MNRE Seeks Feedback On Guidelines For Innovative Solar Projects Under PM-Surya Ghar Scheme

The Ministry of New and Renewable Energy (MNRE) is seeking feedback on the draft guidelines for the “Innovative Projects” component of the PM-Surya Ghar: Muft Bijli Yojana. Approved by the Government of India on February 29, 2024, this scheme aims to install rooftop solar systems in one crore households, with a total budget of ₹75,021 crore. The administrative approval for the grid-connected rooftop scheme was granted on March 16, 2024.

The guidelines for the Innovative Projects component are now available for stakeholder comments, with a deadline of September 23, 2024. This component seeks to promote and showcase innovative solar technologies, applications, and integration techniques to advance the industry. It outlines how to prepare and submit project proposals, including the approval process, evaluation criteria, and monitoring methods.

The objectives are to identify and fund new innovations in rooftop solar business models and technical deployments, support startups and institutions in conducting pilots and scaling new technologies, and create technological and management tools for better grid management by DISCOMs. It also aims to incorporate cutting-edge technology into real-life solar deployments.

A total of ₹500 crore is allocated for the Innovative Projects component. Examples of potential projects include blockchain-based peer-to-peer solar systems, digital solutions for solar installations, smart building materials, and solar systems integrated with electric vehicles. It may also involve creating special financing products and expanding rooftop solar deployments with innovative business models like Virtual Net Metering and Peer-to-Peer Sale of Solar Electricity.

Eligibility for this component includes any entity or individual, with support for international cooperation on joint research and design. Proposals will be invited through national advertisements and the PM Surya Ghar website. The scheme implementation agency (SIA) will also consider proposals from experts, institutions, and industries. The MNRE may support setting up Centres of Excellence to strengthen the rooftop solar ecosystem in India.

Applications must be submitted through the PM Surya Ghar website, with a project duration of up to 18 months. Financial assistance is capped at 60% of the total project cost or ₹30 crore, whichever is lower. The Selection Committee may adjust this based on the project’s specifics. The Secretary of MNRE may set a minimum project cost for funding.

To encourage innovation, annual prizes will be awarded, including a citation and cash prizes of ₹100 lakh, ₹50 lakh, ₹30 lakh, and ten consolation prizes of ₹5 lakh each. The Selection Committee will evaluate proposals based on novelty, feasibility, societal value, and technology.

Approved projects will receive funding on a milestone basis, with up to 50% of the total grant released initially for equipment procurement. The balance will be released based on project progress. Overhead charges are limited to 8% of the project cost or ₹15 lakh, whichever is less.

The Scheme Implementation Agency, National Institute for Solar Energy (NISE), will monitor project progress, fund utilization, and compliance with guidelines. The Monitoring Committee for Innovative Projects will oversee the implementation, recommend fund releases, and evaluate project performance.

MNRE may amend these guidelines as necessary to ensure smooth implementation, with approval from the Minister of New and Renewable Energy.

Please view the document here for more details.