The supervision of Andhra Pradesh currently voiced its solar policy. The process does not mention any confine on the complete ability of solar power plants that may be put up beneath it. It moreover conjunction provides for a prearranged feed-in price tag (like Gujarat did), nor does it make way for price breakthrough by a retreat behest process (as in the box of the National Solar Mission).
However, the process spells out the state's mount on problems such as promissory note of power, wheeling and delivery charges, cranky funding charges and open access.
In other words, a plan developer may put up a plan of any size in the State. He can possibly sell the power to the State's physical phenomenon placement firm at the ‘average pooled buy cost' that is gritty by the state physical phenomenon regulatory assignment (which is currently Rs 2 per unit), or can sell it to any other consumer directly, whether inside of or outward the State.
On promissory note of power (or, injecting power in to the grid and diagram it back later), the process says it allows 100 per cent banking. However, any appetite injected in to the grid will have to be drawn inside of that monthly calendar year. No diagram of banked power will be authorised between February and June, and during the summit hours-6.30 pm to 10.30 pm. The developer will have to pay 2 per cent of appetite as ‘banking charges'.
Further, if the appetite is sole inside of Andhra Pradesh, the developer is incentivised with exemptions from wheeling and delivery charges and cross-subsidy charges, physical phenomenon task and return of VAT on inputs purchased is to plan and the stamp task on the registration of home is to project. However, for sales outward the state, wheeling and delivery charges, as gritty by the state's regulatory commission, applies.
A important underline of the process is that even the rooftop and off-grid plants will be eligible is to renewable appetite certificates, beneath the ‘deemed injection' clause.
To relief themselves of these incentives, plan developers have to assignment their projects by June 2014, whereupon they would obtain the incentives for 7 years from the date of commissioning.
Industry wants sum
The solar power attention finds the process really kind in conditions of being facilitative, without cast of characters a weight on the state government's finances. Large concrete plants, for instance, can secretion their renewable buy obligations by apropos shareholders of solar power projects and shopping the power. As such, there is expected to be substantial fascination from the industry.
However, the Government has done open usually the ‘abstract' of the policy. The attention is interested on the details.
For instance, the technical and financial criteria are still awaited. The attention wants to be coherent as to who is eligible to apply. (Uttar Pradesh, for example, mentioned that usually those who had done a plan in India formerly could apply.)
Finally, the attention would similar to grid-related codes and assurances of accessibility of the grid. How sufficient of renewable power can the grid take? At that indicate will the metering happen? What is the process relating to forecasting and scheduling?
These are a few problems that must be free out before people start to put down allowance in solar projects in the State.
"While the process states that one of its objectives is to "promote investments for surroundings up production services in the state", the process does not mention any made at home calm requirement. This could make Andhra pradesh a really popular marketplace is to unfamiliar PV procedure manufacturers who are corroborated by popular financing options," says Madhavan Nampoothiri, Founder and Director of RESolve Energy Consultants.
ramesh.m@thehindu.co.in
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