OFF-GRID OPPORTUNITY

• Decentralized solar and wind power generation systems are

potential alternatives to expensive long distance centralized
power delivery systems and can bring cheap electricity to the
masses.
• Market size of off-grid applications-
 Installed capacity of solar plants-10Mw
 Solar water heating systems-2.90 (Sqmt.million collector area)
 Solar street lighting-75,376
• The money spent on subsidizing kerosene can be utilized to
suuport the upfront cost of home lighting system
 PROMOTION OF WIND & SOLAR

• Incentives in solar power-Recently issued generation based

incentives for grid interactive solar power generation projects have
encouraged project developers
• Preference for GBI shall be given specially to those states which
have notified tariff for solar power
• For wind power projects 50paise/KWh with a cap of Rs 62
lakhs/Mw against the accelerated depreciation
• Apart from GBI the other incentives that a wind project avails-
 No direct tax for first 10yrs out of first 15yrs of operation
 Most SERCs have announced special tariffs of Rs 3-Rs 4/unit for
grid connected projects
 Low wheeling charges
 RENEWABLE PURCHASE OBLIGATION

• Several SERCs have set target for DISCOMs to purchase

certain percentage of their total power requirement from
renewable sources referred as RPO.
• Renewable Energy Certificates(REC) is an instrument to
promote renewable energy and facilitate RPO among various
states
 DISTRIBUTION FRANCHISE MODEL

• Merit and scope of the model

• Case study of Bhiwandi town in 2006
• Reasons for adopting such model in future
• Analysis of the states which have adopted the franchisee
model
• Comparison between the “privatisation” and “franchisee
model” concept
 FINANCIAL CLOSURE OF SOLAR
POWER PROJECTS
• Uncertainty in solar projects
 Investors perspective
 Scalability of projects
 Hesitant behavior of banks
 Regulatory issues
 Financial institutions on learning curve
MULTI-DIMENSIONAL CHALLENGES OF
SERCs
• Current areas of focus
 Demand-supply gap
 Lack of implementation of EA’03
 Delay in filing information
• State-wise regulatory scenario( Maharashtra, Punjab etc)
• Operational and financial state of affairs of different power
utilities