Rooftop Solarisation: Road To Sustainability & Economic Viability
Union Finance Minister Nirmala Sitharaman, in her Interim Budget 2024-25, said that up to 300 units of free electricity per month will be made available to one crore families under the rooftop solarization and free electricity programme. Under this project, households would benefit from savings of up to Rs 15,000– Rs 18,000 as a result of receiving free solar electricity and selling any excess to distribution companies.
Prime Minister Narendra Modi had earlier, on January 22, launched the "Pradhan Mantri Suryodaya Yojana," which entails the government providing financial support to one crore households to install rooftop solar power systems.
“Through rooftop solarisation, one crore households will be enabled to obtain up to 300 units of free electricity every month. This scheme follows the resolve of the Prime Minister on the historic day of consecration of Ram Mandir in Ayodhya,” said the finance minister.
Neeraj Kuldeep, Senior Programme Lead, Council on Energy, Environment and Water (CEEW) and Gagan Sidhu, Director – CEEW Centre for Energy Finance (CEEW-CEF) said the budget’s announcement on rooftop solar further emphasises the active role Indian citizens will play in the country’s energy transition and supporting India’s climate commitments. 20-25 GW of rooftop solar capacity would be supported through solarisation of 1 crore households.
Further, given that residential consumers receive subsidised electricity from discoms, solarisation of the demand from these households will save about Rs 2 lakh crore for discoms over the next 25 years (the solar plant's life).
He added, that all states can leverage this opportunity as rooftop solar potential exists everywhere, unlike utility-scale solar, which is primarily restricted to seven RE-rich states.
According to the FM, the government would finance the viability gap for one gigawatt of offshore wind power. By 2030, India wants to have 500 GW of renewable energy capacity.
Shashank Donthi, CEO of Hynetic Electronics on Rooftop Solarisation program by the Government said, the strategic emphasis on distributed infrastructure, especially in adopting rooftop solar energy, emerges as a powerful avenue for promoting widespread environmentally friendly practices. This not only cultivates positive social awareness but also sparks a cascading commitment to sustainable living.
The FM stated that in order to reach net-zero emissions by 2070, money for the viability gap will also be made available for the exploitation of offshore wind energy capacity of 1 GW.
H. S. Bhatia, the Managing Director of Kelwon Electronics & Appliances & DAEWOO India said, "The provision for harnessing free electricity through solar installations marks a definitive step towards operational sustainability. This move transcends the realm of green credentials, representing a strategic realignment of our energy consumption with a future steeped in eco-conscious principles."
He added, that the introduction of the option to sell surplus power back to the grid not only amplifies the economic viability of adopting solar technologies but also empowers businesses to actively contribute to the national energy grid.
