The tender submission deadline is 17 April, 2020
This week BESCOM has floated an invitation for application for subsidies for residential rooftop solar projects latest by 25 March, 2020
The Kerala State Electricity Board (KSEB) is on the lookout for eligible contractors to be empanelled for establishment of 50 MW rooftop solar photovoltaic (RTSPV) projects in Kerala state.
The tender submission deadline is 17 April, 2020, and the project involves design, supply, installation and testing of the rooftop solar plants. The power purchase agreement (PPA) will require the selected contractors to build and operate the respective RTSPV projects for a period of 25 years. The KSEB intends to set up 50 MW capacity of RSTPV plants during the fiscal 2021 period. The Kerala government intends to improve solar capacity in the state in order to fulfill its state level RPO (renewable purchase obligation) and reduce its carbon footprint. Around 150 MW solar projects are said to be established in the residential segment over a fixed duration.
At present, residential consumers interested in rooftop solar are already registering for the process. The government subsidies for residential rooftop solar projects will the provided to the first 75,000 customers that register with the KSEB.
Last year, the Kerala government launched the “Soura” program to add 1 GW of solar projects to the current solar capacity under the KSEB, by 2022. Of the 1 GW, 500 MW was slated to be added through rooftop solar projects. The phase one of the program involved adding 200 MW of RTS. Apart from 500 MW of RTS, the Soura program in Kerala has slated to add 200 MW, 100 MW and 150 MW or ground-mounted solar, floating solar and solar park respectively, all to be commissioned by the 2022.
KSEB has devised three types of business models for implementation of RTSPV projects. Under the first model, KSEB will bear the cost of building the RTS project on consumers roofs and operate and maintain the plant for a 25 year duration. Energy will be fed to the grid, with around 10% of electricity generated to be provided free of cost to the consumer. The second business model will involve KSEB to bear the entire cost of the plant that is set up on the consumers’ rooftop. Power will be sold to the consumer through this RTS plant at a fixed tariff that is defined by a PPA between consumer and KSEB. The third business model entails consumers paying the entire cost of the RTS project. Excess electricity fed into the grid from the RTS plant will be purchased at an average power purchase cost.
This week BESCOM has floated an invitation for application for subsidies for residential rooftop solar projects. The subsidy scheme for residential rooftop solar plants were conceived by the MNRE and BESCOM have been allocated 30 MW under this scheme. Smart Sustain spoke with BESCOM’s Managing Director, M B Rajesh Gowda who explained the details of the program. The last date to avail subsidies is 25th March, 2020. The projects have to be set up by January 2021.
According to the MNRE subsidy scheme, 40% of the project cost will be alloted as subsidies for RTS projects up to 3 kW. For projects above 3 kW upto 10 kW, the subsidy will be 20% of the project cost. The Jawaharlal Nehru National Solar Mission (JNNSM) has ear-marked a solar capacity installation goal of 100 GW by 2022, out of which 40 GW to capacity has to come from rooftop solar installations. India has collectively around 5 GW solar installations at present, which indicates a huge lacuna to be filled in order to reach the target within the deadline. Subsidies and initiatives taken by state governments to increase statewise RTS capacity might help India scale up its RTS capacity by 2022.
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