REC Ltd has been designated as the nodal agency for implementing the nationwide rooftop solar initiative, announced by the Prime Minister recently.
The initiative called “Pradhan Mantri Suryoday Yojana” envisages the implementation of rooftop solar systems in 1 crore (10 million) households.
The REC board has officially authorized a line of credit of around Rs.15,000 crore to Central PSUs that will act as renewable energy service companies (RESCOs) in implementing this nationwide scheme.
As the nodal agency, REC is committed to provide a line of credit of Rs.1.2 lakh crore for this rooftop solar project.
It is leant that the following eight CPSUs have been designated as implementation agencies under the RESCO model:
- NTPC Ltd
- NHPC Ltd
- Energy Efficiency Services Ltd (EESL)
- Power Grid Corporation of India Ltd (PGCIL)
- Solar Energy Corporation of India (SECI)
- THDC India Ltd
- SJVN Ltd
- NEEPCO Ltd (part of NTPC Group)
Meanwhile, REC has sanctioned about Rs 1.25 lakh crore for the renewable energy sector. The current grid-connected solar rooftop capacity in India stands at 11.08 GW, a part of the total solar capacity of 72.31 GW. The company has also been made the nodal agency for certain states and union territories for the Revamped Distribution Sector Scheme (RDSS).
Industry Reactions
Here are some reactions expressed by industry captains on the Pradhan Mantri Suryodaya Yojana:
Tanya Singhal, Founder of Mynzo Carbon & SolarArise
“The Pradhan Mantri Suryodaya Yojna is a transformative initiative to give access to electricity to all the poor and middle-class citizens. By extending electricity access to areas that were once inaccessible by traditional grids, this scheme is a beacon of hope for communities in need. One of the major hindrances to widespread adoption of rooftop solar has been the high upfront capital investment, a barrier this initiative effectively dismantles. The scheme recognizes the financial constraints of the applicants, with an annual income of less than Rs 1 or 1.5 lakh, and empowers them with subsidies that significantly lower the cost of installation. This not only makes green power more accessible but also ensures a sustainable future for these communities. By focusing on affordability and inclusivity, the Pradhan Mantri Suryodaya Yojna not only illuminates homes but also brightens the prospects of a cleaner, greener India, where power is a right for all, irrespective of economic circumstances. While in statistics of GWs these are not huge installations, they will go a long way to help the poor and middle class applicants power their lives.”
Saurabh Marda, Co-founder & Managing Director, Freyr Energy Services Pvt Ltd
“The Pradhan Mantri Suryodaya Yojana is a game changing announcement made by the Honorable PM Shri Narendra Modi. This scheme aims to electrify one crore households with solar energy and significantly reduce electricity bills of the common man. It builds on the progress India has made over the last few years in the rooftop solar segment, accelerate adoption of solar for homes and make a significant contribution to India’sNet Zero targets.”
Featured photograph is for representation only.
