In a recent development, the Ministry has approved revised benchmarks for Central Financial Assistance (CFA) under Phase-II of the Rooftop Solar Programme. The changes, outlined in the official memorandum dated 27.01.2023, have been directed by the competent authority to enhance support for Grid Connected Rooftop Solar Photovoltaic Systems.
The revised CFA (Central Financial Assistance) is structured based on project capacity and categories, providing different rates for various segments.
For individual household projects, the rates are set at Rs 18,000/kW for 1-3 kW capacity in general, and Rs 20,000/kW for the same capacity in Special Category States. Projects with a capacity above 3-10 kW have revised rates of Rs 9,000/kW (General) and Rs 10,000/kW (Special Category States).
For Resident Welfare Associations/Group Housing Societies (RWA/GHS) and Common Facilities up to 500 kW, the revised CFA is set at Rs 9,000/kW for General category and Rs 10,000/kW for Special Category States.
It is essential to note that these revised CFAs will apply to all future bids and those scheduled to be closed after 15 days from the issuance of the revised rates.
These adjustments in CFA rates aim to streamline financial assistance based on project characteristics, promoting equitable distribution and support for renewable energy initiatives.
The Implementing Agencies (Discoms/SIAs, etc.) are mandated to conduct a tendering process for rate discovery and vendor empanelment, aligning with the scheme guidelines issued on 20.08.2019. In tender mode, the admissible CFA will be restricted to the lower of the revised benchmark CFA or the discovered rate (40% for 1-3 kW, 20% for above 3-10 kW), ensuring compliance with the scheme guidelines.
These modifications supersede the instructions provided in the Ministry’s earlier memorandum dated 27.01.2023, with immediate effect from the issuance of this Office Memorandum.
This significant development aims to incentivize and accelerate the adoption of rooftop solar projects across the country, particularly in special category states, fostering sustainable energy practices and contributing to the overall green energy goals.
For more details view the official document below:
Discover more from SolarQuarter
Subscribe to get the latest posts sent to your email.
