Madhya Pradesh Distribution Licensees set to explore and encourage rooftop solar photovoltaic projects

Madhya Pradesh Madhya Kshetra Vidyut Vitran Co. Ltd. is exploring option of implementing rooftop solar photovoltaic power generation projects in its license area as well as license area of other two distribution licensee of the State. An investor meet on June 17, 2014 at Bhopal was organised by the distribution licensee to understand the viewpoint of the solar projects developers and discuss its approach. The distribution licensees’ are mandated, by electricity regulatory commission of the State, to purchase minimum 0.8% and 1% of their total electricity energy procurement during FY 2013-14 and FY 2014-15, respectively, from solar energy sources.

On the occasion of the investor meet, Mr. Manu Srivastava, Chairperson of the Distribution Licensees mentioned that the rooftop solar photovoltaic power generation projects equivalent to 5 MW are proposed to be implemented on government buildings in Bhopal, Jabalpur and Indore under feed-in tariff mechanism. The power purchase shall be made on the rate discovered in competitive bidding and the purchase shall be utilised for meeting the solar purchase obligation, he added.

“We are determined to promote renewable energy and are exploring all possible options to promote deployment of rooftop solar photovoltaic projects in our licensee area” told Mr Nitesh Vyas, Managing Director of Madhya Pradesh Madhya Kshetra Vidyut Vitran Co. Ltd. With the support from ComSolar/GIZ we are analysing the commercial aspect under various business models to implement rooftop solar photovoltaic projects, added Mr Baljeet Singh Khanooja, Additional General Manager of the Company.

“It is encouraging to see that a distribution licensee has come forwarded and proposed to encourage deployment of rooftop solar photovoltaic projects. The Ministry of New and Renewable Energy (MNRE) is continuously encouraging deployment of rooftop solar photovoltaic projects and has given its consent to the distribution licensee for providing central financial assistance up to a capacity of 5 MW” said Dr Arun Kumar Tripathi, Director at MNRE.

“We have been continuously providing our support to the Indian Ministry on various aspects related to proliferation of rooftop solar photovoltaic projects and are advising the distribution licensee on the possible business model following Indian law” said Mr. Timon Herzog, Principal Advisor ComSolar/GIZ. “We believe that the outcome shall set example for other distribution licensees, pan India, to deploy rooftop photovoltaic projects” added Mr Hemant Bhatnagar, Senior Advisor, ComSolar/GIZ.

India. Madhya Pradesh Distribution Licensees set to explore and encourage rooftop solar photovoltaic projects  © GIZ

Urban cities in India are growing and shall continue to expand vertically together with increasing electricity requirements and greenhouse gas emissions. Rooftop solar photovoltaic facilities offers potential benefits including reducing dependence on fossil fuel based generation, savings on investment in transmission and distribution infrastructure, savings on reducing the network losses, reduced cost for managing the scheduling of electricity and can eliminate purchase of expensive energy from the market. Furthermore, transmission and distribution losses can be minimized and the grid load is stabilized by providing peaking supply of power in the place of use, tail-end voltages are improved and local jobs created. Besides, each kWp of solar capacity installed saves approximately one ton of CO2 emissions on annual basis.