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Rooftop Solar Plan, Progress and Challenges

Context: The Finance minister Of India announced that the participants under the PM Suryodaya scheme will receive 300 units of free electricity monthly, potentially saving up to Rs 18,000 a year.

Progress and Challenges So Far Related To Solar Plan

  • The initial goal was to install 100 GW of solar power by 2022, with 40 GW from rooftop systems. However, the country has lagged behind this target, particularly in the rooftop segment.
  • As of January 2023, the total installed capacity of rooftop solar in India is notably less than the target, standing at a cumulative total of approximately 7,305 MW.
  • Top States with Installed Capacity: As of January 2023, the leading states in rooftop solar capacity include:
    • Gujarat with 1,716.3 MW
    • Maharashtra with 1,562.1 MW
    • Rajasthan with 1,002.44 MW
    • Karnataka with 516.7 MW
    • Haryana with 486.23 MW
  • Year-wise Installed Solar Power Capacity: The installation pace has varied over the years, with a notable increase from 2018 to 2019 and a dip in 2020. The following years have seen a recovery, but the total figures still reflect the need for a significant acceleration to meet the goals.

Suggestions

  • A concerted effort is required to enhance the adoption of rooftop solar systems in India.
  • There are logistical and financial challenges in promoting widespread adoption among residential and commercial users.
  • Innovative financing mechanisms and subsidies might be needed to make rooftop solar more attractive.
  • The role of state policies and their effectiveness in promoting rooftop solar installations is critical.
  • Integrating rooftop solar systems into India’s energy mix is a step towards energy security and reducing carbon emissions.

Future Perspective

India’s rooftop solar plan underscores the necessity of robust policy frameworks, financial incentives, and public awareness campaigns to achieve the ambitious goals set forth. The participation of the state is important in realising the central government’s vision for a sustainable and energy-secure future.

About PM Suryodaya Yojana

  • Launched: January 22, 2024
  • Target Group: The scheme targets one crore households, focusing on reducing electricity bills for the poor and middle class.
  • Energy Self-Reliance: By installing rooftop solar systems, the plan aims to reduce India’s dependence on traditional energy sources and move towards sustainable energy practices.

Benefits of PM Suryodaya Yojana

  • Electric Vehicles Support: The scheme promotes the adoption of electric vehicles (EVs) by providing home charging stations.
  • Entrepreneurship and Employment: Expected to create opportunities in supplies, installation, and maintenance sectors.
  • Capacity Boost: Experts estimating an addition of 20-25 GW new capacity from rooftop solarization of one crore households.
  • Savings for Discoms: Solarization of residential demand could save discoms about Rs 2 lakh crore over the next 25 years, benefiting from the reduced need for subsidised electricity supply.
  • Nationwide Potential: The scheme leverages rooftop solar potential available across all states, offering a more inclusive approach compared to utility-scale solar projects.
  • Market Implications: The initiative is expected to benefit companies involved in solar panel installation and related infrastructure, potentially leading to long-term investment opportunities.

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