The policy announced by Gujarat Chief Minister Vijay Rupani removes capacity ceiling for setting up a solar project and allows consumers to lease out their roofs or premises to third party for generation and consumption of power in the same premises.
The state government has also allowed group ownership of solar power projects for self- consumption based on their ratio of ownership.
Moreover, the security deposit required to be given to Discoms for power purchase agreement (PPA) by the developers has been reduced to Rs five lakh from Rs 25 lakh per MW.
At present, the industry gets power at an average cost of Rs eight per unit. The new policy will help bring it down to Rs 4.5 per unit. The benefits under the new policy can be availed for a period of 25 years.
The savings for residential units could be in the range of Rs 1.77 to Rs 3.70 per unit, for industrial units it will be about Rs 2.99to Rs 4.31 per unit and for third party buyers will be Rs 0.91 to Rs 2.30 per unit.
The state government aims to target individual consumers, farmers, cooperative societies, households and small developers to benefit from the new policy.
The state government will purchase surplus energy after setting it off against their consumption.
For residential consumers and MSME users for captive usage, Discoms will purchase surplus energy after set-off against their consumption at Rs 2.25 per unit for initial five years and thereafter 75 percent of the latest tariff discovered and contracted by GUVNL through competitive bidding process for non-park based solar projects in preceding six months which would remain fixed for the remaining life of the project.
Also, the policy also states that for HT and LT consumers banking charges will be Rs 1.5 per unit for their solar consumption while for all other consumers and MSMEs it will be Rs 1.10 per unit and there will be no banking charges for residential consumers and government buildings.
The state has received bids for 2,300 MW from residential, small industrial and institutional power producers having a capacity of up to four MW at an average price of Rs 2.83 per unit. The contracts will be awarded post 3 January 2021, depending on the grid requirements.
The state has already achieved 11,000 MW of production capacity and has the target of producing 30,000 MW of green energy by 2022, majorly through wind and solar. It has implemented solar rooftop projects generating about 800 MW solar power.