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Jawaharlal Nehru National Solar Mission
Ministry of New and Renewable Energy Government of India
Gp Capt PK Khanna, Senior Project Engineer, Center for Solar Energy Technologies (CSET), Indian Institute of Technology Jodhpur (IIT J)(Raj)` 2
Jawaharlal Nehru National Solar Mission (JNNSM)
• One of the eight Missions under National Action Plan on Climate Change • Launched by the Government of India in January 2010. • JNNSM is one of the major global initiatives in promotion of solar energy technologies. • Mission aims to achieve grid tariff parity by 2022 through Large-scale utilization, rapid diffusion and deployment at a scale which leads to cost reduction R&D, Pilot Projects and Technology Demonstration Local manufacturing and support infrastructure Mission Objectives Jawaharlal Nehru National Solar Mission has been launched under the National action Plan on Climate Change with an objective: To establish India as a global leader in solar energy, by creating the policy conditions for its diffusion across the country. Mission anticipates achieving grid parity by 2022 and parity will coal based thermal power by 2030.
To adopt a 3-phase approach from 2010 to 2022.
Aim of the mission is to focus on setting up an enabling environment for solar technology both at centralized and decentralized level. Mission Targets
A 3- phase approach has been formulated
Application Segment Phase - I Phase-II Phase- III
2010-13 2013-17 2017-22
Utility grid power 1,000-2,000 MW 4000-10,000 MW 20,000 MW
Off- grid 200 MW 1,000 MW 2,000 MW Applications Solar Thermal 7 million Sqm 15 million Sqm 20 million Sqm Collectors Area Manufacturing -- -- 4,000-5,000 MW Base Solar Lighting -- -- 20 million Systems Solar RPO 0.25% -- 3% Mission Strategy
To create necessary environment to attract industry and project developers for investment in power generation, manufacturing.
To work closely with State governments, regulators, power utilities and local self government bodies.
To attract banks and financial institutions to provide necessary finance for setting up solar power projects for grid/ off-grid.
To promote off-grid solar applications to meet light and power requirements of energy–poor by provision of low cost credit through re-finance facility from IREDA 6 Mission Road Map Application Segment Target for Cumulative Cumulative Phase I Target for Target for (2010-13) Phase 2 Phase 3 (2013-17) (2017-22)
Grid solar power 1,100 MW 10,000 MW 20,000 MW (large plants, roof top & distribution grid plants)
Off-grid solar applications 200 MW 1,000 MW 2,000 MW
Solar Thermal Collectors 7 million 15 million 20 million sq (SWHs, solar sq. sq. meters meters cooking/cooling, meters Industrial process heat applications etc.) Solar Lighting System 5 million 10 million 20 million 7 Indian Power Sector Power Installed Capacity = 223.869 GW 12.54%
17.64% Thermal Nuclear 67.69% Hydro Renewable 2.14%
Thermal Hydro Nuclear Renewable Total 1,51,530 39,491 4,780 28,068 2,23,869 MW MW MW MW MW 8
Renewable Power Capacity 6.01%
13.18%
Wind Small Hydro 12.94% Bio mass Solar 67.87%
Wind Small Solar Biomass Total 19,051 Hydro 1819 MW 3,698 MW 28,067 MW MW 3,632 MW Technology Choice in PV Power Technology Choice Solar Thermal Project Growth 12 India’s Energy Challenge
In next 12 years India’s Electricity electricity requirement shortage to grow 2.5 times estimated at 25-35 GW
400 Million DemandDemandShortageShortage Climate Change is people still also an important without access to ClimateClimate ChangeChangeAccessAccess issue electricity SecuritySecurity
India is dependent on oil imports for 80% of its demand Policy & Regulatory framework
Solar Power Purchase Obligation
Solar specific RE Certificates
Incentivizing through NTPC Vidyut Vyapar Nigam Ltd. (NVVN) for • setting up of large solar power plants. • Designated as nodal agency for entering into PPA with Solar Power Developers. • MoP allocating equivalent amount of MW to NVVN. • Sale of power as per CERC regulations (to provide Generation Based incentive) Rooftop solar PV and other small power plants connected to LT/11 KV grid with a remunerative feed-in tariff ( routed through IREDA) Fiscal Incentives
Custom duties and excise duties concession/ exemptions on
• Specific capital equipment • Critical materials components • Project imports Solar-Manufacturing
To establish low cost, high quality manufacturing facility for solar PV with the targets of 4-5 GW by 2020.
To provide incentives to establish SEZ for solar manufacturing parks.
To provide soft loans for technology up gradation and working capital through re-finance facility from IREDA. Financing the Mission Activities
Fund Sources • To provide budgetary support for the activities • To access International Funds under the UNFCCC framework
Fund requirement for Phase II • Review of progress achieved at the end of 11th Plan • Analysis of the efficacy of the model adopted Research and Development
To set up a solar research council to guide the overall technology development strategy
To establish a national centre of excellence to implement the plans formulated by the council.
Main tasks will be testing and certification, developing standards and specifications, networking among different research institutions. Human Resource Development
Potential for employment for 1 lakh personnel by end of mission period.
Design and development of specialized courses on solar energy at engineering/ management cadre
Training of technicians for effective sales and service network.
To provide training for scientists and engineers and also to establish Government Fellowship Programme. 19 Policy and Regulatory Support
. Regulatory measures- RPO/REC . Supporting grid connected projects to bring volumes and reduce prices . Finacial support for off-grid . Support R&D in India . Encourage manufacturing . HR development 20
Targets & Achievements of Phase-I
Application Segment Target for Phase I Achievement (2010-13) for Phase-I Grid solar power 1,100 1,684.4355 MW (large plants, roof top & (including those distribution grid plants) under state MW initiative) Off-grid solar applications 200 MW 252.5 MW allotment Solar Thermal Collectors 7 million 7.001 million sq. (SWHs, solar cooking, solar sq. meters meters cooling, Industrial process heat applications, etc.) 21 JNNSM: Phase-I, Batch-I
Scheme Projects Projects Weighted Avg. bid allotted Commissioned tariff MW MW Large PV projects 150 130 12.16 through NVVN 2 Projects of 5 MW each Rs. / Unit Cancelled Migration SPV 54 48 Scheme RPSSGP Scheme (PV) 98.05 88.80 CERC linked tariff
Solar Thermal projects 470 50 MW 11.48 through NVVN commissioned Rs. / Unit
Total 772.05 316.8 - 22 JNNSM : Phase-I, Batch-II
Schem Projects Projects Minimu Maximu Weighte % e allotted Commissione m bid m bid d Reducti d tariff tariff Average on in No. MW No. MW bid tariff tariff
Large 28 350 25 300 7.49 9.44 8.77 43 % PV Rs. / Rs. / Rs. / project Unit Unit Unit s throug h NVVN 23 Learning from JNNSM Phase-I
Reduction in tariff is possible if capacity to be allotted is high. Experienced companies are interested in large size projects. Transmission and Evacuation System is still a major issue. Assurance of continuous and timely payment is very important from lenders’ point of view. Resource Assessment was another major Issue but now with experience, developers are more confident about it across various parts of the country. Equipment import is still very high despite domestic content requirements i.e. Domestic manufacturing needs more support. Financial health of State Discoms is hampering the growth and Increasing risks for Investors. RPO enforcement and monitoring from SERCs and Nodal agencies are not very efficient, which is a major hurdle. 24
Thrust areas for Phase-II
Scaling Up of Grid Connected Projects Grid Connected & Off-Grid Rooftop Projects Off-Grid projects Hybrid Systems Expanding existing Manufacturing Capacity Focused Research & Development Solar Resource Monitoring & Assessment Financing Human Resource Development Development of Solar Parks 25 State-wise Capacity State/UT MW State/UT MW Andhra Pradesh 33.15 Punjab 9.325 Arunachal Pradesh 0.025 Kerala 0.025 Chhattisgarh 4.0 Rajasthan 551.15 Gujarat 857.9 Tamil Nadu 17.05 Haryana 7.8 Uttar Pradesh 17.375 Jharkhand 16.0 Uttarakhand 5.05 Karnataka 14.0 West Bengal 2.05 Andaman & Madhya Pradesh 37.315 Nicobar 5.1 Maharashtra 160.0 Delhi 2.5555 Odisha 13.0 Lakshadweep 0.75 Puducherry 0.025 Others 0.79 Total Capacity by 31st March, 2013 1684.4355 Total Capacity by till date TOTAL 1819.4355 26 Upcoming Projects from States List of States which have announced Solar Policy and have encouraged setting up of solar projects. S. No State Solar Specific Programme 1 Gujarat • Announced – 968.5 MW, Commissioned – 857.9 MW 2 Andhra • Tendered - 1000 MW , Bid received for 150 Pradesh MW for tariff Rs. 6.49/-, Commissioned – 20.15 MW 3 Tamil Nadu • Announced – 3000 MW, Tendered 1000 MW out of which LOI for 701 MW issued, Commissioned – 17.105 MW 4 Odisha • Allocated 50 MW in two phases of 25 MW each • Awarded – 25 MW, Minimum Tariff – Rs. 7/Unit 5 Rajasthan • Tendered – 200 MW (100 MW PV + 100 MW ST), 75 MW PV allotted 6 Karnataka • Commissioned – 24 MW, Approved Plan for 14 200 MW • Project allotted – 70 MW, Min. tariff – Rs. 7.94/Unit 10 MW Commissioned on 05 Jun 13 • LOI Issued-130 MW 27
S. No State Solar Specific Programme 7 Chhattisgar • Aims at capacity of 500 to 1000 MW till March h 2017 8 Uttar • Aims at capacity of 500 MW till March 2017 Pradesh • 130 MW allotted. • A JVC is proposed between UPNEDA and NHPC Ltd. initially for 50 MW and total target is 100 MW. Madhya • Awarded 200 MW, commissioned -37.315 MW 9 Pradesh • Minimum Tariff – Rs. 7.90/Unit 10 Maharashtr • Commissioned– 125 MW under State initiative a and 35 MW under REC scheme.
11 Bihar • 50 MW allotted and 100 MW tendered. 12 Punjab • Tendered for 300 MW out of which capacity of 250 MW under allotment
Some States have not taken action to meet Renewable Purchase obligation (RPO) 28 Solar Radiation Resources Assessment Stations
Andhra Pradesh 6 Gujarat 11 Haryana 1 Madhya Pradesh 3 Karnataka 5 Rajasthan 12 Chhattisgarh 1 Ladakh 1 Maharashtra 3 Pudducherry 1 Tamil Nadu 6 • C-WET is implementing the project for setting up 51 ground monitoring stations and another 60 Stations under commissioning • Centralized data collection, analysis and calibration of measuring sensors 29 Grid-connected :Target & Thrust Areas
Cumulative target: . 10,000 MW (by March 2017) -4,000 MW under Central schemes -6,000 MW under States initiatives
Thrust areas: . Development of T&D network . Developing cluster of Solar Parks to reduce costs . Grid-connected Roof-top . Achieving grid parity at the earliest 30 Plans for Off-Grid Projects
JNNSM Phase-II envisages development of cumulative capacity of 1000 MW for Off-Grid Solar power and target of 15 Million Sq.M collector area
Improved Energy Access in remote areas
Heating/Cooling applications that would encourage income generation opportunities (such as Cooling, Cold Storage, water purification, Space Heating)
Replacement of Diesel and Kerosene : Telecom towers (25000 systems)
Distributed Generation : (e.g. rooftop PV applications – 1000 MW)
Use in industry : (Space Heating, water pumping)
Solar Cities
Solar Cookers & Steam Generating Systems 31 Institutional Arrangements • “National Institute of Solar Energy” (NISE) under the Societies Registration Act, 1860 and under MNRE as Centre of Excellence.
• Envisaged Role: Effective R&D program with an objective to improve efficiencies in the existing materials, devices and systems. The R&D program will also address the issues of hybrid – co-generation, convenient and cost effective storage and address the constraints of variability and space intensity.
• Solar Energy Research Advisory Council, Chaired by Dr. Anil Kakodkar was set up to advise on research policy with a view to achieve Mission targets..
• Solar Energy Industry Advisory Council, Chaired by Shri Anand Mahindra was set up. 32
Separate Targets for other applications
Rooftop PV Programme – 1000 MW Energy Access – 20,000 (Villages/hamlets/basti/padas) Off-Grid Lighting Systems – 10 lakhs Solar Cities – 15 (In addition to existing target of 60 cities) Solar Water pumps – 25,000 Systems Telecom Towers – 25,000 Systems Solar Water Heating Systems – 8 Million Sq.m of Collector area Solar Cooker & Steam Generating Systems – 50,000 Systems Industrial Process heat application – 400 , 250 Sq.m each on an average Manufacturing – 4/5 GW Capacity Solar Monitoring & Assessment – 60 Monitoring Stations Human Resource Development – 1 Lakh trained & Specialized personnel Solar Parks (250 MW capacity and Land area of 600 hectare) – 5 Nos. Hybrid Systems Risk Factors in Funding Solar Projects Risk Factors in Funding Solar Projects
Financial Risk •In time financial closure by the project developer. •High cost so funding from single source is a risk. •Raising of equity
Guarantee and Long term guarantee and warranty from the Warranty Risk technology providers for the new technology. Suggestions for Risk Mitigation • Advocation for long term / stable/ consistent policies at central / state level- to honor PPAs and MoUs. • Frequent / close interaction with all stake holders including regulatory commissions- to stipulate appropriate GBI/PPA based on capital cost. • Proper Resource assessment studies. • Provision of partial risk guarantee fund from Govt. • Importance of timely clearances / approvals for solar projects. • To create special single window clearance cell at state level. • Promoters to take advance actions to avoid delay of deliveries- to meet targets under JNNSM. • To encourage establishment of more manufacturing units/ suppliers in the country- to deliver indigenous cells and modules as per the requirement of JNNSM . Suggestions for Risk Mitigation
• To establish a mechanism to have information exchange between various FIs and banks-for co-financing or consortium financing. • Detailed site survey reports to be undertaken through professional bodies- to maximize performance efficiencies. • To establish more training institutions for producing skilled manpower-capacity building. • To stipulate suitable conditions for recovery of loan from operations of solar projects in the event of failure of core business (for non IPP projects). • Concurrent monitoring of projects by Fis by appointment of lenders engineers. • Periodic inspection / monitoring of projects even after implementation. (TRA and Generation data) • Innovative financing models by accessing low cost funds from international institutions. National Solar Thermal Power Testing, Simulation and Research Facility at Solar Energy Centre 38
1 MW PV Plant at Osamabad 39 5 MWp SPV Plant at Khimsar, Rajasthan 40 Sun Edison -5 MW Plant at Bikaner, Kolayat, Rajasthan 41
Greentech Power -5 MW Plant at Jodhpur, Phalodi, Rajasthan 42
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