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The Ministry of New and Renewable Energy (MNRE) has introduced a comprehensive set of financial and technical support measures to boost renewable energy development in India. 

The Ministry of New and Renewable Energy (MNRE) has unveiled an extensive array of financial and technical support measures designed to advance renewable energy development across India. These initiatives are set to bolster the adoption of green technologies and promote sustainability on both state and national levels.

New Schemes and Incentives

The Indian government has introduced a comprehensive suite of incentives to enhance the implementation of major renewable energy projects:

PM Surya Ghar: Muft Bijli Yojana

Launched on February 13, 2024, this scheme focuses on integrating rooftop solar panels in government buildings. Operational guidelines issued on July 3, 2024, detail the roles of stakeholders to ensure effective implementation. In Tamil Nadu, the Tamil Nadu Energy Development Agency (TEDA) is leading the solarization of government buildings, including offices, court complexes, industrial units, and educational institutions, under the CAPEX model.

Central Public Sector Undertaking (CPSU) Scheme Phase-II

This scheme provides Viability Gap Funding (VGF) up to Rs. 55 lakh per MW for grid-connected solar photovoltaic power projects managed by government entities, promoting competitive bidding and project viability.

Production Linked Incentive (PLI) Scheme

The National Programme on High Efficiency Solar PV Modules offers incentives based on the efficiency, sales volume, and local value addition of solar PV modules, aiming to boost domestic production and support the solar manufacturing sector.

Solar Park Scheme

Support includes up to Rs. 25 lakh per park for project report preparation and Rs. 20 lakh per MW for infrastructure development, covering up to 30% of the total project cost.

PM-KUSUM Scheme

This scheme promotes decentralized solar power generation with several components:

• Component A: Procurement Based Incentive (PBI) of up to Rs. 33 lakh per MW for solar power purchases.

• Component B: CFA up to 50% for stand-alone solar pumps in remote areas.

• Component C: CFA of 30% for solarizing grid-connected agricultural pumps, with enhanced support in Special Category States.

Green Energy Corridor Scheme

This scheme aids the development of intra-state transmission systems for renewable energy, offering CFA of 40% for Phase-I and 33% for Phase-II of detailed project reports or awarded costs.

Biomass Programme

Incentives cover various biomass energy projects:

1. Up to Rs. 45 lakh for briquette manufacturing plants.

2. Up to Rs. 105 lakh for non-torrefied pellet plants.

3. Up to Rs. 210 lakh for torrefied pellet plants.

4. Up to Rs. 5 crore for non-bagasse cogeneration projects.