chapter iv equipments related to solar...
TRANSCRIPT
CHAPTER IV EQUIPMENTS RELATED TO SOLAR ENERGY
4.1 Sun 4.2 Solar energy options 4.3 Advantages of solar energy 4.4 Disadvantages of solar energy 4.5 Solar energy: A SWOT analysis 4.6 Distribution of solar energy in India 4.7 Equipments related to solar energy
4.7.1 Thermal route 4.7.1.1 Solar water heating 4.7.1.2 Solar cooker 4.7.1.3 Solar desalination system 4.7.1.4 The solar dryer 4.7.1.5 Solar space heating systems 4.7.1.6 Solar refrigeration 4.7.1.7 Solar thermal power generation
4.7.2 Photovoltaic route 4.7.2.1 Solar lantern 4.7.2.2 Solar home light system 4.7.2.3. Solar Street light 4.7.2.4 Solar photovoltaic pump 4.7.2.5 Solar mobile charger 4.7.2.6 Solar cap 4.7.2.7 Solar power generation
4.8 Government support to solar equipments promotion 4.8.1 Solar energy potential and prospects
4.8.2 Government support to utilize the solar energy by following means.
4.8.2.1 Emergence of Ministry of New and Renewable Energy (MNRE)
4.8.2.2 Role of MNRE 4.8.3 Support by other institutions to MNRE
4.8.3.1 Indian Renewable Energy Development Agency (IREDA)
4.8.3.2 Maharashtra Energy Development Agency (MEDA) : 4.8.4 Government schemes to promote solar equipments
4.9 Role of bank in promoting solar equipments 4.10 Role of suppliers in promoting solar equipments
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EQUIPMENTS RELATED TO SOLAR ENERGY
4.1 Sun:
Sun is the source of our all sorts of energy and remains as principal
deity since human thinking began. In Hindu scriptures we began with ‘Ekam,
Adityam’, which means only one is Aditya. That means Aditya or sun was only
god when the civilization begun. Therefore, sun remains as the principal deity
right from the beginning and even today. A Hindu begins his ritual with surya
namaskar.
Before we invented fire, sun was the only source of energy using the
sun rays for drying or for other purposes.
Sun is the core of solar system around him all the planets move. In
other words, unless the contradicted the planets were born out of sun and
therefore for all practical purposes are son of sun. therefore, sun remains as
our father figure and as we give respect to our ancestors, we give our respect
to our father sun.
4.2 Solar energy options:
Energy is very critical to all development aimed at human welfare
covering household, agriculture, transport and industrial sectors. There is also
a direct correlation between the level of economic development and energy
consumption. Countries all over the world have now begun to think about a
policy on energy and look into the possibility of having energy systems with no
or very limited environmental impacts. They now draw plants to use non-
renewable sources on a sustainable basis as also replace them with
renewable sources. It may be emphasized that most renewable sources of
energy are environmentally rather sound and could especially help to meet
decentralized rural energy requirements. This itself could stall environmental
degradation by fuel substitution, greater efficiency in energy production and
use improvement and identification of alternative sources.
The commercial energy consumption in the developed countries has
increased during the last 3-4 decades. More than 80% of total world which
account for only 30% of the population on the other hand 20% of the energy is
consumed by 70% of the world population in developing and socialist
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countries. Further more there had been a major shift from coal to oil on
account of the increased availability as also many technological advances in
the area of oil. The very high consumption of energy in advanced countries is
due to the ready access to energy for the daily life of the peoples, heating,
cooking, lighting, domestic work etc. In the developing countries the energy
(particularly commercial) consumption is concentrated in the urban areas for
industrial, commercial and even domestic use. The non-commercial energy is
typically concentrated in rural area through the use of firewood, agricultural
residues, animal manure and human and animal power.
The economic history provides a powerful study of arguments for solar
energy. Two major energy transitions have swept the world in the last 125
years. First, coal replaced the wood as the dominant source of commercial
energy. Coal itself was displaced by oil and gas. Both these changeovers
occurred with breath taking speed. The figure above shows the way we
change over quickly to easy access for the energy.
Solar energy now makes economic sense at the margin which means
that the energy from a unsubsidized new nuclear power plant (if there were
such a thing) would cost more than that from an unsubsidized new solar
energy. If the society’s scare capital is to be invested efficiently, the
microeconomic interest of individual consumers must be brought more closely
in line with the macroeconomic interest of the nation. Only through federal
policy can such an alignment come about. The energy system of our country
is complicated. A historical force of in its own right its many threads are woven
into the fabric of our lives. Moreover, an enormous amount of capital has been
invested in equipment designed to use or produce fuels that are becoming
increasingly expensive. Therefore, shifting to an economy fueled by
renewable resources require taking action of many kinds of many fronts.
Nothing less than a major technological revolution will be necessary outling
the several steps towards this goal all Indians support makes more sense
than attempting to chart the entire journey. Since some new opportunities will
arise technological breakthrough or holdups will change priorities and human
wisdom will find new paths, the key is to design policies that maximize our
opportunities for future flexibility.
The programme we envision is both more modest and more
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manageable than the moral equivalent of war. It is a practical plan for
correcting the distortions in the energy market place by reconstructing the
subsidies regulations and other public policies that bias the market in favour
of the development and production of conventional fuels. Huge uncertainties
impede public and official understanding of the impact of policies to promote
solar development.
Most of the principal tools of policy analysis reflect the assumption that
life will not change dramatically in the foreseeable future with a patency false
assumption as applied to energy policy.
Some uncertainly systems from the longstanding neglect of solar
technologies by policy markets. In like of data on likely impacts of such
policies, and yet must now rely almost solely on judgement. Whether the
result are dressed in computer language or dashed off on the backs of
envelopes.
4.3 Advantages of solar energy:
1) Solar energy is free though there is a cost in the building of collectors
and other equipments required to convert solar energy into electricity or
hot water.
2) Solar energy does not cause pollution. However, solar collectors and
other associated equipments/ machines are manufactured in factories
that in turn cause some pollution.
3) Solar energy can be used in remote areas where it is too expensive to
extend the electricity power grid.
4) Many everyday items such as calculators and other low power
consuming devices can be powered by solar energy effectively.
5) It is estimated that the worlds oil reserves will last for 30 to 40 years.
On the other hand solar energy is infinite. (forever)
4.4 Disadvantages of solar energy:
1) Solar energy can only be harnessed when it is daytime and sunny.
2) Solar collectors, panels and cells are relatively expensive to
manufacture although prices are falling rapidly.
3) Solar power stations can be built but they do not match the power
output of similar sized conventional power stations. They are also very
expensive.
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4) Unreliable climate means that solar energy is also unreliable as a
source of energy. Cloudy skies reduce its effectiveness.
5) Large areas of land are required to capture the sun energy. Collectors
are usually arranged together especially when electricity is to be
produced and used in the location.
6) Solar power is used to charge batteries so that solar powered devices
can be used at night. However the batteries are large and heavy and
need storage space. They also need replacing form time to time
4.5 Solar energy: A SWOT analysis:
We analyze strength, weakness, opportunity and threat for any
concept of process we propose. In this case also SWOT analysis is necessary
so that the analysis shall be considered right at planning stage for ultimate
success. SWOT analysis of solar energy is given below.
Strength:
1) Source of energy is never ending.
2) Totally pollution free.
3) Can be utilized for all purpose.
4) Can be utilized in any form of energy.
5) Scope for decentralization.
6) Easy to operate.
7) Minimum working expenditure.
8) Saves fossil fuel deposit.
9) Economically self sufficient.
10) Less hazardous.
Weakness:
1) Problem of storage.
2) Not available in cloudy or eclipse days.
3) Quantum varies according to season or weather.
4) Initial investment is high.
5) Needs subsidy.
6) Spares not available.
7) Creates problem for urban planning since higher buildings interrupt
lower solar system.
8) Not yet taken on priority list.
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Opportunity:
1) Scope for utilizing magnetic energy from solar wind.
2) By bringing down the price, it can be boon even for low income group.
3) Chance of hazards is less.
4) Scope for decentralization.
5) Chance of adverting exploitation of energy consumers.
6) Totally pollution free.
7) Vast opportunity for expansion in many use.
Threat:
1) Threat from oil lobby.
2) Threat from coal lobby
3) Opposition from different forces due to subsidy.
4) Lack of knowledge of common consumers.
5) Fluctuation due to season or weather may discourage consumers.
4.6 Distribution of solar energy in India:
A comprehensive survey by Mani (1981), shows that every hour 3000
to 3200 hours of bright sunshine is available in Rajasthan, Gujarat, Western
Madhya Pradesh and Northern Maharashtra and 2800-2600 hours in the rest
of the country except Kerala, Kashmir and Assam. In Gujarat, Rajasthan
region more than 2000 KWh/M2 area receives global solar radiation while
Bengal, Assam and eastern Bihar receives less than 1700 kWh/M2. During
winter (December to February) the duration of sunshine is more than 280-300
hours/month in the central parts of the country including Rajasthan, Gujarat,
Maharashtra, Andhra Pradesh and northern Karanataka. The lowest values of
200 hours/month are recorded in Kashmir, along the Himalayan foothills and
north eastern Assam. In summer (May-June) the duration of sunshine
exceeds 300-320 hours/month over the region extending from Punjab to
northern Bihar and northern Maharashtra, while the southern peninsula,
Kashmir and Assam have less than 220 hours of sunshine per month. During
this period in Rajasthan and adjoining Gujarat, the global solar radiation is of
the order of 220 KWh/m2/month, while over Assam and Kerala between 180-
190KWh/m2/month. (Mani 1981)
With the onset of the monsoon, there is a significant decrease in the
duration of sunshine over the whole country, except for Kashmir. The west
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coast of Peninsula. India, southern MP and northern and eastern Maharashtra
has about 100 hours of sunshine per month, while nearly half of the country
comprising the peninsula and north-eastern India receives a little more or less
than 150 hours monthly sunshine-Rajasthan 180-200 hours, Assam and
Surashtra 140 hours, Tamilnadu 170 hours. In autumn the duration of
sunshine increases to 280-300 hours month in Rajasthan and Assam and less
than 200 hours/ month in eastern Peninsula India.
4.7 Equipments related to solar energy:
In the day of energy crisis where fossil fuel becoming scare day by day
due to limited stock we shall have to depend on renewable energy more and
more in future. There are several types of renewable energy but solar energy
remain as one of the principal renewable energy which can be utilized very
effectively and perhaps this is one of the most efficient type of energy
provided. We can store it for use any time we are in need. Solar energy an be
harnessed to useful purpose by two types a) thermal route b) photovoltaic
route.
4.7.1 Thermal route:
Thermal technology for harnessing solar energy for thermal energy
(heat). Solar thermal collectors are defined by the USA Energy Information
Administration as a Low, medium or high temperature collectors. Low
temperature collectors are flat plates generally used to heat swimming pools.
Medium temperature collectors are also usually flat plates but are used for
creating hot water for residential and commercial use. High temperature
collectors concentrate sunlight using mirrors or lenses and are generally used
for electric power production.
Major thermal route products such as:
4.7.1.1 Solar water heating:
Solar water heaters currently available the economic and
environmental benefits of owing a system. This could be helpful in selecting a
system for your home or industry.
Solar water heaters are cost competitive in many applications when
you account for the total energy costs over the life of the system. Although the
initial cost of solar water heater is higher than that of conventional water
heaters, the fuel (sunshine) is free plus, they are environmentally friendly. To
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take advantage of these heaters, you must have an unshaded south facing
location (a roof, for example) on your property.
These systems use the sun to heat either water or a heat transfer fluid,
such as a water glycol antifreeze mixture, in collectors generally mounted on
a roof. The heated water is then stored in a tank similar to a conventional gas
or electric pump to circulate the fluid through the collectors.
Solar water heaters can operate in any climate. Performance varies
depending in part on how much solar energy is available at the site, but also
on how could the water coming into the system is. The older the water heater
more efficiently the system operates. In almost all climates, you will need a
conventional backup system. In fact, many building codes require you to have
a conventional water heater as the backup.
Solar water heaters benefits:
There are many benefits to owing a solar water heater, and number
one is economics. Solar water heater economics compare quite favorably with
those of electric water heaters, while the economics aren’t quite so attractive
when compared with those of gas water heaters. Heating water with the sun
also means long term benefits, such as being cushioned form future fuel
storages and price increases and environmental benefits.
1) Economic benefits:
Solar water heaters offer the largest potential saving compared to
electric heating, with solar water heater owners saving as much as 50% to
85% annually on their utility bills over the cost of electric water heating.
However at the current low prices of natural gas, solar water
heaters can’t compete with natural gas water heater in most parts of the
country except in new home construction. Although you will still save
energy costs with a solar water heaters because you won’t be buying
natural gas it won’t be economical.
Paybacks vary widely, but you can expect a simple payback of 3 to
8 years on a well designed and properly installed solar water heater.
(Simple payback is the length of time required to recover your investment
through reduced or avoided energy costs). You can except shorter
paybacks in areas with higher energy costs. After the payback period, you
acquire the savings over the life of the system, which ranges from 15 to 40
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years, depending on the system and how will it is maintained.
2) Tax incentives and rebets:
In India some states offers subsidies on domestic as well as
commercial solar water heating systems installations. Government of India
offers 100% depreciation claim in the first year itself on installation of
commercial solar water heating system.
3) Long term benefits:
Solar water heaters offer long term benefits that go beyond simple
economics. In addition to having free hot water after the system has paid
for itself in reduced utility bills, you and your family will be cushioned from
future fuel shortages and price increases. You will also be doing your part
to reduce this country’s dependence on foreign oil. The national
remodelers association reports that addition a solar water heater to an
existing home raises the resale value of the home by the entire cost of the
system. You may be able to recop your entire investment when you sell
your home.
4) Environmental benefits:
Solar water heaters do not pollute. By investing in one, you will be
avoiding carbon dioxide, nitrogen oxides, sulfur dioxide, and the other
pollution and wastes created when your utility generates power or you
burn fuel to heat your household water. When a solar water heater
replaces an electric water heater, the electricity displaced over 20
years represents more than 50 tons of avoided carbon dioxide
emission alone. Carbon dioxide traps heat in the upper atmosphere,
thus contributing to the “greenhouse effect”.
Application of solar water heating systems:
Heating water is one of the best known application of solar energy.
Domestic solar water heating is quite popular and is preferred over
electric water heating by many a home owner.
However business applications conventional heating systems based on
electricity / coal / furnace oil/ wood still rule the roost. Inspite of massive
subsidies in the past not many industries opted for solar water heating
systems. Only recently with the tremendous increases in cost of electricity and
conventional fuels are industrialists turning to solar energy as a means to
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meet their hot water needs.
Industries that can benefit from application of solar energy to heat
water are –
Hotels:
Bathing, kitchen, washing, laundry applications.
Dairies:
Ghee (clarified butter) production, cleaning and sterilizing,
pasteurization.
Textiles:
Processing bleaching, boiling, printing, dyeing, curing, ageing and
finishing applications.
Edible oil and refining:
Boiler feed applications.
Breweries:
Bottle washing, wort preparation, boiler feed applications
Distilleries:
Bottle washing, boiler feed applications.
Bulk drugs manufacturing units:
Fermentation of mixes, boiler feed applications.
Electroplating / galvanizing units:
Heating of plating baths, cleaning, degreasing applications.
4.7.1.2 Solar cooker:
Generally electricity or LPG or diesel is used as fuel for cooking
activities. The costs of these fuels are rising day by day beyond prohibitive
limits. In addition to this, generation of carbon dioxide is unavoidable. In fact it
will be more economical to avoid CO2 generation that to spend on treating it.
There are chances of foul smell due to direct or indirect body contact of fuel
used. Solar thermal energy has the perfect answer to all these problems and
it is most efficient and cost effective.
Solar cooker is a device which uses sunlight as its energy source.
Because they use no fuel and they cost nothing to run, humanitarian
organization are promoting their use worldwide to help slow deforestation and
desertification, caused by using wood as fuel for cooking. Solar cookers are
also sometimes used in outdoor cooking, especially in situations where
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minimum fuel consumption or fire risk is considered highly important.
The basic principals of all solar cookers are:
A) Concentrating sunlight:
Some device, usually a mirror or some type of reflective material, is
used to concentrate light and heat from the sun into a small cooking area,
making the energy more concentrated and therefore more potent.
B) Converting light to heat:
Any black on the inside of a solar cooker as well as certain materials
for post, will improve the effectiveness of turning light into heat. A black pan
will absorb almost all of the sun’s light and turn it into heat, substantially
improving the effectiveness of the cooker. Also, the better a pan conducts
heat, the faster the cooker will work.
C) Trapping heat:
Isolating the air inside the cooker from the air outside the cooker
makes an important difference. Using a clear solid, like a plastic bag or a
glass cover, will allow light to enter, but once the light is absorbed and
converted to heat, the plastic bag or glass cover will trap the heat inside. This
makes it possible to reach similar temperature on cold and windy days as on
hot days.
Alone, each of these strategies for heating something with the sun is
fairly ineffective, but most solar cookers use two or all three of these
strategies in combination to get temperatures sufficient for cooking.
The top can usually be removed to allow dark post containing food to
be placed inside. One or more reflectors of shiny metal or foil-lined material
may be positioned to bounce extra light into the interior of the oven chamber.
Cooking containers and the inside bottom of the cooker should be dark
colored or black. Inside walls should be reflective to reduce radioactive heat
loss and bounce the light towards the post and the dark bottom, which is in
contact with the pots.
Advantages of solar cooker:
1) No requirement of cooking gas or kerosene, electricity, coal or wood.
2) No need to spend on fuel, as solar energy is available free.
3) Food cooked in solar cooker is nutritious. About 10-20% of proton
retention is more as compared to that in conventional cooking. Vitamin
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thiamine retention is about 20 to 30% more whereas vitamin A is
retained 5 to 10% more when food is cooked in solar cooker.
4) Solar cooker are just one part of the alternative energy picture, but one
that is accessible to a great majority of people. A reliable solar cooker
can be built from everyday materials in just a few hours or purchased
ready-made.
5) Solar cooker can be used to prepare anything that can be made in a
conventional store-from baked bread to steamed vegetables to roasted
meat. Since solar cooker are placed outside, they do not contribute
unwanted heat inside houses.
6) The indoor concentrations of health damaging pollutants from a typical
wood fired cooking stove creates carbon monoxide and other noxious
fumes at anywhere between seven and 500 times over the allowable
limits.
Disadvantages of solar cooker:
1) Solar cooking is a new approach to cooking in many parts of the world,
so a big challenge is social acceptance of this totally new approach
and abandonment of traditional cooking methods, such as the three-
stone fire.
2) Solar cookers provide hot food during or shortly after the hottest part of
the day. When people are less inclined to eat a hot meal. However, a
thick pan that conducts heat slowly will lose heat at a slower rate, and
that combined with the insulation of the cooker, can be used to keep
food warm well into the evening.
3) Solar cookers take longer to cook food compared to an traditional
stove. Using a solar cooker therefore required that food preparation be
started several hours before the meal. However, it requires less hand
on time cooking, so this is often considered a reasonable trade off.
4) Solar cookers are less usable in cloudy or rainy weather so same fuel
based backup heat source must still be available too cook food at
these times.
5) Some solar cooker designs are affected by strong winds, which cool
the food and can disturb the reflector.
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4.7.1.3 Solar desalination system:
Desalination of water using solar energy is called as solar desalination.
Solar desalination is now used to address the water shortage problem. This
method is both economical and effective to provide fresh water. It has dual
use of both producing power and water for consumption. The device used is
called solar still. It is made of fiber glass, with a tapered top surface. A glass is
fitted on the surface. The unit has an area of a 5 cm. The daily output from
the solar still is 2-2.5 liters. This is used in laboratories and battery station,
particularly in remote areas where the use of the solar still. Getting distilled
water works out to be an economical Rs. 5000/- and as there are no moving
parts, the maintenance cost is negligible.
A solar desalination system can operate 24 hours a day. It is driven by
sunshine during daytime whereas backup drive it at night. It also consists of
an optional heat storage system that can be used beyond sunny hours. The
most economically viable system incorporates solar collectors driving a stem
turbine for power generation while the waste heat is used to drive the multi
effect distillation plant.
Features:
1) From 5 liters per day to 200 liters per day production.
2) No maintenance or operation cost.
3) Easy installation and operation.
4) No skilled labour requirement.
Advantages of solar desalination system:
1) Produce pure water.
2) No prime movers required.
3) No conventional energy required.
4) No skilled operator required.
5) Low investment.
6) Local manufacturing / repairing.
7) Can purify highly saline water (even sea water).
Problems of desalination system:
There are two design problems facing any solar desalination project.
1) The system efficiency is governed by preferably high heat and mass
transfer during evaporation and condensation. The surfaces have to be
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properly designed within the contradictory objectives of heat transfer
efficiency, economy and reliability.
2) The heat of condensation is valuable because it takes large amounts of
solar energy to evaporate water and generate saturated vapor-laden
hot air. This energy is by definition transferred to the condensers’
surface during condensation with most forms of solar stills, this heat of
condensation is ejected from the system as waste heat. The challenge
still existing in the field today is to achieve the optimum temperature
difference between the solar-generated vapor and the squatter-cooked
condenser, maximal reuse of the energy of condensation and
minimizing the asset investment.
The solar desalination system is used device to get fresh / distilled
water which is required in –
Industries – for industrial processes.
Hospital and dispensaries – for sterilization.
Garage and automobile workshop – for radiator and battery maintenance.
Telephone exchange – for battery maintenance
Laboratory use – for analytic work
Marshy and coastal area – to get fresh potable water
4.7.1.4 The solar dryer:
The solar dryer can be used for drying of agricultural products like
leaves of tea and coffee, groundnuts, seeds, tobacco, chemicals, grapes etc.
This way, apart from saving in fuel costs, it is also possible to get a better
yield and good product quality by using the solar dryer. The system consists
of a solar hot water system through which the water temperature can be
raised up to 80C. A liquid to air heat exchanges is then used to produce hot
air at about 60-70C, which can be supplied for drying purposes. The drying
chambers are equipped with required instrumentation for controlling the flows
and temperature of hot air.
Features:
1) Uses solar energy to heat the air. The hot air can be circulated for
drying.
2) As a fuel source, it can be integrated with the existing systems as
retrofit or merged with new construction.
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3) It can be installed variably or at any slope.
4) No need of glazing or insulation.
5) As a building material it can form the roof or walls of the drier chamber.
6) One can walk on its surface which is resistance to all types of
weathering.
Benefits:
1) Reduces energy costs.
2) Requires minimal maintenance.
3) Reduces the risk of burning or damaging the material to be dried.
Drawbacks:
1) Performance decreases substantially at night and on cloudy days.
2) Supplementary systems may be necessary.
3) Active systems require electricity.
4.7.1.5 Solar space heating systems:
A solar space heating system can consist of a passive system, an
active system or a combination of both. Passive systems are typically less
costly and less complex than active systems. However, when retrofitting a
building, active systems might be the only option for obtaining solar energy.
A) Passive solar space heating:
Passive solar space heating takes advantage of warmth from the sun
through design features, such as large south facing windows, and materials in
the floors or walls that absorb warmth during the day and release that warmth
at night when it is needed most. A sunspace or greenhouse is a good
example of passive system for solar space heating.
Passive solar design systems usually have three designs:
1) Direct gain (the simplex system):
Stores and slowly releases heat energy collected from the sun shining
directly into the building and warming materials such as tile or
concrete. Care must be taken to avoid overheating the space.
2) Indirect gain (similar to direct gain):
Uses materials that hold, store and release heat, the material is located
between the sun and living space (typically the wall).
3) Isolated gain:
Collect solar energy from the location of the primary living area. For
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example a sunroom attached to a house collects warmer air that flows
naturally to the rest of the house.
B) Active solar space heating:
Active solar space heating systems consist of collectors that collect
and absorb solar radiation combined with electric fans or pumps to transfer
and distribute that solar heat. Active systems also generally have an energy
storage system to provide heat when the sun is not shining. The two basic
types of active solar space heating systems use either liquid or air as the heat
transfer medium in their solar energy collectors.
Liquid based systems heat water or an antifreeze solution in a
hydraulic collector. Air based systems heat air in an air collector. Air based
solar heating systems usually employ an air to water heat exchanger to
supply heat to the domestic hot water system, making the system useful in the
summertime. Both of these systems collect and absorb solar radiation, then
transfer the solar heat directly to the interior space or to a storage system,
from which the heat is distributed. An auxiliary or backup system provides
heat when storage is discharged. Liquid systems are more often used when
storage is included.
Features:
1) Use solar energy to heat the air.
2) Hot air can be circulated into the space to be heated.
3) Works as ventilation system.
4) As a building material it can from root or wall clouding.
5) Resistant to weathering.
6) Overnight storage and use.
Applications:
Ideal for space heating/ warming of offices, hotels, industrial buildings,
residences etc. Humidification and ventilation systems industrial incubator
poultry farm.
4.7.1.6 Solar refrigeration:
Solar refrigeration systems that use environmental friendly refrigerants
provide a sustainability advantage when compared to other refrigerant
selections. However, the energy use associated with refrigeration system
operation with refrigeration system and the environmental impacts associated
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with its generation and distribution often outweighs the choice of refrigerant.
To minimize environmental impacts associated with refrigeration system
operation, it is reasonable to evaluate the prospects of a clean source of
energy.
Solar refrigeration can be accomplished using thermally activated
cooling system (TACS) driven by solar energy. These systems can provide
year round utilization of collected solar heat, there by significantly increasing
the cost effectiveness and energy contribution of solar installations. These
systems are sized to provide 30% to 60% of building cooling requirements
using solar, with the remainder usually dependent on TACS fueled by natural
gas. The TACS available for solar driven cooling include absorption system
and desiccant systems. Generally, solar cooling is not used because of the
high initial cost of TACS and the solar fields needed to drive them.
Solar absorption systems use the thermal energy from a solar collector
to separate a binary mixture of an absorbent and a refrigerant fluid. The
refrigerant is condensed, throttled, and evaporated to yield a cooling effect,
which is then re-absorbed to continue the cycle. Double-effect absorption
system (which use the heat twice in series) are about twice as efficient as
single effect systems, but require significantly higher input temperatures.
Because of the high temperature requirements of absorption cooling systems,
evacuated tube or concentrating collectors are typically used.
Solar desiccant systems use thermal energy from the solar collector to
regenerate desiccant that dry ambient air; then use that dry air in indirect and/
or direct evaporative stages to provide cooled air to the load. The solar heat is
used to regenerate the desiccant, driving off the absorbed water. Some
systems use flat plate collectors at intermediate temperatures.
4.7.1.7 Solar thermal power generation:
The ultimate source of much of the world’s energy is the sun, which
provides the earth with light, heat and radiation. While many technologies
derive fuel from one form of solar energy or another, there are also
technologies that directly transform the sun’s energy into electricity.
Since generating electricity directly from sunlight does not deplete any
of the earth’s natural resources and supplies the earth with energy
continuously, solar energy is a renewable source of electricity generation.
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Solar energy is earth’s primary source of renewable energy.
Solar thermal technologies are, more or less, a traditional electricity
generating technology. They use the sun’s heat to create steam to drive an
electric generator.
Two other solar thermal technologies are nearing commercial status.
1)Parabolic dish systems concentrate sunlight to heat gaseous hydrogen or
helium or liquid sodium to create pressurized gas or steam to drive a turbine
to generate electricity. 2) Central receiver systems features mirror that
reflects sunlight on to a large tower filled with fluid that when heated creates
steam to drive a turbine.
4.7.2 Photovoltaic route:
Photovoltaic technology makes use of the abundant energy in the sun
and it has little impact on our environment. Photovoltaic can be used in a wide
range of products, from small consumer items to large commercial solar
electric systems.
Photovoltaic first used in about 1890, the word has two part: photo,
derived from the Greek word light, and volt, relating to electricity pioneer
Alessandro Volta. So, photovoltaic could literally be translated as light
electricity. Photovoltaic materials and devices convert light energy into
electrical energy. (Photoelectric effect).
Photovoltaic commonly known as solar cells, individual PV cells are
electricity producing devices made of semiconductor materials. PV cells come
in many size and shapes from smaller than a postage stamp to several inches
across. They are often connected together to form PV modules that may be
up to several feet long and a few feet wide. Modules, in turn can be combined
and connected to form PV arrays of different sizes and power output.
The size of a array depends on several factors such as the amount of
sunlight available in a particular location and the needs of the consumer. The
modules of the array make up the major part of a PV system, which can also
include electrical connections, mounting hardware, power-conditioning
equipment, and batteries that store solar energy for use when the sun isn’t
shining.
PV systems are already an important part of our lives. Simple PV
systems provide power for many small consumer items, such as calculators
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and wristwatches. More complicated systems provide power for
communication satellites, water pumps and the lights, appliances, and
machines in some people’s home and workplaces. Many road and traffic
signs along highways are now powered by PV. In many cases, PV power is
the least expensive form of electricity for performing these tasks.
Advantages of PV solar energy systems:
1) Direct room temperature conversion of solar radiation to electricity
through a simple solid state device.
2) Absence of moving parts.
3) Ability to function unattended for long periods as evidence in space
programme.
4) Modular nature in which desired currents, voltage and power levels can
be achieved by more integration.
5) Maintenance cost is low as they are easy to operate.
6) They do not create pollution.
7) They have a long effective life.
8) They are highly reliable.
Disadvantages of PV solar energy systems:
1) Distributed nature of solar energy.
2) Absence of energy storage.
3) Relatively high capital cost.
For common man, the solar energy can emerge as a panacea for
households facing huge water bills.
Generate electricity from solar means less consumption of fossil fuels,
reducing pollution and greenhouse gas emission from local power plants. By
switching over to solar power, we will be doing over duty to combat global,
warming, and reduce our nations dependence on foreign energy sources.
Following are some PV equipments.
4.7.2.1 Solar lantern:
A solar lantern is a simple application of solar photovoltaic technology
which has found good acceptance in rural regions where the power supply is
irregular and scarce. Even in the urban areas people prefer a solar lantern as
a alternative during power cuts because of its simple mechanism.
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How it works:
A solar lantern is made of three main components the solar PV panel,
the storage battery and the lamp. The operation is very simple. The solar
energy is converted to electrical energy by the SPV panel and stored in a
sealed maintenance free battery for later use during the night hours. A single
charge can operate the lamp for about 4-5 hours.
Features:
1) Environment friendly.
2) Portable.
3) Rugged and dependable.
4) Silent operation.
5) Light output 400 lumens i.e. equivalent to a 40 watt incandescent lamp.
6) LED for battery status indication and its safeguard.
Applications:
1) Emergency light source.
2) Light source in remote unelectrified villages.
3) Picnic spots and farm houses.
4) Military outputs.
5) Light sources to the field personnel of agriculture extension, adult
education and other mass communication programmes.
6) Garden lighting.
4.7.2.2 Solar home light system:
Home lighting systems are powered by solar energy using solar cells
that convert solar energy (sunlight) directly to electricity. The electricity is
stored in batteries and used for the purpose of lighting whenever required.
These systems are useful in non-electrified rural areas and as reliable
emergency lighting system for important domestic, commercial and industrial
applications.
The solar lighting system is a fixed installation designed for domestic
application. The system comprises of solar PV module (solar cell), charge
controller, battery and lighting system (lamp and fans). The solar module is
installed in the open on roof/ terrace exposed to sunlight and the charge
controller and battery are kept inside a protected place in the house. The solar
module requires periodic dusting for effective performance.
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4.7.2.3. Solar Street light:
This system is designed for outdoor application in unelectrified remote
rural area. This system is an ideal application for campus and village street
lighting. The system is provided with battery storage backup sufficient to
operate the light for 10-11 hours day. The system is provided with automatic
ON/OFF time switch for dusk to down operation and overcharge/ deep
discharge prevention cut off with LED indicators.
The solar street light system comprises of
1) 74 Wp solar PV module.
2) 12V, 75 Ah tubular plate battery with battery box.
3) Charge controller cum inverter (20-35KHz)
4) 11 watt CFL lamp with fixtures.
5) 4 meter mild steel lamp post above ground level with weather proof
paint and mounting hardware.
The SPV modules are reported to have a service life of 15-20 years.
Tubular batteries provided with the solar street lighting system require low
maintenance have longer life and give better performance as compared to
pasted plate batteries used earlier.
The system electronic provide for overcharge and over discharge cut
off essential for preventing battery and luminaries damages.
4.7.2.4 Solar photovoltaic pump:
This pump runs on the power of sun. A solar powered pump can be
more environmentally friendly and economical.
The solar water pumping system is a stand alone system operating on
power generated using solar PV (photovoltaic) system. The power generated
by solar cells is used for operating DC surface centrifugal mono-block pump
set for reservoir for minor irrigation and drinking water purpose.
Advantages:
1) No fuel cost-uses abundantly available free sun light.
2) No conventional grid electrically required.
3) Long operating life.
4) Highly reliable and durable performance.
5) Easy to operate and maintain.
6) Ecofriendly.
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7) Saving of conventional diesel fuel.
4.7.2.5 Solar mobile charger:
Today mobile is no more a status symbol. It is necessity. Solar mobile
chargers that are easily chargeable just by exposing it to sunlight. Mobile
chargers are light and portable and more made from sturdy materials.
Portable module can use to charge mobile phones anywhere and anytime
with no cost.
4.7.2.6 Solar cap:
The solar cap manufactured for to beat the heat. Cap use the sun’s
energy to keep cool and fresh through the day. Caps are liked by the people
involved in gardening, picnics, camping and other outdoor activities. A built in
off and on switch helps the user to control the speed of fan. Powered by tiny
light weighted solar panel on the top and attached by two AA battery helps to
run the fan even in no sunlight area. Cap is suitable for both men and women
as it is available in different colours and sizes.
4.7.2.7 Solar power generation:
Solar power generation is a clean energy system that generates
electricity from sunlight that falls on the earth. It can be used just about
anywhere in large buildings, in factories, and in residential houses. Nowadays
we must think of a worldwide scale about such issues as dealing with global
warming and reducing emissions of carbon dioxide. Solar energy which has
few resource limitations and minimal adverse environmental impact, will
surely become more and more essential to our lives in the years ahead. Solar
power generation system begins with the solar module. Solar modules
capture solar energy and generate direct current (DC) electricity. Inverters
(power conditioners) convert DC into AC (alternating current) to run many
common appliances and equipment.
4.8 Government support to solar equipments promotio n
4.8.1 Solar energy: Potential and Prospects
Developing countries, in particular, face situations of limited energy
resources, especially the provision of electricity in rural areas, and there is an
urgent need to address this constraint to social and economic development.
India faces a significant gap between electricity demand and supply. Demand
is increasing at a very rapid rate compared to the supply. According to the
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World Bank, roughly 40 percent of residences in India are without electricity.
In addition, blackouts are a common occurrence throughout the country’s
main cities. The World Bank also reports that one-third of Indian businesses
believe that unreliable electricity is one of their primary impediments to doing
business. In addition, coal shortages are further straining power generation
capabilities.
In order to meet the situation, a number of options are considered.
Power generation using freely available solar energy is one such option.
India is endowed with rich solar energy resource. The average intensity
of solar radiation received on India is 200 MW/km square (megawatt per
kilometer square). With a geographical area of 3.287 million km square, this
amounts to 657.4 million MW. However, 87.5% of the land is used for
agriculture, forests, fallow lands, etc., 6.7% for housing, industry, etc., and
5.8% is either barren, snow bound, or generally inhabitable. Thus, only 12.5%
of the land area amounting to 0.413 million km square can, in theory, be used
for solar energy installations. Even if 10% of this area can be used, the
available solar energy would be 8 million MW, which is equivalent to 5 909
mtoe (million tons of oil equivalent) per year.
India has a vast potential for renewable energy sources, especially in
areas such as solar power, biomass and wind power. The current installed
capacity of renewable energy is around 92204 MW, constituting about 7.3
percent of India’s total installed generation capacity. India is already the fourth
largest in the world in terms of wind energy installations and we are seeing
significant investment activity in this area. Technological breakthroughs for
cost-effective photovoltaic technology could generate a quantum leap in the
renewable energy sector since India is well endowed with solar isolation
(average of 6 kwh/ sq.mt./day).
India just had 2.12 megawatts of grid-connected solar generation
capacity. As part of the National Solar Mission, the ministry aims to bolster the
annual photovoltaic production to at least 1,000 megawatts a year by 2017.
With an installed capacity of 123 GW, the country currently faces energy
shortage of 8 percent and a peak demand shortage of 11.6 percent. In order
to sustain a growth rate of 8 percent, it is estimated that the power generation
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capacity in India would have to increase to 306 GW in the next ten years
which is 2.5 times current levels.
Rajasthan, Gujarat, west Madhya Pradesh and north Maharashtra
receive more than 3000 to 3200 hours of bright sunshine in a year. Over 2600
to 2800 hours of bright sunshine are available over the rest of the country,
except Kerala, the north-eastern states, and Jammu and Kashmir where they
are appreciably lower.
During monsoon (June – August), a significant decrease in sunshine
occurs over the whole country except Jammu and Kashmir where the
maximum duration of sunshine occurs in June and July, and minimum in
January due to its location. The north-eastern states and south-east peninsula
also receive relatively less sunshine during October and November due to the
north-east monsoons. As far as the availability of global solar radiation is
concerned, more than 2000 kWh/m2-year are received over Rajasthan and
Gujarat, while east Bihar, North West Bengal and the north-eastern states
receive less than 1700 kWh/m2-year. The availability of diffuse solar radiation
varies widely in the country. The annual pattern shows a minimum of 740
kWh/m2-year over Rajasthan increasing eastwards to 840 kWh/m2-year in
the north-eastern states, and south wards to 920 kWh/m2-year.
A huge market for solar energy; given the high solar incidence in India
(there are about 300 clear sunny days in a year in most parts of India and the
daily average solar energy incident over India varies from 4-7 kWh/m2.
4.8.2 Government support to utilize the solar energ y by following means.
4.8.2.1 Emergence of Ministry of New and Renewable Energy (MNRE):
The role of new and renewable energy has been assuming increasing
significance in recent times with the growing concern for the country’s energy
security. Energy ‘self-sufficiency’ was identified as the major driver for new
and renewable energy in the country in the wake of the two oil shocks of the
1970s. The sudden increase in the price of oil, uncertainties associated with
its supply and the adverse impact on the balance of payments position led to
the establishment of the Commission for Additional Sources of Energy in the
Department of Science & Technology in March 1981. The Commission was
charged with the responsibility of formulating policies and their
implementation, programmes for development of new and renewable energy
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apart from coordinating and intensifying R&D in the sector. In 1982, a new
department, i.e., Department of Non-conventional Energy Sources (DNES),
that incorporated CASE, was created in the then Ministry of Energy. In 1992,
DNES became the Ministry of Non-conventional Energy Sources. In October
2006, the Ministry was re-christened as the Ministry of New and Renewable
Energy.
4.8.2.2 Role of MNRE:
Facilitate research, design, development, manufacture and deployment
of new and renewable energy systems/devices for transportation, portable
and stationary applications in rural, urban, industrial and commercial sectors
through:
i. Technology Mapping and Benchmarking;
ii. Identify Research, Design, Development and Manufacture thrust areas
and facilitate the same;
iii. Lay down standards, specifications and performance parameters at par
with international levels and facilitate industry in attaining the same;
iv. Align costs of new and renewable energy products and services with
international levels and facilitate industry in attaining the same;
v. Appropriate international level quality assurance accreditation and
facilitate industry in obtaining the same;
vi. Provide sustained feed-back to manufacturers on performance
parameters of new and renewable energy products and services with
the aim of effecting continuous upgradation so as to attain international
levels in the shortest possible time span;
vii. Facilitate industry in becoming internationally competitive and a net
foreign exchange earner especially through (ii) to (v) above and related
measures;
viii. Resource Survey, Assessment, Mapping and Dissemination.
ix. Identify areas in which new and renewable energy products and
services need to be deployed in keeping with the goal of national
energy security and energy independence;
x. Deployment strategy for various indigenously developed and
manufactured new and renewable energy products and services
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xi. Provision of cost-competitive new and renewable energy supply
options
4.8.3 Support by other institutions to MNRE:
4.8.3.1 Indian Renewable Energy Development Agency (IREDA)
Energy is a basic requirement for economic development. Every sector
of the national economy– agriculture, industry, transport, commercial and
domestic– needs inputs of energy. The growing consumption of energy has
also resulted in the country becoming increasingly dependent on fossil fuels
such as coal, oil and gas. Rising prices of fossil fuels and its potential
shortages in future have led to concerns about the security of energy supply,
essential to sustain our economic growth. Increased use of fossil fuels also
causes environmental problems both on local and global scales. The Ministry
of New and Renewable Energy (MNRE) has been implementing
comprehensive programmes for the development and utilisation of various
renewable energy sources in the country. As a result of the efforts made
during the past quarter century, a number of technologies and devices have
been developed and have become commercially available. Indian Renewable
Energy Development Agency Limited (IREDA) was established on March 11,
1987, as a Public Limited Company under the Companies Act of 1956, for
promoting and extending financial assistance for Renewable Energy and
Energy Efficiency/Conservation Projects. It works under the administrative
control of the Ministry of New and Renewable Energy (MNRE).
IREDA is registered as Non-Banking Financial Company (NFBC) with
Reserve Bank of India (RBI). It has also been notified as a “Public Financial
Institution” under section 4 ‘A’ of the Companies Act, 1956.
IREDA was formed keeping in view the following obje ctives:
1. To operate a revolving fund for promotion, development and
commercialization of New and Renewable Sources of Energy (NRSE);
2. To assist in upgradation of technologies; and
3. To extend financial support to Energy Efficiency & Conservation
projects and schemes.
IREDA finances projects under the following sectors :
1) Hydro Energy
2) Wind Energy
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3) Bio Energy
4) Biomass Power Cogeneration
5) Waste to Energy
6) Bio Fuel (Ethanol/Bio Diesel)
7) Solar Energy
8) Solar Photovoltaic Market Development Programme
9) Solar Thermal Programme
10) Solar Water Pumping Programme
11) Developmental Activities/New Initiatives
12) Infrastructure Loan Under BDA Scheme
13) RE/Energy Efficiency Umbrella Financing Scheme
14) Market Development Assistance
15) Establishment of Energy Center
16) New and Emerging Technologies
17) Fuel Cells
18) Battery Powered Vehicles
19) Energy Efficiency and Conservation
4.8.3.2 Maharashtra Energy Development Agency (MEDA ) :
MEDA sector with effective management and proper mix of available
renewable and non-renewable sources of energy. The Government of India
set an example as one of the few countries that created independent ministry
for renewable energy, the Ministry of New and Renewable Energy (MNRE) in
the early 1980s. In line with the Central Government policy, the renewable
energy namely Ministry of New and Renewable Energy (MNRE) in early
eighties. In line with the Central Government policy, Maharashtra created
Maharashtra Energy Development Agency (MEDA). Registered as a Society
on 26 July 1985, MEDA as an organization commenced functioning from July
1986. MEDA's objective is to undertake development of renewable energy
and facilitate energy conservation in the State of Maharashtra, as a state
nodal agency under the umbrella of the MNRE. Apex controlling body of
MEDA is the governing body with the Minister of Non Conventional Energy,
Maharashtra state, as Chairman. For about a decade since its establishment,
MEDA did extensive work in the field of renewable energy focusing on rural
areas and stand-alone devices. Integrated Rural Energy Planning (IREP)
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programme was the main plank of its activities.
However, in the last few years, technologies of generation of grid-
connected power from renewable sources have matured and were become
popular in India. Accordingly, MEDA has undergone organizational
restructuring from a largely rural `Stand Alone System' oriented organization
to a significant player in the field of generation of power from Renewables.
Generation of power from environment friendly resources has become the
main focus. To undertake this onerous responsibility, MEDA has positioned
itself as an organization with enough financial and human capabilities having
a professional organisational structure.
4.8.4 Government schemes to promote solar equipment s:
1. Jawaharlal Nehru National Solar Mission Towards Building SOLAR
INDIA
Introduction
The National Solar Mission is a major initiative of the Government of
India and State Governments to promote ecologically sustainable growth
while addressing India’s energy security challenge. It will also constitute a
major contribution by India to the global effort to meet the challenges of
climate change.
In launching India’s National Action Plan on Climate Change on June
30, 2008, the Prime Minister of India, Dr. Manmohan Singh stated:
“Our vision is to make India’s economic development energy-efficient. Over a
period of time, we must pioneer a graduated shift from economic activity
based on fossil fuels to one based on non-fossil fuels and from reliance on
non-renewable and depleting sources of energy to renewable sources of
energy. In this strategy, the sun occupies centre-stage, as it should, being
literally the original source of all energy. We will pool our scientific, technical
and managerial talents, with sufficient financial resources, to develop solar
energy as a source of abundant energy to power our economy and to
transform the lives of our people. Our success in this endeavour will change
the face of India. It would also enable India to help change the destinies of
people around the world.”
The National Action Plan on Climate Change also points out: “India is a
tropical country, where sunshine is available for longer hours per day and in
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great intensity. Solar energy, therefore, has great potential as future energy
source. It also has the advantage of permitting the decentralized distribution
of energy, thereby empowering people at the grassroots level”.
Based on this vision a National Solar Mission is being launched under
the brand name “Solar India”.
2. Importance and relevance of solar energy for Ind ia
1. Cost: Solar is currently high on absolute costs compared to other
sources of power such as coal. The objective of the Solar Mission is to
create conditions, through rapid scale-up of capacity and technological
innovation to drive down costs towards grid parity. The Mission
anticipates achieving grid parity by 2022 and parity with coal-based
thermal power by 2030, but recognizes that this cost trajectory will
depend upon the scale of global deployment and technology
development and transfer. The cost projections vary – from 22% for
every doubling of capacity to a reduction of only 60% with global
deployment increasing 16 times the current level. The Mission
recognizes that there are a number of off-grid solar applications
particularly for meeting rural energy needs, which are already cost-
effective and provides for their rapid expansion.
2. Scalability: India is endowed with vast solar energy potential. About
5,000 trillion kWh per year energy is incident over India’s land area with
most parts receiving 4-7 kWh per sq. m per day. Hence both
technology routes for conversion of solar radiation into heat and
electricity, namely, solar thermal and solar photovoltaics, can
effectively be harnessed providing huge scalability for solar in India.
Solar also provides the ability to generate power on a distributed basis
and enables rapid capacity addition with short lead times. Off-grid
decentralized and low-temperature applications will be advantageous
from a rural electrification perspective and meeting other energy needs
for power and heating and cooling in both rural and urban areas. The
constraint on scalability will be the availability of space, since in all
current applications, solar power is space intensive. In addition, without
effective storage, solar power is characterized by a high degree of
variability. In India, this would be particularly true in the monsoon
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season.
3. Environmental impact : Solar energy is environmentally friendly as it
has zero emissions while generating electricity or heat.
4. Security of source : From an energy security perspective, solar is the
most secure of all sources, since it is abundantly available.
Theoretically, a small fraction of the total incident solar energy (if
captured effectively) can meet the entire country’s power requirements.
It is also clear that given the large proportion of poor and energy un-
served population in the country, every effort needs to be made to
exploit the relatively abundant sources of energy available to the
country. While, today, domestic coal based power generation is the
cheapest electricity source, future scenarios suggest that this could
well change. Already, faced with crippling electricity shortages, price of
electricity traded internally, touched Rs 7 per unit for base loads and
around Rs 8.50 per unit during peak periods. The situation will also
change, as the country moves towards imported coal to meet its
energy demand. The price of power will have to factor in the availability
of coal in international markets and the cost of developing import
infrastructure. It is also evident that as the cost of environmental
degradation is factored into the mining of coal, as it must, the price of
this raw material will increase. In the situation of energy shortages, the
country is increasing the use of diesel-based electricity, which is both
expensive – costs as high as Rs 15 per unit - and polluting. It is in this
situation the solar imperative is both urgent and feasible to enable the
country to meet long-term energy needs.
3. Objectives and Targets
The objective of the National Solar Mission is to establish India as a
global leader in solar energy, by creating the policy conditions for its diffusion
across the country as quickly as possible.
The Mission will adopt a 3-phase approach, spanning the remaining
period of the 11th
Plan and first year of the 12th
Plan (up to 2012-13) as Phase
1, the remaining 4 years of the 12th
Plan (2013-17) as Phase 2 and the 13th
Plan (2017-22) as Phase 3. At the end of each plan, and mid-term during the
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12th
and 13th
Plans, there will be an evaluation of progress, review of capacity
and targets for subsequent phases, based on emerging cost and technology
trends, both domestic and global. The aim would be to protect Government
from subsidy exposure in case expected cost reduction does not materialize
or is more rapid than expected.
The immediate aim of the Mission is to focus on setting up an enabling
environment for solar technology penetration in the country both at a
centralized and decentralized level. The first phase (up to 2013) will focus on
capturing of the low-hanging options in solar thermal; on promoting off-grid
systems to serve populations without access to commercial energy and
modest capacity addition in grid-based systems. In the second phase, after
taking into account the experience of the initial years, capacity will be
aggressively ramped up to create conditions for up scaled and competitive
solar energy penetration in the country.
To achieve this, the Mission targets are:
• To create an enabling policy framework for the deployment of 20,000
MW of solar power by 2022.
• To ramp up capacity of grid-connected solar power generation to 1000
MW within three years – by 2013; an additional 3000 MW by 2017
through the mandatory use of the renewable purchase obligation by
utilities backed with a preferential tariff. This capacity can be more than
doubled – reaching 10,000MW installed power by 2017 or more, based
on the enhanced and enabled international finance and technology
transfer. The ambitious target for 2022 of 20,000 MW or more, will be
dependent on the ‘learning’ of the first two phases, which if successful,
could lead to conditions of grid-competitive solar power. The transition
could be appropriately up scaled, based on availability of international
finance and technology.
• To create favourable conditions for solar manufacturing capability,
particularly solar thermal for indigenous production and market
leadership.
• To promote programmes for off grid applications, reaching 1000 MW by
2017 and 2000 MW by 2022 .
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• To achieve 15 million sq. meters solar thermal collector area by 2017 and
20 million by 2022.
• To deploy 20 million solar lighting systems for rural areas by 2022.
4. Mission strategy (phase 1 and 2)
The first phase will announce the broad policy frame work to achieve
the objectives of the National Solar Mission by 2022. The policy
announcement will create the necessary environment to attract industry and
project developers to invest in research, domestic manufacturing and
development of solar power generation and thus create the critical mass for a
domestic solar industry. The Mission will work closely with State
Governments, Regulators, Power utilities and Local Self Government bodies
to ensure that the activities and policy framework being laid out can be
implemented effectively. Since some State Governments have already
announced initiatives on solar, the Mission will draw up a suitable transition
framework to enable an early and aggressive start-up.
A. Utility connected applications: constructing the solar grid
The key driver for promoting solar power would be through a
Renewable Purchase Obligation (RPO) mandated for power utilities, with a
specific solar component. This will drive utility scale power generation,
whether solar PV or solar thermal. The Solar Purchase Obligation will be
gradually increased while the tariff fixed for Solar power purchase will decline
over time.
B. The below 80°C challenge – solar collectors
The Mission in its first two phases will promote solar heating systems,
which are already using proven technology and are commercially viable. The
Mission is setting an ambitious target for ensuring that applications, domestic
and industrial, below 80 °C are solarised. The key strategy of the Mission will
be to make necessary policy changes to meet this objective:
• Firstly, make solar heaters mandatory, through building byelaws and
incorporation in the National Building Code,
• Secondly, ensure the introduction of effective mechanisms for
certification and rating of manufacturers of solar thermal applications,
• Thirdly, facilitate measurement and promotion of these individual devices
through local agencies and power utilities, and
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• Fourthly, support the upgrading of technologies and manufacturing
capacities through soft loans, to achieve higher efficiencies and further
cost reduction.
C. The off-grid opportunity - lighting homes of the power- deprived poor:
A key opportunity for solar power lies in decentralized and off-grid
applications. In remote and far-flung areas where grid penetration is neither
feasible nor cost effective, solar energy applications are cost-effective. They
ensure that people with no access, currently, to light and power, move directly
to solar, leap-frogging the fossil fuel trajectory of growth. The key problem is
to find the optimum financial strategy to pay for the high-end initial costs in
these applications through appropriate Government support .
Currently, market based and even micro-credit based schemes have
achieved only limited penetration in this segment. The Government has
promoted the use of decentralized applications through financial incentives
and promotional schemes. While the Solar Mission has set a target of 1000
MW by 2017, which may appear small, but its reach will add up to bringing
changes in millions of households. The strategy will be learn from and
innovate on existing schemes to improve effectiveness. The Mission plans to:
• Provide solar lighting systems under the ongoing remote village
electrification programme of MNRE to cover about 10,000 villages and
hamlets. The use of solar lights for lighting purposes would be promoted
in settlements without access to grid electricity and since most of these
settlements are remote tribal settlements, 90% subsidy is provided. The
subsidy and the demand so generated would be leveraged to achieve
indigenization as well as lowering of prices through the scale effect. For
other villages which are connected to grid, solar lights would be
promoted through market mode by enabling banks to offer low cost
credit.
• Set up stand alone rural solar power plants in special category States and
remote and difficult areas such as Lakshadweep, Andaman & Nicobar
Islands, Ladakh region of J&K. Border areas would also be included.
Promotion of other off grid solar applications would also be encouraged.
This would include hybrid systems to meet power, heating and cooling energy
requirements currently being met by use of diesel and other fossil fuels.
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These devices would still require interventions to bring down costs but the key
challenge would be to provide an enabling framework and support for
entrepreneurs to develop markets.
Solar energy to power computers to assist learning in schools and
hostels, Management Information System (MIS) to assist better management
of forests in MP, powering milk chilling plants in Gujarat, empowering women
Self Help Groups (SHGs) involved in tussar reeling in Jharkhand, cold chain
management for Primary Health Centres (PHCs) are some examples of new
areas, being tried successfully in the country. The Mission would consider up
to 30 per cent capital subsidy (which would progressively decline over time)
for promoting such innovative applications of solar energy and would structure
a non-distorting framework to support entrepreneurship, up-scaling and
innovation.
In order to create a sustained interest within the banking community, it
is proposed to provide a soft re-finance facility through Indian Renewable
Energy Development Agency (IREDA) for which Government will provide
budgetary support. IREDA would in turn provide refinance to NBFCs & banks
with the condition that it is on-lend to the consumer at rates of interest not
more than 5 per cent. The Mission would provide an annual tranche for the
purpose which would be used for refinance operations for a period of ten
years at the end of which the funds shall stand transferred to IREDA as
capital and revenue grants for on-lending to future renewable energy projects.
D. Manufacturing capabilities: innovate, expand and disseminate
Currently, the bulk of India’s Solar PV industry is dependent on imports
of critical raw materials and components – including silicon wafers.
Transforming India into a solar energy hub would include a leadership role in
low-cost, high quality solar manufacturing, including balance of system
components. Proactive implementation of Special Incentive Package (SIPs)
policy, to promote PV manufacturing plants, including domestic manufacture
of silicon material, would be necessary.
Indigenous manufacturing of low temperature solar collectors is already
available; however, manufacturing capacities for advanced solar collectors for
low temperature and concentrating solar collectors and their components for
medium and high temperature applications need to be built. An incentive
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package, similar to SIPS, could be considered for setting up manufacturing
plants for solar thermal systems/ devices and components.
The SME sector forms the backbone for manufacture of various
components and systems for solar systems. It would be supported through
soft loans for expansion of facilities, technology upgradation and working
capital. IREDA would provide this support through refinance operations.
It should be ensured that transfer of technology is built into Government and
private procurement from foreign sources.
E. R&D for Solar India: creating conditions for res earch and application
A major R&D initiative to focus: firstly, on improvement of efficiencies in
existing materials, devices and applications and on reducing costs of balance
of systems, establishing new applications by addressing issues related to
integration and optimization; secondly, on developing cost-effective storage
technologies which would address both variability and storage constraints,
and on targeting space-intensity through the use of better concentrators,
application of nano-technology and use of better and improved materials. The
Mission will be technology neutral, allowing technological innovation and
market conditions to determine technology winners.
A Solar Research Council will be set up to oversee the strategy, taking
into account ongoing projects, availability of research capabilities and
resources and possibilities of international collaboration.
An ambitious human resource development programme, across the skill-
chain, will be established to support an expanding and large-scale solar
energy programme, both for applied and R&D sectors. In Phase I, at least
1000 young scientists and engineers would be incentivized to get trained on
different solar energy technologies as a part of the Mission’s long-term R&D
and HRD plan.
Pilot demonstration projects would be closely aligned with the Mission’s
R & D priorities and designed to promote technology development and cost
reduction. The Mission, therefore, envisages the setting up of the following
demonstration projects in Phase I, in addition to those already initiated by
MNRE and those, which may be set up by corporate investors:
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1. 50-100 MW Solar thermal plant with 4-6 hours’ storage (which can
meet both morning and evening peak loads and double plant load
factor up to 40%).
2. A 100-MW capacity parabolic trough technology based solar thermal
plant.
3. A 100-150 MW Solar hybrid plant with coal, gas or bio-mass to address
variability and space-constraints.
4. 20-50 MW solar plants with/without storage, based on central receiver
technology with molten salt/steam as the working fluid and other
emerging technologies.
5. Grid-connected rooftops PV systems on selected government buildings
and installations, with net metering.
6. Solar-based space-cooling and refrigeration systems to meet daytime
and summer season peak load. These could be installed on selected
government buildings and installations.
The configurations and capacities as mentioned above are indicative
and would be firmed up after consultations with various stakeholders. Bidding
process will be adopted to set up solar power demonstration plants which
would help in better price discovery for determining tariff for solar power. It will
be ensured that indigenous content is maximized. The bid documents will also
include a technology transfer clause. It is expected that these plants will be
commissioned in the 12th
plan period.
5. Proposed Roadmap
The aspiration is to ensure large-scale deployment of solar generated
power for grid-connected as well as distributed and decentralized off-grid
provision of commercial energy services. The deployment across the
application segments is envisaged as follows:
Table 4.1 Proposed installations
Application
segment
Target for Phase
I (2010-13)
Target for Phase
2 (2013-17)
Target for Phase
3 (2017-22)
Solar collectors 7 million sq
meters
15 million sq
meters
20 million sq
meters
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Off grid solar
applications
200 MW 1000 MW 2000 MW
Utility grid power,
including roof top
1,000-2000 MW 4000-10,000 MW 20000 MW
Source: www.mnre.nic.in
2. Solar Lantern Programme:
On 8th July, 2009, Ministry of New and Renewable Energy, SPV Group
has announced implementation of the ‘Solar Lantern Programme’ during
2009-10. Under this there is continuation of implementation of the scheme
entitled ‘Solar Lantern Programme’ during 2009-10 on the same financial
pattern and guidelines as contained in the Administrative Approval issued vide
sanction no.32/37/2006-07/PVSE dated 10th October, 2006. The scheme
provides financial support for distribution of solar lanterns and related
activities in the country. No lump sump targets will be allocated to the
implementing agencies. Proposals will be considered on case to case basis
for specific applications or target groups. The requirement of funds for the
Solar Lantern Programme have been met from budget 2009-10
3. Solar Photovoltaic (SPV) Programme
On 10th July, 2009, the Ministry of New and Renewable Energy-
Solar Photovoltaic Group has given the notice to regarding Implementation
of Solar Photovoltaic (SPV) Programme during FY 200 9-10 –Sanction
Order.
Under this programme there is sanction of the President for the
implementation of the Solar Photovoltaic (SPV) Programme during FY 2009-
10 in all States and Union Territories, as per provisions given in the following
sections.
Objectives
i) To promote the use of SPV systems for lighting and various other
applications in the country.
ii) To create awareness and demonstrate effective and innovative use of
SPV systems for individual/ community/ institutional applications.
iii) To save diesel for power generation in institutions and other
commercial organizations.
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iv) To support SPV promotional activities such as seminars, symposia,
training, awareness campaigns, human resource development, etc.
SPV PROGRAMME DURING 2009-10
The Programme will provide Central Financial Assistance (CFA) to
Implementing Agencies for deployment of SPV systems and related activities.
Specific decentralized systems/ applications supported under the programme
include, inter-alia, SPV Home lighting systems, Street lighting systems, Traffic
signals, Blinkers, Illuminated hoardings/ Display boards, Power packs and
Power plants to meet electricity and lighting needs of individuals in rural
areas, communities, villages, urban areas, commercial complexes,
institutions, industry, etc. This apart, the programme covers SPV Rooftop
systems with or without grid interaction. Deployment of small capacity
systems will be considered in project mode i.e. for focused deployment of
systems in an area as well as for specific applications for maximum impact.
Main features of SPV Programme during 2009-10 are given in the following
paragraphs.
Decentralised SPV Systems:
(i) Solar Home Lighting Systems (SHLS) : for indoor lighting and small
electrical power needs of households in rural and other areas. Support would
be provided for different models of the SHLS systems based on 18Wp, 37
Wp, 74Wp SPV modules.
(ii) Solar Street Lighting Systems (SLS): for illumination of streets/ open
spaces in rural and urban areas. Support would be provided for SLS systems
based on 74Wp SPV modules.
(iii) Traffic Signals: SPV powered traffic lights in urban areas with
conventional power as standby arrangement would be provided support for
systems based on upto 100Wp SPV modules.
(iv) SPV Blinkers: SPV operated LED based traffic blinkers would be
supported in systems based on up to 20 Wp SPV modules.
(v) SPV Illuminating Hoardings/Bill boards: Support would be provided for
SPV powered hoardings/ billboards upto 1 kW capacity.
(vi) SPV Power Packs: Support would be provided for installation of SPV
power packs of upto 1 kWp capacity in commercial establishments in urban
areas.
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(vii) Stand-alone SPV Power Plants (SPPs): Support would be provided for
installation of Stand-alone SPV power plants of capacities between 1 and 10
kWp (without distribution network) and above 10 kWp (with distribution
network) for meeting electrical energy needs of a small communities in village/
urban, islands and other areas. However, in special cases, SPV power plants
of capacities less than 1kWp will also be supported on case-to-case basis.
(viii) Other Applications: Other emerging applications and new applications
of SPV technology and specific joint projects with other
Ministries/Departments, autonomous Government bodies and other
organizations will be supported on case-to-case basis. The Ministry
depending upon their utility will also support SPV systems for community use.
The Ministry will also support deployment of SPV systems in areas affected
by natural calamities.
SPV Rooftop Systems for Diesel saving in Urban Area s: Rooftop solar
photovoltaic systems (with or without grid interaction) will be supported for
installation in industrial and commercial establishments/ complexes (exc
luding manufac turer s of SPV cell s/ modules), housing complexes,
institutions and others which face electricity shortages and are using diesel
generators for backup power.
Central Financial Assistance for SPV rooftop Systems (with or without
grid interaction) will be limited to 100 kWp capacity. Minimum capacity of
installation will be 25 kWp. In special cases, smaller capacity systems, not
less than 10 kWp, could be considered for financial support from the Ministry.
Beneficiaries will exclude manufacturers of SPV cells/modules. Maximum
system capacity for sanction of CFA will be linked to the capacity of the
existing diesel sets installed by the beneficiary entity. An entity seeking CFA
for a particular kWp SPV system must have a DG set of at least that capacity
installed in its premises. The beneficiaries, in association with concerned
State Nodal Agency and the manufacturer/ supplier selected by the
beneficiaries on competitive basis (technical and financial), will formulate
proposals for installation of the systems and submit the same to MNRE in the
prescribed format through the State Nodal Agency. Commitment for meeting
the balance system cost by the beneficiary would be necessary while
submitting the proposal. In specific cases the proposals could be submitted
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through other Govt. Departments/ technicalorganizations.
4. Physical Targets and Budget Provisions:
The following indicative targets have been set for 2009-10 and rest of
the 11th plan period. These targets could be enhanced subject to availability
of funds.
Table 4.2 Targets and budget
Source: www.mnre.nic.in
Implementation Agencies:
The scheme will be implemented through various implementing
agencies which would include interalia Central and State Government
Ministries and Departments and their organisations, State Nodal Agencies,
Local bodies, PSUs, Educational /Technical Institutions/ Organizations, Indian
Renewable Energy Development Agency (IREDA), Financial Institutions (FIs)
and Non-Banking Financial Companies (NBFCs), Self Help Groups (SHG),
and reputed Non-Governmental Organisations (NGOs). In addition, State
Governments and MNRE could also designate agencies for implementation.
Implementing agencies will ensure that there is no duplication of funding for
same activity in areas covered under the RVE programme of the Ministry.
Specifications of SPV Systems:
The minimal technical specifications of SPV home lighting systems,
street lighting systems and stand alone SPV power plants among others, to
be supported under the programme are available on the Ministry’s web site
www.mnre.nic.in under the heading “SPECIFICATIONS FOR SOLAR
PHOTOVOLTAIC SYSTEMS” . The SPV modules to be deployed under the
Programme should conform to the relevant IEC Standards. Balance of
systems/ components including batteries, cables, switches, circuit breakers,
control electronics,LEDS, CFLs, etc. and system installations should conform
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to the relevant national and international standards, codes and practices.
Central Financial Assistance:
Central Financial Assistance (CFA) in form of capital subsidy will be
available from the Ministry for installation of the SPV systems.
Implementing agencies may pool funds and resources from other
Government Programmes and other resources. Central Financial Assistance
will not be provided to manufacturers of SPV cell/ modules or systems for
installing the systems in their premises/ complexes. The pattern of Central
Financial Assistance for the systems is given below:
Table 4.3 Pattern of central financial assistance
CFA Aggregate systems capacity
NE Region and Special category
states
Other States/ UTs
SPV Home lighting systems 4500 (18Wp) 8660 (37-74Wp)
2500 (18Wp) 4800 (37-74Wp)
SPV Street Lighting systems 17300 (74Wp) 9600 (74Wp) Stand alone SPV power plants • More than 1 KWp (with capacity
less than 1 KWp on case to case basis)
• More than 10 KWp with distribution line
Rs.225/Wp
Rs.270/Wp
Rs.125/Wp
Rs.150/Wp
SPV traffic lights - Up to 100 Wp module capacity SPV Blinkers Soalr powr packs Up to 1 KWp Solar illuminating hoardings / Bill boards – up to 1 KWp modules capacity
Rs.150/Wp for systems with battery bank of 6 hrs/Rs.115/Wp without battery bank for organisations not availing accelerated depreciation
Rs.100/Wp for systems with battery
bank of 6 hrs/Rs.75/Wp without battery bank for organisations availing
accelerated depreciation. Other systems for community use in urban and industrial areas
SPV Roof-top systems in Urban areas -From 10KW to 100KW
Rs.75/Wp, limited to 30% of the cost of systems to profit making bodies availing depreciation benefits Rs.100/Wp, limited to 40% of the cost of systems to non-profit making bodies
Source: www.mnre.nic.in
Other and New Applications
Ministry could consider extending Central Financial Assistance (CFA)
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in project mode on new and innovative applications of SPV Systems. The
Ministry will provide full CFA for undertaking pilot and demonstration projects
through manufacturers and other organizations for new and innovative
applications of SPV systems for low power consumption loads. All such
projects will be sanctioned with the concurrence of IFD and approval of the
competent authority.
Table 4.4 Service Charges to SNAs/ Implementing Age ncy
Source: www.mnre.nic.in
Interest Subsidy Scheme
The Ministry also proposes to enter into Memorandums of
Understanding (MOUs) with Indian Renewable Energy Development Agency
(IREDA) and interested banks to operationalize the interest subsidy scheme
introduced during 2002-03 for financing the purchase of solar photovoltaic
systems by various categories of users. However, Indian Renewable Energy
Development Agency (IREDA) will work out detailed modalities of the
Scheme.
Support to Implementing Agencies for Promotional Ac tivities:
The Ministry will provide Central Financial Assistance to the
Implementing Agencies for the following promotional activities:
Seminars/ workshops/ symposia/ training : Support upto a maximum
of Rs. 2 lakhs per event will be provided to State Nodal Agencies/ Municipal
Corporations/ 6 Technical institutions for organizing seminars/ workshops/
symposia/ training to create awareness and training etc. on installation of the
systems in urban areas.
Publicity & Awareness: Financial support upto a maximum of Rs. 5
lakhs will be provided for information and publicity using all possible avenues
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such as print, electronic (audio and visual) media to State Nodal
Agencies/Municipal Corporations/Associations of solar photovoltaic systems/
devices for community/ institutional use in urban areas.
Eligible SPV systems suppliers:
Manufacturers of SPV cells, modules and systems and their suppliers,
whose modules and products conform to relevant national/ international
Standards would be eligible. Technical performance of modules/ systems
should be duly supported by valid test certificates issued by the Solar Energy
Centre or by other authorized / accredited national or international test
centres.
Procurement of SPV systems:
State nodal agencies, autonomous institutions, public sector
undertakings, state government and central government organizations will
follow the laid down procurement procedures of the Government of India or
State Government or respective organizations for purchasing and installing
the SPV systems and devices. Other eligible entities can procure the systems
directly from manufacturers/ suppliers of SPV modules and systems following
their procurement procedures and associating the state nodal agencies for
necessary technical help and guidance, if required. However, in such cases
central financial assistance will be routed through respective implementing
agencies only.
Warranty:
The manufacturers must provide a warranty for a minimum period of
two years for the complete SPV system (including the battery) and minimum
ten years for the PV module(s) from the date of supply.
Comprehensive Maintenance Contracts
Implementing agencies should enter into a Comprehensive
Maintenance Contract (CMC) for the SPV systems ordered, atleast for a
period of three years after the expiry of the warranty period. The scope of the
CMC should cover supply of spares/ parts and services during its tenure. The
CMC should be a separate transaction and not necessarily part of the order.
The cost of the CMC should not be included in the cost of the systems for the
purpose of computing and claiming subsidy.
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Record of Beneficiaries
State nodal agencies/other implementing agencies shall keep a record
of the beneficiaries of SPV systems and devices deployed in their State. A
suggested format for keeping the beneficiary-wise record of SPV systems
supplied under the Programme of 2009-10. Implementing Agencies shall
submit the Project Completion Report to MNRE.
Release of Central Financial Assistance (CFA)
Release of Central Financial Assistance will be as follows:
• 50% of the CFA will be released in advance to State Nodal
Agencies/Implementing Agencies along with the sanction of project.
• The balance 50% of the CFA along with service charges will be released on
installation and commissioning of the systems and receipt of Utilization
Certificate of the advance amount given and project completion report.
For SPV Rooftop systems , 50% of the CFA will be released in
advance to SNAs along with the sanction, for onward release to beneficiaries
immediately after supply of equipment at site. The balance 50% CFA will be
released upon installation and commissioning of the systems and satisfactory
performance report thereof from the beneficiary
The grantee institution/implementing agency shall be required to
maintain subsidiary accounts of the Govt. grants received and furnish a set of
audited statement of accounts after utilization of the grants-in-aid or whenever
called for.
Submission of proposals
The state nodal/ implementing agencies will submit proposals in project
mode, i.e., for focused deployment of SPV systems in villages, towns, cities,
islands and other areas for maximum impact. Individuals/Local
bodies/Industry interested in these systems could approach state nodal
agencies to include their requirement in respective state projects.
Monitoring & Reporting Mechanisms
The Implementing Agencies will closely monitor the implementation of
the projects undertaken by them under the scheme to ensure their speedy
completion and avoiding time and cost over-runs. Implementing Agencies are
required to make suitable arrangements to monitor the supply, installation and
performance of the systems. MNRE could also get the monitoring done
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through a third party, whenever considered necessary.
Expenditure
An expenditure of Rs. 375.00 crore is expected to be incurred under
the Programme during FY 2009-10 and the remaining period of 11th Plan, as
per the year-wise phasing given below:-
Table 4.5 Budgeted expenditure
Source: www.mnre.nic.in
The involved expenditure will be met from the following budget head
allocated for the programme in the Demands-for-Grants of the Ministry for
FY2009-10.
Table 4.6(a) Demands for grants of the ministry for FY2009-10.
Source: www.mnre.nic.in
Table 4.6 (b) Demands for grants of the ministry for FY2009-10.
Source: www.mnre.nic.in
This sanction issues in exercise of delegated powers to this Ministry and with
the concurrence of IFD vide their Dy. No.IFD/543/09 dated 2/7/2009 and
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concurrence dated 2/07/2009.
4. Government Schemes:
On 17th August 2009, Ministry of New and Renewable Energy has
announced incentives to banks/ micro financing institutions to support
installation of solar home lighting and other small solar systems through
loans.
Under this there is sanction of the President for undertaking a
Demonstration Programme on providing incentives to banks /micro financing
institutions to support installation of solar home lighting and other small solar
systems through loans in the country during the 11th Plan period.
Objective
The main objective of the Demonstration Programme is to assist the
banks / micro financing institutions by providing incentive for capacity building
and other specified activities to extend loans to consumers to purchase solar
home lighting and other small solar systems for lighting, powering fans and
small portable TV sets etc, in villages/ areas where the power supply is un-
reliable.
Implementation Arrangements
Any financial institutions/ banks/ NBFCs, micro financing organizations
and SHG federations will be eligible to participate under the demonstration
programme, subject to fulfillment of the guidelines contained in the order. A
proposal may be submitted to the Ministry by a bank which is ready to provide
loans for solar PV systems. The banks are required to inform the Ministry
about their commitment to take up targets in the specified ranges given in this
order. They are also expected to submit their plan to take up other specific
activities for which Ministry may provide funds as per the guidelines given in
the following section of central financial assistance.
Targets and Central Financial Assistance
It is proposed to cover 2,50, 000 solar lighting and other systems under
the programme by 31st March, 2011 The following are the details of the
financial support to the banks/financial institutions to implement the
programme;
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Table 4.7 Financial support to the banks / financia l institutions
Source: www.mnre.nic.in
In addition to above, a provision of Rs.1.50 crore is made for procuring
consultancies for monitoring and evaluation, Cash prizes will be given @
Rs.1.0 lakh each to the concerned bankers and also to the village panchayat
wherein village / villages which are fully solar electrified. In addition, the
village panchayats with 75% and more coverage may also be rewarded on
pro rata basis. The panchayats will be encouraged to utilize this money to
purchase solar streetlights or other solar devices for use of the village
community. In addition, capacity building and awareness generation support
to NGOs and SHG federations who are participating in the initiative along with
the banks would also be given up to Rs 5 lakh per NGO or SHG, depending
on the villages covered by them.
Release of Funds:
(i) It is proposed that the release to the banks and other participating
organizations would be made in two installments of 50% upfront (after
obtaining commitments from the banks) and the remaining 50% on
receiving a certificate from the bank, regarding the number of units which
have been financed and a progress report of the project in MNRE.
(ii) The implementing agencies will submit in duplicate Utilization
Certificate (UC) for the funds released by the Ministry; and certified
Statement of Expenditure (SoE) issued by the concerned Bank.
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(iii) At the time of seeking the final release of CFA, the concerned banks
will submit a detailed annual project completion report and Utilization
Certificate & consolidated Statement of Expenditure for settlement of
accounts.
Monitoring Arrangements
The implementing agencies will devise suitable arrangements for
monitoring and evaluation of solar systems. They may also take other
measures as considered appropriate for monitoring/inspection/ performance
evaluation of solar home lighting and other small solar systems in the field. In
addition, Ministry may commission other organizations/experts to inspect the
systems in the field and undertake performance evaluation study. Funds will
be sanctioned by the Ministry for monitoring of the implementation of the
projects by different implementing agencies through independent
organizations. The banks are required to submit quarterly report on the
progress on implementation.
Necessary funds for implementation of the Demonstration Programme
during 2009-10 will be drawn from the Ministry’s budget head – ‘2810’
Renewable Energy (Major Head),.103-Renewable Energy for Urban,
Industrial and Commercial Application (Minor Head), 01-ST, SPV and other
RE Systems 01.01-Renewable Energy application, 01.01.31-Grants-in-aid,
during the year 2009-10 (Plan).
This sanction issues in exercise of powers delegated to this Ministry
and with the concurrence of IFD dated 12.08.2009 vide their Dy.
No.IFD/800/2009, dated 10.08.2009.
5. Solar water heating scheme
Objective
To promote the widespread use of solar water heaters through a
combination of financial and promotional incentives and other support
measures.
Scheme provisions
Interest subsidy to the users of solar water heaters, incentive to
motivators, support for organizing seminars/ symposia/ workshops/ business
meets/ exhibitions, training programmes, publicity and awareness campaign,
technology up-gradation, and studies/surveys. Support also to
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municipalities/municipal corporations that adopt and notify the modifications
to their building by-laws for making the installation of solar-assisted water
heating systems mandatory in certain categories of buildings.
Table 4.8 Salient features of interest subsidy sche me
Item/activity Incentive/support Soft loans to users @ 2% to domestic, @ 3% to institutional, and @
5% to industrial and commercial users
Loan repayment period Maximum 5 years
Eligible FIs for providing
soft loans
All public/private sector banks, including RBI
approved non-banking financial companies,
scheduled cooperative banks, and other financial
institutions
Payment of interest subsidy
to FIs
On upfront basis for the entire loan re-payment
period after the systems are installed
Incentive to motivators Rs 100 per square metre of collector area
installed through banks/FIs for bringing business.
The motivators could be unemployed youth,
Akshay Urja Shops and state nodal agencies.
Support to state nodal
agencies for monitoring and
data management
Rs 50 per square metre of collector area
visited in their states
Release of interest subsidy
and other incentives
Through IREDA (Indian Renewable Energy
Development Agency) on re-imbursement basis
Service charges to IREDA @ 2% of interest subsidy disbursed to Fls/their
direct users and @1% of loan disbursed to
their intermediaries
Service charges to FIs/
intermediaries of IREDA
@ Rs 200 on each loan disbursed to the users
Support to IREDA for market
development, data
management and feedback
analysis
@ Rs 100 per loan disbursed by FIs/ IREDA
and its intermediaries
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Banks/FIs implementing the interest subsidy scheme (as on 30 November
2007)
11 public/private banks, 10 scheduled cooperative banks and 5
non-banking financing companies and 2 private banks are presently
participating in the scheme. Many others are likely to join.
Supportive measures being taken
Amendment in building by-laws by municipal corporations, rebate in
electricity tariff by SEBs/utilities and in property tax by MCs, extensive
publicity awareness campaign in potential cities, inclusion of system cost
in housing loans by FIs, construction of building/housing complexes
integrated with solar water heating systems.
Manufacturers' network 58 BIS-approved manufacturers for systems
based on flat-plate collector and 35 MNRE approved suppliers for systems based
on evacuated tube collectors.
Cumulative achievements 2.1 million square metre of collector area
4.9 Role of bank in promoting solar equipments:
To get more information about the role of bank in promotion of solar
equipments, researcher discussed with some bank managers using structured
schedule. Inferences of the discussion are as follows:
IREDA is a government company which distributes loans for solar equipments
to the people with the help of nationalized banks. These banks are –
1) Bank of Maharashtra 2) Union Bank of India
3) Vijaya Bank 4) Bank of India
5) Syndicate Bank 6) Canara Bank etc.
These banks work in various parts of India and serve people.
According to the discussion, the researcher found that the banks provide
loans for solar water heaters. Actual rate of interest is 11%. But banks charge
for domestic proposals is only 2% interest, for institutions it is 3% and for
commercial proposals it is 5%. The difference in interest is paid by IREDA to
the concerned banks. Each bank accepts 7 to 8 proposals every month.
Actually process of getting loan is difficult. As they have to send the proposals
to IREDA and maintain the accounts. Banks don’t make special efforts for
creating customers awareness about bank finance. They rely on government
advertisements.
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It is also observed that suppliers supply material of solar equipment is
of inferior quality. So the equipment do not give good service to the customer.
As a result, the customer is not willing to pay the installments.
To claim subsidy from IREDA is a complex process. The branch
submits the proposals to the head office and head office claims the subsidy. It
requires a lot of documentation. Then IREDA gives subsidy to the head office
and it is transferred to the concerned branch. It is really time consuming
process minimum time required for a proposal is around six months, so
subsidy is not claimed in time.
Maximum loan proposals are in the range of Rs.16000 to 30000. So
the installment is small and the customer neglects it. It is not paid in time.
There is no target for any bank for financing solar equipments. So the banks
do not try to make any genuine efforts. Every month around 15 customers
approach banks for such loans. Bank managers feel that these loan proposals
are cumbersome because even small amounts requires more documentation
as compared to big amounts. They neglect these proposals and run after
business proposals.
These bank managers are not satisfied with government role. They
think that the number of documents should be reduced and the procedure
must be simple. They suggest that government should provide subsidy to the
concerned branch directly. This loan process should be made easy.
Suppliers are advised to help the bank to collect the installments. They
should also provide good material and good service to the customer. On the
contrary customers should select qualitative material and care for the same.
They should pay installments from time to time and help the bank.
4.10 Role of suppliers in promoting solar equipment s
To get more information about the role of suppliers and promotion of
solar equipments, the researcher had discussion with some suppliers.
Researcher used structured schedule. After collecting the information from
them, the inferences of the discussion are drawn and present below.
There are 13 suppliers of solar equipments in Satara district. These
suppliers mainly deal in solar water heating system and solar lighting system.
Most of them, concentrate on solar water heaters only. Every month, they sell
5 to 7 solar water heating systems and 2 to 3 solar lighting systems including
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solar lanterns.
In order to promote solar equipments, they do participate in various
exhibitions. They advertise their products in local news papers. They also
offer cash discounts to attract maximum customers. They are not satisfied
with government schemes because the schemes are not implemented
properly by the banks. Government is also not showing interest in creating
awareness among people. Suppliers are not getting support from banks to
promote solar equipments. The banks are passive and disinterested.
High price of the solar equipments is the main hurdle to push the
equipments in the market. Suppliers also think that people don’t believe in
these equipments. They opined that loan process should be made easy and
more people should be motivated to install these equipments to save energy.
There should be subsidy in the prices of the equipments. Customer should be
given concession in electric bills for using solar energy. Government should
create awareness among the people through radio and T.V. media.
Customers are totally satisfied with solar equipments.
The suppliers also suggested that manufacturers should produce
products of low cost and good quality. Manufacturers should provide their
equipments on installment basis. Customers should pay their installments in
time and customers should describe the benefits of solar equipments through
oral publicity. They should believe in the quality and benefits of the
equipments. They think that the awareness is good. Though the people afford
these equipments, they don’t buy them willingly. They don’t know the benefits
of using them. According to suppliers, if compared to the population of Satara
district less than 0.5% people have gone for solar equipments.
The researcher thinks that there is great scope to promote solar
equipments. Banks are not supporting properly. The government failed to
create desire among people. Customers are not convinced about the solar
equipments. Manufacturers don’t show any positive steps to reduce the cost
of the solar equipments. As a result the sale of solar equipments is very less.
So all these elements like the government, the banks, the manufacturers and
suppliers should come together and form a policy to promote solar
equipments.
178
Table 4.9 MNRE approved major suppliers
Sr. Name of Supplier Product supplying
1 M/s Sudarshan Saur Shakti Pvt. Ltd.
5, Tarak Colony, Opposite Ramakrishna Mission
Ashrama, Beed By-pass, Aurangabad – 431 005
Solar water heating
system
2 M/s. Jay Industries,
D-64, Miraj MIDC, Miraj – 416 410 Dist. Sangli.
Solar water heating
system
3 M/s. Phoenix Import & Exports, 51, Deshmukh
colony, Sadar Bazar, Satara – 415 001
Solar water heating
system, solar lighting
4 M/s. Kotak Urja, 311, Lotus House, 33A V,
Thackersey Marg, New Marine Lines, Mumbai
Solar water heating
system
5 M/s. Bipin Engineers Pvt. Ltd., 143, Opp. Lokmat
Wadgaon Dhairy, Sinhgad Road, Pune – 411 041
Solar water heating
system
6 Racold Thermo Limited
Chakan– Talegaon Road, Chakan, Pune – 410501
Solar water heating
system, solar lighting
7 Pearl Enterprises
Survey No. 37/4, Shree Nagar, Near Purohit
Hospital, Dhankwadi Last Bus Stop, Pune
Solar lighting system
8 M/s Reliance Industries Ltd.,
Relinace Corporate Park, Gate House, Thane-
Belapur Road, Ghansoli, Navi Mumbai -400701
Solar lighting system
9 M/s Jain Irrigation Systems Ltd.
Jain Energy Park, Jain Valley, Shirsoli Road
P.O.Box 20, Jalgaon-425001
Solar water heating
system, solar lighting
10 M/s Sunsoko
Bajaj International Pvt.Ltd. Bajaj Bhawan, 2nd
Floor, J. B. Marg, 226, Nariman Point, Mumbai.
Solar lighting system
179
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