core sector communique

Government Provides 30 per cent subsidy for Solar Lanterns and Home Lights

The Minister of New and Renewable Energy, Dr. Farooq Abdullah, today informed in the Lok Sabha that under the Off-grid Solar Applications Scheme of JNNSM, the Ministry is providing subsidy of 30% of the benchmark cost (Rs. 270/- per watt peak) of the solar photovoltaic (SPV) systems subject to a maximum of Rs.81/- per watt peak for distribution/ installation of solar lanterns and home lights and Rs.57/- per watt peak for SPV water pumping systems to individuals in the country including Bihar. The Ministry is also providing subsidy of 40% of the capital cost limited to Rs.108/- per watt peak for installing solar lanterns, home lights and small capacity PV plants upto 210 Watt peak by individuals through NABARD, Regional Rural Banks and other Commercial Banks. For balance 60% of the cost, the banks extend credit facility to the beneficiary at usual commercial rates. He further said upto 31st March, 2012, 910504 solar lanterns, 861654 solar home lights and 7771 solar water pumping systems have been installed in the country. This includes 50117 solar lanterns, 6528 solar home lights and 139 solar water pumping systems in Bihar. During 2011-12, Ministry sanctioned a project for installation of standalone SPV power plants aggregating to 8740 kWp capacity in 4115 schools and 9 examination centers. During the current financial year, the Ministry has sanctioned a project for installation of 560 SPV water pumping systems in six districts of Bihar.