rates.
mechanism Category III Projects:
• Possibility of setting up • PPA to be executed
50 MW capacity scale between the solar
solar plants on barren power producer and
panchayat land and on the Procurer as per the
canals small capacity and applicable CERC or
explored. JSERC Regulations/
• To promote roof top grid Orders.
connected solar plants Category IV Projects
on the roofs of industries, • PPA to be executed
public and private institutes between the solar
etc power producer and
• Entire power from above to the Procurer (NWN or
be purchased by Discoms Solar Corporation of
at Haryana tariff India) and/ or JSEB or
its successor Discoms
as per Guidelines under
JNNSM.
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
6 Wheeling As determined by GERC from Wheeling charges as per • Wheeling available • Transmission to be on T&D
time to time. HERC Regulation 2010 through JSEB/ Discoms, network of Power Development
with amendments as per wheeling charges Department (PDD), wherever
specified by JSERC feasible.
for wheeling within or • Point of interface between the
outside the state. network of PDD and SPP shall

Compendium of State Government Policies on Renewable Energy Sector in India

• State Govt. to provide be specified in the agreement
a grant of 4% of the executed between PDD and the
wheeling charges, in entity
terms of energy injected, • Transmission/Wheeling charges
and the balance shall be to be applicable as per J&K
borne by the developer. SERC for sale of Power within
• Separate agreement to or outside the state.
be executed with JSEB • Solar Power Projects eligible
or its assignee, or other to possess one trading RE
grid or network, as certificate per every 1000units of
appropriate, for wheeling energy (1MWH) wheeled to the
/ banking of power for Distribution utility or any other
category-II projects. licensee.
• Developer to pay
wheeling and
transmission charges
to JSEB / Discom, in
case of sale of power
to third party consumer
/ distribution licensee /
JSEB or its successor
Discoms, subject to the
regulations of JSERC.
7 Banking • Banking allowed for a Banking of 100% of energy Banking for captive use or/and for
period of one year during every financial 3rd party sale shall be provided
• IPP to pay difference of year permitted subject to for 2 months.
unscheduled industry the following conditions:
charges (UI Charges) at • Banked energy during
the time of injection and the Financial Year
drawl subject to verification
• Withdrawal of banking by JSEB / Discom.
power not allowed during Developer to pay 2%
peak and time of day of the banked energy
(TOD) Hrs. towards banking charges
to JSEB /Discom.
• Return of banked energy
shall be as per JSERC
Regulations.

33
 34
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
• If the banked energy is not • Balance energy, if
utilized within 12 months any, at the end of a
from the date of banking Financial Year shall
it will automatically lapse be purchased by the
and no charges shall be Discom in accordance
paid in lieu of such power. with the JSERC rules
and directions.

Compendium of State Government Policies on Renewable Energy Sector in India

8 Power Evacuation • Power by the SPG to be • All expenses for power • Evacuation facility from • Evacuation facility through
and Grid Interfacing injected at 66 kV. evacuation, transmission solar plant to JSEB sub- open access shall be provided
• Evacuation facility from and distribution lines and station shall be approved after analysing the system
the Solar substation/switch synchronizing equipment by JSEB. availability.
year to GETCO substation to be as per orders of • Power to be injected at • The developer to be responsible
to be approved & laid by HERC. 33 KV. for developing necessary
GETCO • For Roof Top interactive • Transmission lines from infrastructure upto inter
• Electricity generation SPV system, all switchyard of solar connection /interface point
would be metered jointly arrangements for power power plant to JSEB • To facilitate connectivity
on a monthly basis by evacuation shall be made sub-station shall be laid synchronisation with the grid
GEDA/GETCO. by Power generators as by JSEB for category - I for remote areas it shall be
• Transmission Line from per technical specification, & IV projects in accordance with policy of
SPG switchyard to guidelines and regulations • For category II & III Government of India
GETCO substation shall of HERC. projects, lines shall be
be laid down by GETCO. laid by the developer.
• Interconnection
arrangements to be in
accordance with the
JSEB or the Discom’s
requirement, and as
per JSERC/ CERC
Regulations.
9 Incentives and • Developer to pass 50% on • Exemption from • All Solar power projects • Solar Power plants (SPPs)
General the gross benefit of CDM conversion charges, (including captive units) installed and commissioned
the distribution licensee Change of land use charge, are eligible for exemption during the operative period to
• SPGs installed and external development from payment of 50 be eligible for the incentives
commissioned during the charges, scrutiny fee and % electricity duty and declared under this policy for 25
period to be eligible for the infrastructure development cess for a period of 10 years from the date of scheduled
incentives, for a period of charges years from the date of commissioning of as approved
2 years from the date on • All new solar energy commissioning. by MNRE.
commissioning projects to be treated • Captive plants to have • No entry tax to be levied by the
• Exempted from payment as industry in terms of 50% exemption on state Govt. on Power generation/
of electricity duty for sale industrial policy of the electricity duty for a transmission equipment and
through all modes / self State and all incentives period of 5 years. building material used for SPPs.
consumption) / sale to third available to the industrial • Mortgage deed in favour of
party/sale to licensee. units under the policy to financing institution exempted
be available to the solar from payment of stamp duty.
power producers. • Exemption from court fee for
registration of documents for
lease of land
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
• Cross subsidy surcharge • CDM Benefits as • JREDA shall be the • No royalty in the shape of
shall not be applicable for per Haryana Govt. nodal agency for the free power to be paid for solar
open access obtained for Notifications/ HERC registration and the post projects.
third party sale within the Regulations development activities • Electricity duty for self
state. • Allocation of Solar Plants for the developers of the consumption /sale to third party/
to IPPs is by Selection Solar Power Projects of sale to licensees’ @4 paisa/unit.
category II, III & IV. • Exemption from demand cut

Compendium of State Government Policies on Renewable Energy Sector in India

through competitive
Bidding • Bidders for Category of 50% of installed capacity for
- I are not required to captive use.
register for participation • Developer to pass the gross
in the bidding process. benefits of CDM to the
The companies who Distribution licensee with whom
have signed the MoU PPA is signed.
with State Govt. are • Reactive power availed from
required to register the generating stations to be
under this clause. charged as per JKSERC order.
• Developer of category-l • Only new plant and machinery
project not allowed shall be eligible for installation
to transfer the project under this policy.
before commissioning. • Entity to be responsible for
• Even after submission of documents to
commissioning, such concerned authorities within
transfer may be permitted 12 months from the date of
with the prior approval of allotment of project.
the Energy Department, • Entity to achieve the financial
State Govt., against a closure within three months from
non-refundable fees to the date or receipt of all statutory
be fixed by the State approvals and clearances.
Govt. • Project to be completed and
• Reactive Power made operational within 24
Charges: In case of months after receiving all
drawl of Reactive Power, statutory clearances.
the necessary JSERC • Failure to fulfil any of the
prescribed charges shall commitments/ conditions to
be payable. result in automatic cancellation
• Developer intending to of the allotment of site and
generate and distribute forfeiture of upfront premium
electricity in a rural amount. No Compensation
area notified by the would be payable to the entity in
State Government, no such instances.
distribution License
is required, subject to
complying with EA,
2003.

35
 36
Sl. Name of State Gujarat Haryana Jharkhand Jammu and Kashmir
No.
• Solar projects • Entity to deposit upfront premium
implemented under this to the Nodal Agency within one
Solar Policy to have the month from the date of allotment
status of industry and will of the site.
be eligible for all benefits
under Industrial Policy
2012 (or subsequent

Compendium of State Government Policies on Renewable Energy Sector in India

amendments). In case
of any inconsistency, the
provisions under the new
Solar Policy shall prevail
• Equipments purchased
for installation of Solar
power plants under the
policy shall be exempted
from VAT and entry tax.
• Clean Development
Mechanism (CDM)
benefits as per JSERC.
• If open access is granted
to any developer or
beneficiary, they
shall have to pay the
applicable open access
charges and losses as
approved by JSERC
from time to time.
 COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER
Sl. Name of State/ Karnataka Kerala Madhya Pradesh Manipur
No. Description (From RE policy of State)
1 Order Date • Karnataka Solar Energy Kerala Solar Energy Policy Implementation of Solar Power Based Policy on renewale sourcs
Policy 2014-2021 - Order No. 2013 - G.O(P) No. 49/2013/PD Projects in MP dated 20 July, 2012 for promotion of generation
EN 61 NCE 2011 dated 01- Dated-Thiruvananthapuram, through non conventional ene]
07-2011 for the period 2011- 25/11/2013 gy sources vide No.1/1/2005-

Compendium of State Government Policies on Renewable Energy Sector in India

2016 S& (Misc) dated 12-09-2006
• Amendment Order No. EN 21
VSC 2014 dated 22-05-2014
Issued by Energy Department,
Govt. of Karnataka.
2 Eligible • For Grid connected utility • All solar power developers and • All Power producers
Producr scale project.-any Individual/ manufacturing units of equipments generating Grid-grade
Firm / Society/ Institution/ and ancillaries related to Solar electricity with installed
Registered Company Power Projects capacity not exceeding
including Public utilities shall • Any individual firm/society/ 25 MW
be eligible to apply. institution/Registered company • Producers generating
• For Grid connected, roof shall be eligible to apply electricity for captive
top projects -All individuals consumption
residential/ commercial/ • Companies, Co-
Institutional. Govt. building operative, partnerships,
owners, Industrial units are Village Development
eligible to set up solar power Board/ Village Authorities,
plant. individuals etc.
• Interested Firms/ Registered
Companies including public
utilities shall also be eligible.
• For Off Grid projects- Any
individual shall be eligible to
set up off Grid projects.
3 Land • GoK contemplates to • Developer to be responsible • Govt. land if available shall be
Allotment facilitate deemed conversion to identify the land for 3.0 Hectares per MW.
of land for solar projects by project. • In case of Govt. revenue land
amending section 95 of land • Government to assess and permission for land use,
reforms ACT the land suitable for the circulars dated 06.09.2010
• A separate dedicated cell the development of and 08.08.2011 of the Revenue
with staff drawn from revenue solar installations in the Department (GoMP) shall be
dept shall be created in possession of Government/ applicable.
KREDL, to ensure creation of private / tribal individuals. • permission from concerned
Govt. Private land banks for • For tribal lands, in addition authorities required for of forest
development of solar projects to the lease rentals, a land
on lease basis including revenue (not profit) sharing • For purchases of private land
formulation of modalities, mechanism for the land developer is exemption of 50% of
fees, etc. owner is envisaged. stamp duty.

37
 38
Sl. Name of State/ Karnataka Kerala Madhya Pradesh Manipur
No. Description (From RE policy of State)
• GoK will permit the purchase • For Govt. Land, New and
of agricultural land for Renewable Energy Department
development of solar project shall take possession of the
and contemplates time bound land and subsequently give
permissions on payment of permission for use of the land to
specified fees. the developer.

Compendium of State Government Policies on Renewable Energy Sector in India

4 Operative The policy will come into effect Policy to come into operation From the date of notification in From the date publication
Period from 2014 and shall remain in with effect from the date of Madhya Pradesh Gazette. Notified until superseded or modified
force until 2021 or till such time publication and will remain in Gazette in Hindi vide notification
any changes are made by the in force until superseded or dated 20th July, 2012
State Government. modified by another Policy.
5 Sale of Power • It is proposed to achieve • Sale of power to KSEB shall • Power generated to be purchased • Power Department to
and Tariff minimum 1600 MW of grid be as at a tariff decided by APPC rates. pur­chase electricity
connected utility scale solar KSERC or at the pooled cost • MPPMCL to enter into PPA at a minimum rate of
power generation projects of the power purchase of the for purchase under REC Rs.2.25 per unit to be
for sale of power to state utility or net metering. mechanism. increased every year for
ESCOMs, 3rd party sale and • KSEB to have first right of • Third party sale to be allowed 10 operational years.
captive consumption. refusal for the power from the within / outside the state as per • Thereafter the rate of
• Projects to promote plants established in private Electricity Act 2003 and orders / increase to be mutually
distributed generation by lands / premises, except in regulations issued by MPERC. settled between Power
land owning farmers with a cases of self/captive use. • In case of sale of total or part of Deptt. and developer.
minimum capacity of 1MWp • KSERC to annually notify power to third party by developer • PPA for 20 years unless
and maximum capacity of the Pooled Cost of Power with consent from MPPMCL, Developer wants shorter
3MWp per farmer for sale of Purchase of the utility as developer shall have to pay period
power to ESCOMs at KERC applicable to solar power MPPMCL for the energy sold,
tariff rates. sector. at half rate of difference of third
• GoK intends to bring various • Energy charges for the grid party sale rate and prevailing
HT categories of consumers connected plant to be settled APPC rate of MPPMCL for that
with connected load of more on a monthly basis between year, on monthly basis.
than 50 kVA under Solar developer and the utility. • In Category I Projects, PPA to be
Purchase Obligation (SPO) executed between MP Discoms /
with the consent of KERC. MP Power Management Company
Ltd. and successful bidders as per
the tariff arrived by the process of
tariff based bidding. However, the
rates shall not be more than the
rates specified by MPERC.
• In Category II Projects: PPA to
be executed between the power
producer and the procurer on
mutually agreed rates.
Sl. Name of State/ Karnataka Kerala Madhya Pradesh Manipur
No. Description (From RE policy of State)
• In Category III Projects: PPA to
be executed between the power
producer and the procurer as
per regulations/orders of CERC/
MPERC.
• In Category IV Projects: PPA
to be executed between the

Compendium of State Government Policies on Renewable Energy Sector in India

power producer and the procurer
(NVVN/MP Discoms/MP Power
Management Company Ltd.) as
per guidelines under JNNSM.
6 Wheeling • Wheeling charges to be Wheeling and T&D losses not • Wheeling through MP Power • Department to transmit
applicable as determined by applicable for the Captive Transmission Company Ltd./ MP on its grid the power
KERC from time to time. Solar generators within the Discoms as per wheeling charges generated by producer
• All transactions between state. decided by MPERC and make it available to
KPTCL / ESCOMS / • Government of MP to provide him for captive use or to a
Distribution Licensee and the grant of 4% in terms of energy third party for sale within
Developer involving wheeling injected and the balance, if any, to the State, at a uniform
or sale of power to be settled be borne by the project developer wheeling charge of 2%
on monthly basis for the above wheeling. of the energy fed to the
• Developer to be responsible grid,
for paying all wheeling and • Third party to be a HT
transmission charges to consumer of power.
MPPTCL/Distribution Company,
in case of sale of power to third
party Consumers/Distribution
Licensee/Power Management
Company Limited utilizing their
network. Payment shall be subject
to MPERC regulations.
7 Banking Banking and cross subsidy Conditional Banking facility • 100% subject to verification by Allowed up to 1 year
charges to be applicable as available to captive the concerned state Discom
determined by KERC from generators. • Developer to pay 2% of the
time to time. banked energy towards banking
charges to the concerned Discom/
state power trading company.
• Return of banked energy shall be
based on regulations issued by
MPERC and balance energy, if
any, at the end of financial year
after return of banked energy
shall be purchased by concerned
Discom/state power trading
company in accordance with
rules/directions of MPERC.

39
 40
Sl. Name of State/ Karnataka Kerala Madhya Pradesh Manipur
No. Description (From RE policy of State)
8 Power • The developer shall be • Developers requiring grid • Developer to lay power • Developer to bear cost
Evacuation responsible for connecting connectivity to apply to the evacuation line from generating for evacuation facilities
and Grid the generating station to the utility and utility to provide station to the nearest substation & interfacing up to the
Interfacing nearest grid sub-station or connectivity if found feasible or interconnection point with nearest HT lines as well
inter-connection point with after collecting a processing associated switchgear. as for Mtc.
the grid. fee. • In case, MPTCL/MP Discom • Alternatively, these works
• KPTCL/ESCOMs may at the • KSEB to act as single takes up this work, the cost shall and their maintenance

Compendium of State Government Policies on Renewable Energy Sector in India

request of developer, take window service provider be borne by the developer. could be undertaken by
up work of construction and to all grid connected solar • Developer under approval of the Power department at
maintain the same on cost plants in association with MPPTCL/Discom, may carry charges to be decided by
basis, which will be borne by other state agencies. out construction work by the Department
the developer. • KSEB to create necessary paying supervision charges as • Cost of augmentation
• KPTCL/ESCOMs shall evacuation facility beyond applicable. of sub-station capacity
not collect any network the pooling station for at 33/ 11 kV or higher &
augmentation charges the projects upto 10MW transmission lines to be
towards system augmentation capacity. borne by the Department.
beyond inter-connection • For higher capacity plants,
point. KSEB to construct the
• Generating plant substation evacuation facility on deposit
shall be developed and work basis.
maintained by the producer
as per the grid code at his
own cost.
• Developer in consultation with
KPTCL to finalize the location
of substation at voltage levels
400 / 220 / 110 / 66 / 33kV.
9 Incentives and • Tax concessions in respect • Open access Charges not • All solar projects including captive • All transactions involving
General of entry tax stamp duty and applicable. units are exempted from payment wheeling, banking or sale
registration charges shall be • Electricity Duty -Energy electricity duty and cess for a of power to be settled on
as per Karnataka Industrial generated from the plants period of 10 years from the date monthly basis
Policy. to be fully exempted from of commissioning of the project. • Exemption from electricity
• The Industrial Consumers paying the Electricity duty. • Only new plant and machinery duty for 5 years from COD
opting to draw power form • Tariff incentive for consumers shall be eligible for installation for captive use or third
Solar Power Projects opting for solar generation to under the policy. party sale.
under Renewable Energy be offered. • Projects implemented under this • Producers to be treated as
Certificates (REC) • Incentive for people’s policy eligible for benefits under industrial units and similar
Mechanism, Projects under representatives / panchayats industrial promotion policy. In incentives available to
Captive/ group Captive for promoting solar case of inconsistency between them
Generation and Projects installations and street light MP Industrial Promotional Policy • Concessions given
under Independent power optimization. and Solar Policy, provisions under to Industrial units in
Producer shall be allowed New Solar Policy shall prevail. backward areas to be
corresponding pro-rata • Equipment purchase for provided
reduction in contract demand installation of solar power plants • Infrastructural facilities
on a permanent basis but under this policy exempted from to be on the lines of
subject to the decision of VAT and entry TAX. industrial units if plant is
KERC in this regard. set up in industrial area
developed by State Govt.
Sl. Name of State/ Karnataka Kerala Madhya Pradesh Manipur
No. Description (From RE policy of State)
• Solar PV projects shall be • Solar Procurement • CDM Benefits to be as per • Govt. of India Incentives
exempted from obtaining Obligation (SPO) will be provisions specified by MPERC. Exemption of tax on Solar
clearances of pollution control mandated for Commercial • Open access, reactive power and devices and spare parts.
board. consumers with more than renewable purchase obligation, • Sale Tax exempted
• In case of drawl of Reactive 20kVA connected load, LT the provisions specified by MANIREDA to facilitate
Power for the project, Industrial with more than MPERC shall be applicable. grant of loans by IREDA
• & MNRE & accord of

Compendium of State Government Policies on Renewable Energy Sector in India

necessary charges shall 50kVA connected load and Developer is free to surrender
be payable at the rates for all HT & EHT consumers project after registration but clearances for execution.
prescribed by KERC. in a phased manner. performance guarantee shall be • If the applicant does
• Fees and charges applicable • All HT/EHT consumers shall forfeited unless it is established not take effective steps
for the year 2014-15 across have to procure 0.25% of that the surrender of project was (i.e., at least 10% of
various categories of utility their energy consumed beyond developer’s control. the total project cost
scale and roof top projects through SPO till March 2015 • Transfer of Project is not allowed not incurred within six
are as per policy. with 10% increase every without the prior approval of months) to implement the
• Various GoI incentives/ year. GoMP before its commissioning. project, the agreement
concessions allowed by • From April 2015 onwards Payment of fees (non refundable) to be terminated and
MNRE viz. Central Excise the same shall be applicable of Rs.1.00 Lac per MW shall be site allotted to another
Duty and Custom Duty for commercial consumers applicable for transfer. applicant
exemption to be allowed to and LT industrial as per the • No fossil fuel shall be allowed to
the Producer. criteria mentioned above. be used in the grid connected
• The above to be made solar thermal project.
applicable for domestic • No license required for Generation
consumers consuming more and Distribution in rural area
than 500 units per month at but developer to comply with
a later stage. Electricity Act 2003.

41
 COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER

42
Sl. Name of State Meghalaya Mizoram Odisha Punjab
No. and Developer (From RE policy of State) (From RE policy of State) (From RE policy of State)
1 Order Date Policy for promoting generation Power policy for power through Odisha Solar Power Policy – New and Renuable Source
o f p o w e r t h r o u g h n o n - non-gonventional energy sources 2013, Draft-RESOLUTION of Energy (NRSE) Policy vide
conventional energy soureces No.10/174/2012/STE(3)4725
dated 26 Dec, 2012. Policy
to replace and supersede the

Compendium of State Government Policies on Renewable Energy Sector in India

previous policy i.e. New and
Renewable Source of Energy
(NRSE) Policy 2006, notified vide
no.10/106/2006-STE(1) 5390 dt.
24/11/2006
2 Eligible • Power producing • Companies, cooperative, • Developers to be selected • Persons generating electricity
Producer entrepreneur. Companies, partnerships, individuals, through competitive bidding from non covenantal energy
cooperative, partnership charitable societies, Non- process only on basis sources
individuals etc. Governmental Organizations, of application invited by • No restriction on generation
• All power producers etc. OREDA from time to time. capacity or supply of electricity
generating grid-grade • Producers generating 10 • Selected developers to to State grid
electricity with installed kW to 25 MW of grid-grade approach the single window
capacity between 10 kW Electricity for statutory clearances
and 25 MW • Producers in the joint-sector, such as land, water, power
• For captive consumption formed by Government evacuation etc.
agencies and the producers.
• For captive consumption.
3 Land Allotment Land lease not exceeding 99 • Government land earmarked • If the land belongs to local
years, for industry under the “Land bodies/ gram panchayat, the
Bank” scheme and other State would encourage them
Government land wherever to provide the land for RE
applicable will be allotted for project.
generating units. • Important: Govt. is to promote
• State to develop solar parks investment through private /
by following two different public sector participation for
models: 1000MW of power generation
• In the first model suitable from Solar energy.
waste land to be identified
for setting up of solar power
plant and sold to selected
developers as per provision
of IPR, Government of
Odisha.
• In the second model OREDA
to own the land and develop
infrastructural facilities like
approach roads, boundary
wall, water, auxiliary power,
power evacuation facility
etc. and provide the land
to selected developers on
30 years’ lease basis at
predetermined lease rent.
Sl. Name of State Meghalaya Mizoram Odisha Punjab
No. and Developer (From RE policy of State) (From RE policy of State) (From RE policy of State)
• Developments, if they so wish
can also set up their projects
outside the solar park for
which they have arranged
the land themselves.
4 Operative From the date of publication till Policy will come in to operation From date of Notification in the
Period superseded or modified with effect from the date of official gazette till Govt. issues

Compendium of State Government Policies on Renewable Energy Sector in India

resolution and will supersede New Policy
the policy guidelines for power
generation from non conventional
energy sources -2005 with
respect to the content related to
solar power generation.
5 Sale of Power DISCOM to purchase • Department to purchase • Developer may be allowed to • As per PSERC RE tariff orders
and Tariff electricity at SERC rate electricity at a minimum rate sell energy to Bulk Suppliers/ and shall be governed by RE
& on mutually accepted of Rs. 3.50/unit applicable Distribution Licensees on a regulations.
terms and conditions for the year 2002-03 with basis of a Power Purchase • Projects allotted through tariff
escalation of 5% every year Agreement (PPA) with the based competitive bidding
for 10 operational years. Licensees to be approved / discount on professional
• Thereafter the rate of increase by OERC. tariff, the tariff arrived
to be mutually settled • Energy form the captive after competitive bidding
between Department and the power plant, not utilized / discounted tariff to be
Producer. during the year by the applicable in accordance with
• It shall not be compulsory for Developer for his captive CERC RE Regulations.
power producer to sell power use will be treated as sold
to Department to GRIDCO/DISTOCS at
• Developers with concurrence the price to be negotiated
of the Department may sell with them and approved by
the electricity to a third party OERC.
within and outside the State, • In case of failure to sell power
at a rate to be mutually settled in open access, developers
between them. may sell power to GRIDCO /
• PPA for minimum period of 10 Discoms or to any third party
years unless Developer wants within the state at mutually
for shorter period agreed tariff rates subject
to approval of the same by
OERC.
• Power generated from these
projects to be purchased
by GRIDCO / Discoms at
average pooled power cost
determined by OERC from
time to time.

43
 44
Sl. Name of State Meghalaya Mizoram Odisha Punjab
No. and Developer (From RE policy of State) (From RE policy of State) (From RE policy of State)
6 Wheeling • STU to transmit on its grid • Department to transmit on • Developer may use T&D • 2% of the energy fed to the
the power for captive use its grid the power generated network of GRIDCO/ grid or as amended from time
of developer or to a third and make it available to him DISTCOS for carrying to time by PSERC.
party or sale within the for captive use or to a third power to the destination • Wheeling/transmission of
state, at an applicable party nominated by eligible of use on payment of T&D power to be governed by
wheeling charge. producer for sale within the and wheeling charges as Open Access Regulations.
• Third party to be HT

Compendium of State Government Policies on Renewable Energy Sector in India

State, at a uniform wheeling approved by OERC.
consumer of the power charge of 2% of the energy • Developer may transmit
unless relaxed by the supplied to the grid. power outside the state on
DISCOM. • Third party to be HT consumer payment of transmission/
unless condition relaxed by wheeling charges as
DISCOM determined by OERC.
• No license is required for
generation and distribution
of electricity in rural areas.
7 Banking Allowed up to 1year • Banking of energy generated Allowed for 1 year. However,
through a captive solar energy bank during non-paddy
power plant allowed on season and non-peak hours will
Annual basis as per financial not be allowed to be drawn during
year. paddy season and peak hours
• Unutilized energy during respectively.
the year to be paid as per
the rates to be negotiated
between GRIDCO/Discom
and the developer.
• Banking charges to be
payable as approved by
OERC.
8 Power • Developer to bear cost • Developer to bear cost Grid interfacing arrangements • Interfacing including
Evacuation and for evacuation facilities for evacuation facilities & to be made by solar installation of substation
Grid Interfacing & interfacing up to the interfacing up to the nearest power producers/OPTCL/ and meeting equipment
nearest HT lines as well HT lines as well as for DISCOMs as per the on the LT/HT site of the
as for Maintenance. Maintenance following: generating station upto the
• Alternatively, these works • Alternatively, the above • Generating plant – interconnection point and its
and their maintenance works and their maintenance Generating plant sub- subsequent maintenance
could be undertaken by the could be undertaken by the station to be developed and to be undertaken by Power
DISCOM at charges to be Department at charges to be maintained by developer as Producer/Plant owner.
decided by the DISCOM/ decided by the Department per the grid code and entire • For sale of power to PSPCL/
SERC and the producer on mutual cost to be borne by him. Licensee, Transmission link
agreement. • Solar plant to be integrated and associated switchgear
• Cost of augmentation of sub- by installing RTUs by and ABT complaint check
station capacity at 33/ 11 kV or developer. meters to be provided by
higher & transmission lines to • Solar power producers to PSPCL/Licensees
be borne by the Department ensure the average power
factor of 0.95 (lagging) to 1.0.
Sl. Name of State Meghalaya Mizoram Odisha Punjab
No. and Developer (From RE policy of State) (From RE policy of State) (From RE policy of State)
Receiving sub-station - • For other cases developer
• Location for sub-station to lay the transmission lines
for 33kV and above grid and associated switchgear
connected solar power plants required for evacuation of
to be finalized by GRIDCO/ power, from the generating
OPTCL in consultation with station to PSPCL/ Licensee/

Compendium of State Government Policies on Renewable Energy Sector in India

OREDA PSTCL grid substation at its
• Location for sub-station for own cost.
11kV grid connected solar • P S P C L / P S T C L / L i c e n s e e
power plants to be finalized to provide jumpers at
by DISCOMs in consultation interconnection point as
with OREDA. applicable in Regulation /
• Discoms to allow Tariff order.
interconnections of solar
power plants connected to LT
voltage level as per standard
norms fixed by CEA/ MNRE/
OERC

Solar Power producers to pay

Grid connectivity charges
as finalized by OREDA to
DISCOMS/ GRIDCO as
applicable within 3 months of
final approval of the project.

T&D Augmentation for Grid

interfacing work to be done
by developer / promoter
at their own cost with the
approval of GRIDCO /
DISTCOS

GRIDCO / DISTCOS may

maintain the same by mutual
agreement on payment of
annual charges

45
 46
Sl. Name of State Meghalaya Mizoram Odisha Punjab
No. and Developer (From RE policy of State) (From RE policy of State) (From RE policy of State)
9 Incentives and • Infrastructural facilities to • Exemption from electricity • Power plant generating power • RE power generation and
General be on the lines of industrial duty for captive use or third set up after the effective date consumption by generators
units if plant is set up in party sale shall be deemed to be a new themselves fully exempted for
industrial area developed • Infrastructural facilities to be industrial unit and not liable levy of Electricity duty
by State Govt. on the lines of industrial units to pay Electricity duty. • 100% Electricity duty waival for
• Exemption from electricity if plant is set up in industrial • Every solar power project power consumed from state
duty for 5 years from COD area developed by State proposed to be set up in licensee during construction

Compendium of State Government Policies on Renewable Energy Sector in India

for captive use or third Govt. the state (excluding those and testing of the project
party sale. • Producers to be treated as set up through competitive • Octroi on energy generation
• Sales Tax/ VAT deferment industrial units and similar bidding process) has to be and equipment/machinery for
/ remission as applicable incentives available to them registered with OREDA. RE power projects exempted.
• Meghalaya Non- • Concessions given to • State Level Screening • Similarly octroi on self
Conventional and Rural Industrial units in backward Committee (STC) with consumption of power by
Energy Development areas to be provided Principal Secretary/ captive plants in the same
Agency (MNREDA), to • State Government to extend Secretary, S&T Dept., Govt. premises or through wheeling
facilitate clearances for the all incentives and facilities of Odisha as Chairperson by open access to same group
projects at the State and granted by the Central to be setup for in principle companies is exempted.
Central levels and grant of Government for similar clearance of the projects • RE projects exempted from
loans by Indian Renewal Undertaking in other States. setup under REC mechanism VAT and any cess thereon.
Energy Development • Equipments and materials for sale of power through • 100% exemption from entry
Authority (IREDA) and exempted from State sales open access. tax in respect of all supplies
subsidies by MNRE. tax • OREDA will act as Nodal (including capital goods,
• Developer to submit • All transactions involving Agency for single window structure and raw material) for
applications for projects wheeling, banking or sale clearance of the projects. setting up and trial operation
and grid interfacing to of power to be settled on a of the project.
MNREDA and DISCOM. monthly basis • 100% exemption from
• MNREDA/ State • Reduction in contract demand payment of fee and stamp duty
government to provide up to 30% of installed capacity for registration/lease deed
clearance within a period permitted, in case power plant charges for land required for
of 2 months from the is not utilizing Department’s the project
date of submission of Grid for supply of power to the • Solar PV Power projects
application consumer exempted for obtaining any
NOC/consent under pollution
control laws from PPCB.
• All RE projects developed
under this policy to be treated
as industry in terms of Industry
policy of the state and all
the incentives available to
new industrial projects to be
applicable to the Projects.
• Developer to submit a
performance security in the
shape of bank guarantee of
Rs.40.00 Lakhs per MW in
case solar projects before
signing of IA or as stipulated
in the bid document.
 COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
1 Order Date Rajasthan Solar Energy Policy Draft policy for promoting Tamil Nadu Solar Energy Policy 2012 Solar Power Policy, Uttar
2014 generation of electricity through - Approved by Govt. of Tamil Nadu vide Pradesh, 2013
New & Renewable Energy no. GO(Ms)No.121/Energy(C2) dt. 19-10-
Sources 2012

Compendium of State Government Policies on Renewable Energy Sector in India

2 Eligible • Utility Grid Power Projects • Companies, cooperative, Solar Power projects will be developed
Producer of unlimited capacity for partnerships, individuals, through competitive / reverse bidding.
captive use / sale to 3rd charitable societies, Non­
Party / States other than Governmental Organizations
Rajasthon through Open etc.
Access • Government agencies and
• Power Producer of states the producers (JV)
other than Rajasthan will • Power producers for captive
also be eligible for RE consumption.
(Solar) Certificate
• Development of Solar
Parks by Private Sector
Developers, through Joint
venture Companies (JVCs)
3 Land • Government land to be • Government Land on lease Solar Parks with a capacity of about • Identification of suitable
Allotment allotted to Solar Park • Private Land on payment 50 MW each will be targeted in 24 locations and the
Developer/ Solar Power basis. districts. creation of a land bank.
Projects as per the provisions • Forest Land as per the • Facilitation for the
of Rajasthan Land Revenue Forest Conservation Act allotment of suitable
Rules, 2007, as amended land/ space under the
from time to time. control of the State
• Solar Park Developer will Government or its
be empowered to further agencies.
sub-lease the land • Grid connected solar
• Allotment of Government power projects will be
land only on submission of implemented on suitable
cash security deposit of Rs land banks identified
5.00 lac per MW by demand and procured by the
draft / RTGS in favour of developer.
RREC, Jaipur • For Projects to be set
• In case land is not allotted, up on government land
security deposit will be or space, the developer
refunded. will be selected by the
• State will promote setting up department or a nodal
of Solar Power Plant / Solar agency through a
Farm on private land transparent process.

47
 48
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
• Khatedar shall be permitted • Nodal agency to provide
to set-up Solar Power assistance in arranging
Project on his holding or to the right-of-way, if
sub-let his holding for setting any, the water supply
up of such projects without and the connecting
the requirement of land infrastructure, like
conversion in accordance roads, etc.

Compendium of State Government Policies on Renewable Energy Sector in India

with the provisions of
Rajasthan Tenoncy Act
1955 and Rajasthan Land
Revenue Act 1956.
• Power Producers allowed to
purchase private land from
Khatedar for setting up of
Solar Power Plant in excess
of ceiling limit in accordance
with the provisions of Ceiling
Act, 1973.
• For details in regard to
maximum land that can
be allotted for setting up
Solar Power Plant based
on different technology may
refer the policy
4 Operative • Policy to come in to operation Date of its notification till The policy to come into
Period with effect from 8.10.2014 superseded or modified effect from the date
and will remain in force until of issuance and to
superseded or modified by remain in operation till
another Policy. 31stMarch 2017.

5 Sale of Power • For sale to Discoms of • Department / TSECL to • Renewable Energy Certificate (REC) • Energy generated from
and Tariff Rajasthon on the tariff purchase electricity at TERC mechanism promotes trading of solar power projects
determined by RERC through tariff. solar power to meet solar purchase commissioned during
competitive bidding process • Third party sale permitted. obligations (SPO). this policy period may
to the extent of Renewable • PPA for a minimum period of • All the obligated entities committed be sold to distribution
Purchase Obligation (RPO) 10 years. to meet SPO will necessarily have to utility of UPPCL, to any
target fixed by RERC. • Department to consider PPA either produce solar power (captive) third party or used for
for shorter period on merit. or buy solar power from Tamil captive purpose.
• Increase of tariff to be Nadu Generation and Distribution
mutually settled between Corporation Limited (TANGEDCO) or
Department / TSECL and purchase Solar RE Certificates for an
the producer equivalent quantity through the Power
Exchange from the Promoters who
have tradable RE Certificates.
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
• For plants under REC • Under this mechanism Solar power • Developers interested
mechanism, captive use, promoters are eligible to possess one in selling the generated
third party sale / sale to other tradable RE Certificate per every 1000 energy to a distribution
state through Open Access, units of energy (1 MWh) wheeled to utility of UPPCL, will
Producers to deposit security the Distribution utility or to any other have to participate in
amount of Rs 10 lac / MW in licensee. competitive bidding for
•

Compendium of State Government Policies on Renewable Energy Sector in India

the form of bank guarantee Tamil Nadu will mandate 6% SPO the capacity they wish
within one month from the (starting with 3% till December 2013 to offer, subject to the
date of issue of in-principle and 6% from January 2014) for various approval by UPERC.
clearance categories of HT / LT consumers. • UPPCL to sign the PPA
• For projects established • The categories exempted from with the successful
for sale of power through SPO are Domestic consumers, bidders for a period of
REC mechanism, PPA Huts, Cottage & Tiny Industries, 10 years.
to be signed as per the Powerlooms, LT Industrial and • Developers, who wish
regulations/orders of Agricultural consumers. to sell the generated
appropriate commission power to a third party,
• For projects for sale of power can set up plants under
to Discoms of Rajasthan this policy, but will not
security deposit will be be allowed to sign a
governed by provision of bid PPA with the distribution
document and PPA utility of UPPCL, even in
• Projects set up for sale of future.
solar power to parties other
than Discoms of Rajasthan,
Producer to contribute
towards Rajasthan
Renewable Energy
Development Fund, a sum
of Rs 1 lac / MW every year
for the entire life-cycle of
the project from the time of
commissioning.

6 Wheeling • In case of captive use, 2% of the energy supplied to the Allowed

agreement to be executed grid.
for wheeling and banking
of power with Discoms of
Rajasthan
• A separate agreement to
be executed for wheeling
of power with Discoms of
Rajasthan

49
 50
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
7 Banking As per the RERC regulations • Banked for one Financial • Banking charges for wheeling of
year. power generated from the Solar Power
• Unutilised banked energy Projects, to the desired locations for
will be settled at the rate captive use/third party sale within the
specified in the PPA. State will be as per the orders of the
TNERC.

Compendium of State Government Policies on Renewable Energy Sector in India

8 Power • Through the T&D network • Developers to bear the entire Projects to evacuate power at suggested • Grid connectivity and
Evacuation maintained by RVPN and cost of Power evacuation voltages: associated evacuation
and Grid Discoms and interfacing including facilities from the solar
Interfacing • RVPN / Discoms of maintenance to the nearest Solar PV System Grid substation to the “feed
Rajasthan to develop / HT lines. Size Connected in substation” to be
augment the necessary • Cost of augmentation of sub- provided as per UPERC
T&D network to evacuate station capacity at 3/11 kV <10kWp 240V Regulations 2010 as
the power from receiving or higher and transmission <10kWp to <15kWp 240V/415V amended from time to
Sub-station, lines to be borne by the <15kWp to <50kWp 415V time.
• Minimum capacity and Department • Responsibility of getting
voltage level of project <50kWp to 415V connectivity with the
getting connected to RVPN’s <100kWp transmission system
receiving GSS, shall be 5 >100kWp 11Kv owned by Discom/STU
MW at 33 kV. to lie with the Project
• In case projects of capacity Developer.
less than 5 MW seek inter- • Cost of the line up to the
connection at RVPN’s “feed in substation” to be
receiving GSS, shall bear borne by the developer.
the cost of line bay instead of • This transmission line
applicable grid connectivity shall be constructed
charges by the STU or Discom
• For Grid Connected Plants who owns the “feed in
commissioned under Tariff substation”.
Based Bidding and NSM / • Entire cost of
MNRE, power evacuation construction of the
line from Generating Plant line, wheeling charges,
Sub-station / Pooling Sub­ losses etc to be borne
station to the receiving by the developer.
RVPN / Discoms Sub­station
will be laid as per terms &
conditions of Bid document
/ RERC Regulations
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
• For Grid connected Solar
Power Plants commissioned
under REC mechanism,
captive use, third party sale
/ sale to other state through
Open Access and rooftop

Compendium of State Government Policies on Renewable Energy Sector in India

plants connected to LT grid,
the line from the Generating
Plant Sub-station / Pooling
Sub­station to RVPN /
Discoms receiving Sub­
station to be laid as per
regulations / orders of
appropriate commission
• Producers may construct
Common Pooling Sub-
Station to evacuate their
generated power to RVPN
/ Discom substation through
common transmission line
with separate metering
system at their Common
Pooling Sub-Station and
main metering system
at RVPN / Discom Sub-
Station.
• Producer to pay grid
connectivity charges as
finalized by RERC

9 Incentives • Generation of electricity • Producers to be treated • Appropriate tax incentives as per • Provision of special
and General from Solar Power Plant an Industry and similar Tamil Nadu Industrial Policy will be incentive will be
shall be treated as eligible incentives available to provided to attract investors from made by the State
industry and incentives them. India and abroad. Government on case
available to industrial units • Infrastructural facilities to • All solar power producers are eligible to case basis for solar
under Rajasthan Investment be provided on the lines of to avail of the Clean Development farms where multiple
Promotional Scheme shall industrial units Sales Tax Mechanism (CDM) benefits to plants are installed and
be available to the Solar Exemption. enhance the viability of the projects. the total investment is
Power Projects. • Incentives provided by • 100% of electricity generated from over Rs.500crores.
• To allocate required quantity Central Government as per solar power used for self consumption/ • Incentives under the
of water subject to the “North East Industrial and sale to utility, allowed for 5 years. Uttar Pradesh State
availability of water for Incentive Promotion Policy • Exemption from demand cut to the Industrial Policy, 2012
power generation. (NEIIP), 2007 extent of 100%of the installed capacity to be applicable to the
assigned for captive use purpose will solar power plants.

51
be allowed.
 52
Sl. Name of Rajasthan Tripura Tamil Nadu Uttar Pradesh
No. State ( from RE policy)
• Producer to intimate • Solar equipment and • Only new plant and machinery are • Expenditure on
estimated water requirement materials exempted from encouraged as per international the construction of
to RREC along with source State sales tax/ VAT standards. transmission line
of water. alternately reimbursed • Guaranteed single window clearance and substation in the
• Modification(s) required, 100% will be provided through TEDA Bundelkhand region, to
if any, in the existing canal • CDM benefit to developers in 30 days so that the plants can be borne by the State
system shall be done at the in first year, 10% to be commissioned in less than 12 Government.

Compendium of State Government Policies on Renewable Energy Sector in India

cost of the Power Producer beneficiaries in 2nd year to months. • Solar power plant
• Solar Power plant of all be increased by 10% every • Solar water heating system mandatory approved, installed and
capacities have been notified year upto 50% and then for new house/building/marriage halls/ commissioned during
under Green Category. shared equally between hotels etc by amending relevant Acts this period to be eligible
• In-principle clearance of developer and beneficiary. of Municipalities/Corporations for benefits under this
projects to be granted by • Producer to deposit an policy.
the State Level Screening amount equal to 2.5% of the • No benefit of this policy
Committee headed by estimated cost of the project will be available to
Principal Secretary as security deposit towards projects set up under
/ Secretary Energy, completion of the project any incentive scheme of
Government of Rajasthan within the prescribed time MNRE.
as per criteria detailed in the frame. • Plants, which want to
policy • All transactions to be settled avail of the incentives
. on monthly basis. under this policy, will
have to register with
the nodal agency, sign
an agreement and
furnish a performance
bank guarantee till the
commissioning of the
project as per the time
frame given in this
policy.
• Solar power plants of
above 5 MW capacity
to be built for captive
use to be eligible for the
incentives under this
policy either within the
premises of the user
plant, or outside, with
wheeling arrangement.
• Solar PV projects within
13 months and Solar
thermal projects within
28 months from the date
of signing of the PPA.
• Use of fossil fuel not
allowed in a solar
thermal power project.
 COMBINED SUMMARY OF STATE POLICIES FOR SOLAR POWER
Sl. Name of State Uttarakhand West Bengal
No. (From RE policy of State) (From RE policy of State)
1 Order Date Policy for promoting generation Policy on Co-generation and
of Electricity through renuwale Generation of Electricity from
sources of energy wide notification Renewable Sources of Energy
dated 5th June 2012. Vide vide Notification Dated: 5th

Compendium of State Government Policies on Renewable Energy Sector in India

No.263/I(2)/2008-04(8)-96/2001 June, 2012
29th dated Jan, 2008
2 Eligible Producer There is a target to harness 82
MW of solar power through grid-
connected projects and 18 MW
of solar power through rooftop
and smaller solar installations
by 2017.
3 Land Allotment • Government land, if
available, permission for use
will be given for 30 years or
the project life whichever is
less.
• Land to be allocated and
transferred to WBGEDCL,
which will then lease the
land to the developers.
• For projects on private land
developer to arrange the
entire required quantum of
land through direct purchase
/ suitable agreement with the
land owner.
• R.E. projects may not
require conversion of private
/agricultural land to non
agriculture purposes subject
to necessary government
orders passed for these
purposes.
• The allotment of land, if
any, shall stand cancelled
if the power project is not
started within the time frame
in accordance with the time
limits as stipulated in the

53
Implementation Agreement.
 54
Sl. Name of State Uttarakhand West Bengal
No. (From RE policy of State) (From RE policy of State)
4 Operative Period
5 Sale of Power • UPCL to have first right of •
All the electricity generated
and Tariff purchase of electricity from the renewable energy
• UERC to determine price of projects established within
electricity the State of West Bengal are
• Government of Uttarakhand to be preferably sold to the

Compendium of State Government Policies on Renewable Energy Sector in India

to Provide guarantee for distribution licensees within
Payments to be made the State of West Bengal.
by UPCL for purchase of • All transactions between
Power WBSETC/Distribution
Licensee and the developer
involving wheeling or sale
of power will be settled on
a monthly basis as per PPA
and transmission service
agreement executed.
6 Wheeling • UPCL/PTCUL to transmit Allowed
power through its grid for
captive use or third party
sale within/ outside the
state
• Wheeling charges to be
announced in advance
7 Banking Allowed at mutually agreed
terms

8 Power T&D lines from generation site • The inter-connection

Evacuation and to be provided by UPCL/ point of the renewable
Grid Interfacing PTCUL energy generation facility
with the transmission &
distribution system will be
as per regulations of the
commission.
• WBSEDCL and the
distribution licensee to
jointly create evacuation
infrastructure for RE projects
i.e. pooling stations.
Sl. Name of State Uttarakhand West Bengal
No. (From RE policy of State) (From RE policy of State)
• The evacuation
infrastructure cost beyond
the inter-connection point to
be borne by the licensees
which is to be recovered
from consumers as per

Compendium of State Government Policies on Renewable Energy Sector in India

suitable pricing framework
developed by WBERC.
• Interfacing equipment and
associated switchgear as
well as their maintenance to
be undertaken by developers
at their own cost.
9 Incentives and • CDM Benefits to be passed • Exemption of demand cut
General to the developers to the extent of 50% of the
• Not more than three projects installed capacity assigned
in each category to be allotted for captive use purpose
to a developer will be allowed subject
• Preference to be accorded to the Regulations of the
to industrial units located in Commission
State in the open competitive • The host and obligated
bidding process provided distribution utilities shall
the bid is not less than 80% provide revolving Letter of
of the highest bid Credit from a nationalized
• If developer does not restrict bank as a payment security
to the prescribed time mechanism for all RE
schedule of completion projects
of project, premium to be • Developer/Government
forfeited and allotment acquiring land to provide an
canceled amount not exceeding one
• Projects to be offered for percent (1%) of the project
40 years from the date of cost for the rehabilitation
award, and resettlement of the
• Application fee (Non- persons displaced from the
refundable) - Rs. 5000/- project area.
• Processing fee (Non- • In case of RE project
refundable) - For projects construction in very remote
up to 1MW - Rs. 10,000/ - areas, some infrastructural
and more than 1MW - Rs. support including approach
25,000/- roads to the project site may
• Security Payment - For be provided at Government
projects up to 1MW - Rs. cost.
20,000/- and more than
1MW- Rs. 50,000/-

55
 56
Sl. Name of State Uttarakhand West Bengal
No. (From RE policy of State) (From RE policy of State)
• Committee headed by • Concession and incentives
Chief Secretary to accord allowed by the Ministry
approvals / clearances of New and Renewable
through a single window Energy/Government of India
mechanism to be passed on by the State
Government to the project

Compendium of State Government Policies on Renewable Energy Sector in India

developer through the
designated Nodal Agency.
• All risks, costs, and efforts
associated with the availing
of carbon credits to be borne
by the producer and entire
proceeds of carbon credit
from approved CDM project,
if any, to be retained by the
generating company.