Gujarat Solar Power Policy, 2015

9.1 ROOFTOP SOLAR PV SYSTEMS WITH NET METERING ........................................................................................ 6

9.1.1 Eligible Entity for Rooftop PV system with net metering .................................................................. 6

9.1.2 For Residential and Government Consumers .................................................................................... 6

9.1.3 For Industrial, Commercial and Other Consumers ............................................................................ 7

9.2 SOLAR PROJECTS WITH SALE OF POWER TO DISCOMS ....................................................................................... 9

9.3 SOLAR PROJECTS UNDER REC MECHANISM WITH SALE OF POWER TO DISCOMS AT APPC ................................... 11

9.4 SOLAR PROJECTS WITH SALE OF POWER UNDER NSM ..................................................................................... 12

9.5 SOLAR PROJECTS WITH SALE OF POWER TO THIRD PARTY UNDER OPEN‐ACCESS................................................... 14

9.6 SOLAR PROJECTS FOR CAPTIVE CONSUMPTION ................................................................................................ 9

9.7 AGRICULTURE SOLAR PUMPS...................................................................................................................... 16

9.8 STAND‐ALONE PV SYSTEMS AND HOME LIGHTING SYSTEM .............................................................................. 16

9.9 CANAL‐TOP AND CANAL‐BANK SOLAR PV PROJECTS ....................................................................................... 16

9.10 TECHNOLOGY DEMONSTRATION PROJECTS .................................................................................................... 17

9.11 OTHER SCHEMES...................................................................................................................................... 17 10 LAND FOR SOLAR PROJECTS ...................................................................................................... 17 11 GRID CONNECTIVITY AND EVACUATION FACILITIES .................................................................... 17

11.1 GRID INTEGRATION................................................................................................................................... 17

11.2 GRID CONNECTIVITY ................................................................................................................................. 18

11.3 EVACUATION FACILITIES ............................................................................................................................ 18

11.3.1 Within Solar Park ........................................................................................................................ 18

11.3.2 Outside Solar Park ...................................................................................................................... 19 12 METERING AND ENERGY RECORDING ........................................................................................ 19 13 SECURITY DEPOSIT .................................................................................................................... 19 14 FORECASTING AND SCHEDULING ............................................................................................... 20 15 REACTIVE POWER ...................................................................................................................... 20 16 OPERATION AND MAINTENANCE OF DEDICATED LINES .............................................................. 20 17 RESTRICTIONS ........................................................................................................................... 20 GUJARAT SOLAR POWER POLICY‐2015 1 18 STATE NODAL AND FACILITATING AGENCIES .............................................................................. 21

18.1 STATE NODAL AGENCY .............................................................................................................................. 21

18.2 FACILITATING AGENCY............................................................................................................................... 21 19 OTHER RELEVANT POLICIES AND INCENTIVES............................................................................. 21

19.1 GUJARAT INDUSTRIAL POLICY 2015............................................................................................................. 21

19.2 ELECTRONICS POLICY FOR THE STATE OF GUJARAT (2014‐19).......................................................................... 21

19.3 MODIFIED SPECIAL INCENTIVE PACKAGE SCHEME (M‐SIPS) OF GOVERNMENT OF INDIA ....................................... 21 20 REGULATION ............................................................................................................................. 21 21 MID‐TERM REVIEW ................................................................................................................... 21 22 POWER TO REMOVE DIFFICULTIES ............................................................................................. 22 ‐‐‐‐‐ GUJARAT SOLAR POWER POLICY‐2015 2 The Sun at Tithal Beach, Surat. 1 PREAMBLE capacities in Gujarat while taking into account the interest of all its stakeholders, such as the Investors,

1.1 The State of Gujarat (the Developers, Technology Providers, “State”)intends to increase the share Power Utilities,Grid Operators and of renewable energy, particularly the Consumers. solar energy in its energy basket.It is with this intention that the State launched the Gujarat Solar Policy‐ 2 VISION 2009, for which it receiveda veryenthusiastic response. The policy The State Government envisions a future resulted in a cumulative solar capacity with reduced dependence on fossil‐based in excess of 1000 megawatts (MW) energy by promoting renewable energy with investment of about INR 9,000 sources. The State recognizes that crores. This policy also witnessed renewable energy can also significantly setting up India’s first and Asia’s increase the State’s and the Nation’s energy largest Solar Park at Charanka in security. Above all, it is the vision of the Patan District, and the country’s State Government to provide a clean and firstMW scale canal‐top solar plant at sustainable environment for its Citizens. Chandrasan in Mehsana District of Gujarat.

1.2 The Government of Gujarat (the 3 OBJECTIVES “State Government”)has also acknowledged the fact that power Gujarat is rich in solar energy resource with from renewable sources is, at substantial amounts of barren and present,significantly more expensive uncultivable land, solar radiation in the than those generated from range of 5.5‐6 kilowatt‐hour (kWh) per conventional sources like coal‐based square meter per day, an extensive power power plants.The increase of network and utilities with reasonably good renewable energy in the total energy operational efficiency. It has the potential basket has to be done in a manner for development of more than 10,000 MW that does not add undue burden to of solar generation capacity. While Gujarat’s the Consumers in the State. Solar Power Policy‐2009 was framed to Therefore, this Solar Power Policy‐ establish and jumpstart utility‐scale solar 2015 (this “Policy”) is intended to power generation and the solar sector as a facilitate and promote large scale whole not only for the State but also for the addition of solar power generation Country, this Gujarat Solar Power Policy‐ GUJARAT SOLAR POWER POLICY‐2015 3 2015 aims to scale up the solar power commissioning or for the lifespan of generation in a sustainable manner. the SPGs, whichever is earlier. Accordingly, the State Government introducesthe ‘Gujarat Solar Power Policy ‐ 6 ABBREVIATIONS AND 2015’ with the following objectives: DEFINITIONS

3.1 To promote green and clean power and to reducethe State’s carbon 6.1 “ABT” means Availability Based Tariff. emission; 6.2 “Act” means Electricity Act 2003,

3.2 To reduce dependency on fossil fuels including amendments thereto. for energy security and sustainability; 6.3 “ALDC” means Area Load Dispatch

3.3 To help reduce the cost of renewable Centre. energy generation; 6.4 “APPC” means Average (Pooled)

3.4 To promote investment, employment Power Purchase Cost. generation and skill enhancement in 6.5 “C” means project capacity in the renewable energy sector; kW/MW.

3.5 To promote productive use of barren 6.6 “CDM” means Clean Development and uncultivable lands; Mechanism.

3.6 To encourage growth of local 6.7 “CEA” means Central Electricity manufacturing facilities in line with Authority. the ‘Make in India’ programme; 6.8 “Central Agency” means National

3.7 To promote research, development Load Dispatch Centre (NLDC) as and innovation in renewable energy. designated by CERC for the purpose of REC regulations. RESOLUTION 6.9 “CERC” means Central Electricity Regulatory Commission of India. 4 TITLE 6.10 “CTU” means Central Transmission Utility.

6.11 “DisCom” means Distribution This Policy shall be known as the ‘Gujarat Licensee. Solar Power Policy‐2015’.

6.12 “Facilitating Agency‐(ies)” means Gujarat Power Corporation Limited 5 OPERATIVE PERIOD (GPCL) or any other agency notified by State Government for

5.1 This Policy shall come into effect from development of Solar Parks/ solar date of its notification and shall projects. remain in operation up to March 31, 6.13 “GERC” means Gujarat Electricity 2020. Regulatory Commission.

5.2 Solar Power Generators (SPGs) 6.14 “GoI” means Government of India. installed and commissioned during 6.15 “Government/ State Government” the Operative Period shall become means Government of Gujarat. eligible for the benefits and incentives 6.16 “GUVNL” means Gujarat Urja Vikas declared under this Policy, for a Nigam Limited. period of 25 years from their date of 6.17 “INR” means Indian Rupee.

6.18 “kV” means kilovolt. GUJARAT SOLAR POWER POLICY‐2015 4

6.19 “kW” means kilowatt. Gujarat Energy Development Agency

6.20 “kWh” means kilowatt hour. (GEDA).

6.21 “MNRE” means Ministry of New and 6.38 “Solar Park” means contiguous area Renewable Energy, Government of for development of solar power India. generation projects, having aggregate

6.22 “MoP” means Ministry of Power. capacity of 100 MW or more, and

6.23 “MW” means Megawatts. notified as such by Government of

6.24 “NSM” means National Solar Mission. Gujarat.

6.25 “NVVN” means NTPC VidyutVyapar 6.39 “Solar Park Developer” means a Nigam. person who develops and/ or

6.26 “NPV” means Net Present Value. maintains Solar Parks and also creates

6.27 “Obligated Entities” means entities and/ or maintains common obligated to fulfill the Renewable infrastructure facilities. Power Purchase Obligation as 6.40 “Developer/ Solar Power prescribed by GERC Developer”means anentity that

6.28 (This) “Policy” means Gujarat Solar makes an investment for setting up Power Policy‐2015. solar power project and generating

6.29 “PPA” means Power Purchase electricity from solar energy. Agreement. 6.41 “SPG” means Solar Power Generator.

6.30 “PV” means Photovoltaic(s). 6.42 “State” means State of Gujarat.

6.31 “Renewable attribute” means 6.43 “State Transmission Utility (STU)” renewable element of the solar means Gujarat Energy Transmission energy used for meeting RPO by Corporation Limited (GETCO). obligated entity or for generation of REC. 7 INSTALLED CAPACITY

6.32 “REC” means Renewable Energy Certificate. The Government of Gujarat anticipates

6.33 “RPO/ RPPO” means Renewable maximum participation from Investors in (Power) Purchase Obligation, which setting up MW‐scale solar projects under may also imply Solar Power Purchase solar photovoltaic (PV) and solar thermal Obligation for the purpose of this technologies. Besides, kilowatt (kW)‐scale Policy. solar projects in the form of solar rooftop

6.34 “RTU” means Remote Terminal Unit. systems shall be encouraged during the

6.35 “SECI” means Solar Energy Operative Period of this Policy.The Corporation of India. installation capacity targets for the

6.36 “SLDC” means State Load Dispatch StateDiscoms shall be as per the renewable Centre. power purchase obligation (RPO) defined by

6.37 “State Nodal Agency (SNA)” means the Gujarat Electricity Regulatory Bird‐eye view, Charanka Solar Park, Patan. GUJARAT SOLAR POWER POLICY‐2015 5 Commission (GERC), from time to time. 9.1.1 Eligible Entity for Rooftop PV Further, the State proposes to undertake system with net metering necessary activities and become an integral part of the National Solar Mission (NSM)in In addition to the general eligibility defined order to help the mission meet its goals. in Section 8 of this Policy, the Eligible Entity The minimum size of a MW‐scale project for the rooftop solar PV systems with net shall be 1 MW and that for a kW‐scale metering shall: project shall be 1 kW. i. own the rooftop solar PV system; ii. own or be in legal possession of the 8 ELIGIBLE ENTITY premises including the rooftop or terrace on which the entity intends to Any company or body corporate or install the PV system including the PV association or body of individuals, whether modules; incorporated or not, or artificial juridical iii. be a Consumer of the local DisCom, person shall be eligible for setting up of and the premises where the entity SPGs, either for the purpose of captive use intends to set up the rooftop and/ or for selling of electricity to the photovoltaic system shall be Distribution Licensee/ Third Partywhether connected to the DisCom’s grid; and or not under the renewable energy iv. consumeall of the electricity certificate (REC) mechanism in accordance generated from the rooftop solar PV with the Electricity Act‐2003, as amended system at the same premise. If the from time to time. Consumer is not able to consume all of the generated electricity in the The entity desiring to set up a solar power same premise, relevant provisions project shall submit a proposal, with defined in this Policy shall be requisite details to the State Nodal Agency applicable to the generated surplus (SNA), as may be specified by the SNA, for electricity. qualifying for the benefits/facilitation under this Policy. 9.1.2 For Residential and Government Consumers 9 PROJECT‐BASED PROVISIONS The following provisions shall be applicable to AND INCENTIVES Residential Consumers and Government Buildings:

9.1 Rooftop Solar PV Systems with CAPACITY Up to a maximum of 50% of Net Metering Consumer’s sanctioned load. TARIFF In case of net The State will facilitate rooftop solar PV import:Consumer’s existing systems with net metering ongovernment, tariff shall apply. residential, industrial and commercial In case of net export:Any surplus buildings. energy generated and exported after adjustment of consumptionat the end of the billing cycle shall be purchased GUJARAT SOLAR POWER POLICY‐2015 6 by the concerned DisCom at CROSS SUBSIDY Exempted on the generated APPC rate of the year in which SURCHARGE& solar power. the SPG is commissioned. ADDITIONAL METERING As per Central Electricity SURCHARGE Authority (Installation RPO The generated energy from the &Operation of Meters) SPG shall be credited towards Amendment Regulations, 2014 meeting the DisCom’s RPO. as amended from time to time. REC Not applicable as the generated Bi‐directional meter of same solar energy shall be used to accuracy class as the meet the DisCom’s RPO. Consumer’s meter existing CDM 100% retainedby the Consumer. before SPG installation shall be used. 9.1.3 For Industrial, Commercial and DEMAND CUT Not applicable. Other Consumers TRANSMISSION Not applicable as energy is CHARGE consumed at point of Industrial, Commercial and Other Consumers generation. shall be provided with two options for TRANSMISSION Not applicable as energy is contractual arrangement as a part of LOSS consumed at point of promotion for rooftop solar systems: generation. Type 1: shall utilize only the ‘energy’ attribute WHEELING Not applicable as energy is of the generated solar energy from the CHARGE consumed at point of rooftop solar PV system, and not utilize the generation. ‘renewable’ attribute forRPO or REC. WHEELING Not applicable as energy is LOSS consumed at point of Type 2: shall utilize both the ‘energy’ as well generation. as the ‘renewableattribute’ of the generated ENERGY Banking of energy shall be solar energy. ACCOUNTING allowed within one billing cycle Type2(a) wherein the ‘renewable attribute’ of the consumer. would be used to meet the Consumer’s RPO. ELECTRICITY Exempted on the generated DUTY solar power. Type 2(b) wherein the ‘renewable attribute’ would be used to get RE certificate under REC Mechanism. Rooftop PV installation, J M Bhavan, Gandhinagar. GUJARAT SOLAR POWER POLICY‐2015 7 CAPACITY Up to a maximum of 50% of the Type 2 Consumer: sanctioned load/ contract ABT‐compliant meter shall be demand of the Consumer. used. TARIFF For Type 1 Consumer: DEMAND CUT Exemption from demand cut up In case of net to 50% of the installed solar import:Consumer’s existing capacity, wherever technically tariff shall apply. feasible. In case of net export:‐surplus TRANSMISSION Not applicable as energy is solar energy generated and CHARGE consumed at point of exported after adjustmentof generation. consumptionat the end of the TRANSMISSION Not applicable as energy is billing cycle shall be purchased LOSS consumed at point of by the concerned DisCom at generation. APPC rate of the year in which WHEELING Not applicable as energy is the SPG is commissioned. CHARGE consumed at point of generation. For Type 2 Consumer: WHEELING Not applicable as energy is In case of net LOSS consumed at point of import:Consumer’s existing generation. tariff shall apply. ENERGY For Type 1 Consumer: In case of net export:surplus ACCOUNTING Banking of energy shall be solar energy generated and allowed within one billing cycle exported after adjustmentof of the Consumer, wherein set‐ consumption in 15‐minute time off may be given against energy blocks shall be purchased by the consumed at any time of the DisCom at the APPC rate of the billing cycle. However peak year in which the SPG is charges shall be applicable for commissioned for Type 2 (a); consumption during peak hours. and at 85% of APPC rate of the year in which the SPG is For Type 2 Consumer: commissionedforType 2(b). The solar energy generated shall be adjusted against METERING As per Central Electricity consumption in a 15‐minute Authority (Installation & time block. Surplussolar energy Operation of Meters) generated and exported during Amendment Regulations, 2014 a 15‐minute time block shall be as amended from time to time. purchased by the DisCom (i) for Type 2 (a) at the APPC rate of Type 1 Consumer: the year in which the SPG is The bi‐directional meter of same commissioned and, (ii) for Type accuracy class as the 2(b) at 85% of APPC rate of the Consumer’s meter existing year in which SPG is before SPG installation shall be commissioned. used. ELECTRICITY Exempted on the generated DUTY solar power. GUJARAT SOLAR POWER POLICY‐2015 8 CROSS SUBSIDY Type 1 Consumer: 9.2 Solar Projects for Captive SURCHARGE& Exempted on the generated Consumption ADDITIONAL solar power. SURCHARGE Solar projects set up for captive use, both Type 2 Consumer: directly or under the REC mechanism. Exempted on the generated solar power CAPACITY Up to a maximum of 50% of the RPO Type 1 Consumer: contract demand of the All the solar energy generated Consumer. by the SPG shall be credited TARIFF (i) Not applicable for self towards meeting the concerned consumption. DisCom’s RPO. (ii) Any surplus solar energy not consumed by consumer as per Type 2 Consumer: Energy Accounting shall be Type 2 (a) the solar energy purchased generated and consumed by the (a) at APPC rate of the year in Consumer during a 15‐minute which the SPG is time block shall be credited commissioned if the towards meeting the renewable attribute on solar Consumer’s RPO. Surplus solar energy is given to Discom. energy exported during the 15‐ minute time block and (b) at 85% of APPC rate of the purchased by the DisCom shall year in which the SPG is be credited towards meeting commissioned if renewable the DisCom’s RPO. attribute is not given to the Type 2(b) the solar energy Discom. generated in 15 time block shall METERING Using ABT‐compliant meter, at be considered for getting RE receiving end of STU substation/ Certificate. 11 kV system of DISCOM as case REC Type 1 Consumer: may be. Not applicable as the generated DEMAND CUT Exemption from demand cut up energy shall be credited towards to 50% of the installed capacity. meeting the DisCom’s RPO. TRANSMISSION As applicable to normal Open‐ CHARGE Access Consumer determined by Type 2 Consumer: GERC, as amended from time to Type 2 (a) The solar energy time. consumed by consumerduring TRANSMISSION As applicable to normal Open‐ the 15‐minute time block shall LOSS Access Consumer determined by be credited towards meeting GERC, as amended from time to consumer’s RPO. time. Type 2 (b) The SPG may avail RE WHEELING For the project not registered certificate for entire net CHARGE under REC – 50% of Wheeling generation. charges applicable to normal CDM 100% retainedby the Open‐Access Consumer Consumer/generator. determined by GERC, as GUJARAT SOLAR POWER POLICY‐2015 9 amended from time to time. CROSS SUBSIDY Exempted. SURCHARGE & For the project registered under ADDITIONAL REC– Wheeling charges SURCHARGE applicable to normal Open‐ RPO (i) Case 1: If not registered Access Consumer determined by under REC mechanism: If the GERC, as amended from time to Consumer does not use the renewable attribute of solar time. energy for meeting its RPO, the WHEELING For the project not registered generated solar energy shall be LOSS under REC – 50% of Wheeling used for meeting the DisCom’s losses as applicable to normal RPO. Open‐AccessConsumer determined by GERC, as (ii) Case 2(a): Consumer who amended from time to time. set up SPG for meeting its own RPO will get the RPO credit to For the project registered under the extent of the solar energy REC– Wheeling losses as consumed by it. However, applicable to normal Open‐ Discom shall get RPO credit for Access Consumer determined by surplus solar energy (after 15 GERC, as amended from time to minutes cycle adjustment) time purchased by it at APPC of the ENERGY If not registered under REC year in which the SPG is ACCOUNTING mechanism: commissioned. (i) Case 1: If the Consumer does not take renewable attribute of Case 2 (b) If registered under solar energy for meeting its REC mechanism: Not applicable, RPO, banking of the energy shall as REC will be claimed. be allowed within the Consumer’s billing cycle, REC If not registered under REC wherein set‐off may be given mechanism:Not applicable. duringa billing cycle. However, If registered under REC peak charges shall be applicable mechanism:REC shall be claimed for consumption during peak by the Developer, i.e. Consumer. hours. (ii) Case 2 (a) : If the Consumer CDM 100% retained by the takes renewable attributes of Developer. the solar energy consumed for meeting its RPO, then energy accounting shall be based on 15

9.3 Solar Projects with Sale of minute time block‐basis. Power to DisComs Case 2 (b) If registered under DisComs, in order to meet their RPO, may RECmechanism: Energy purchase solar power, both PV and solar accounting shall be based on 15 thermal, from Developers at a power minute time block‐basis. purchase rate determined through competitive bidding. ELECTRICITY Exempted on the generated DUTY solar power CAPACITY Overall capacity: Based on year‐ GUJARAT SOLAR POWER POLICY‐2015 10 on‐year RPO targets set by GERC CROSS SUBSIDY Exempted on the generated from time to time. SURCHARGE& solar power. TARIFF Shall be decided through ADDITIIONAL competitive bidding. SURCHARGE METERING Using ABT‐compliant meter, at RPO The energy generated by the receiving end of STU substation/ SPG and procured by the of 11 kV systems of DISCOMs, as DisCom shall be credited case may be. towards the DisCom’s RPO. DEMAND CUT Not applicable. REC Not applicable as the procured TRANSMISSION As applicable to normal Open‐ energy would be credited to the CHARGE Access Consumer determined by DisCom’s RPO. GERC, as amended from time to CDM Since tariff is determined time. through Competitive bidding, TRANSMISSION As applicable to normal Open‐ the SPG shall retain 100% of the LOSS Access Consumer determined by CDM benefits. GERC, as amended from time to time. 9.4 Solar Projects under REC WHEELING Mechanism with Sale of CHARGE As applicable to normal Open‐ Power to DISCOMs at APPC Access Consumer determined by GERC, as amended from time to Solar Developers may set up solar power time. projects under the REC mechanism. The WHEELING As applicable to normal Open‐ Developers shall be required to apply for LOSS Access Consumer determined by accreditation to the State Nodal Agency and GERC, as amended from time to thereafter to the Central Agency for time. registration and issuance of certificates ENERGY Energy settlement shall be on a under the REC mechanism. The ACCOUNTING 15‐minute time block‐basis. administrative procedure, as decided by the ELECTRICITY Exempted on the generated Central Electricity Regulatory Commission DUTY solar power. (CERC), and as amended from time to time, shall be followed. The power generated from these projects maybe purchased through long term PPA by DisComsas A PV Power Project at Charanka, Patan. GUJARAT SOLAR POWER POLICY‐2015 11 subject to their power requirement at APPC REC Shall be claimed by Solar rate of the year in which the SPG is Developer/SPG. commissioned. CDM As per GERC order, as amended from time to time. CAPACITY Overall capacity: As determined by DisComs from time to time

9.5 Solar Projects with Sale of based on their energy requirement. Power under NSM Minimum project size: 250 kW, Solar power projects may be set up under or as specified by REC NSM with sale of power to SECI, NVVN, or Regulations. any other such designated agencies. TARIFF APPC rate of the year in which the SPG is commissioned. CAPACITY (i) In case power is exported METERING Using ABT‐compliant meter, at outside the State / Sale of receiving end of STU substation/ power to Disocms in the State ‐ 11 kV system of DISCOMs as the As specified in the scheme case may be. publicized by MNRE, SECI, DEMAND CUT Not applicable. NVVN, or any other such bid TRANSMISSION As applicable to normal Open‐ processing organization from CHARGE Access Consumer determined by time to time. GERC, as amended from time to (ii) In case power is sold within time. the State to the consumers – Up TRANSMISSION As applicable to normal Open‐ to a maximum of 50% of the LOSS Access Consumer determined by sanctioned load/ contract GERC, as amended from time to demand of the Consumer. time. TARIFF (a) For sale to outside State WHEELING As applicable to normal Open‐ or DISCOMS within State:‐ CHARGE Access Consumer determined by Determined through tariff‐ GERC, as amended from time to based Competitivebidding or time. any other determined tariff by WHEELING As applicable to normal Open‐ the bid processing LOSS Access Consumer determined by organization. GERC, as amended from time to (b) Sale to consumers time. within State: ENERGY Accounting based on 15‐minute (i) Mutually agreed‐upon tariff ACCOUNTING time block‐basis. between the Developer and the ELECTRICITY Exempted on generated solar buyer/Consumer for the energy DUTY power. consumed by buyer/consumer. CROSS SUBSIDY Not applicable. (ii) Any surplus solar energy not SURCHARGE& consumed by buyer/consumer ADDITIONAL as per Energy Accounting shall SURCHARGE be purchased by Discom RPO Not applicable as REC would be (a) at APPC rate of the year in claimed by Solar Developer / which the SPG is SPG. commissioned if renewable GUJARAT SOLAR POWER POLICY‐2015 12 attribute is given to Discom; consumed at any time of the billing cycle. However peak (b) at 85% of APPC rate of the charges shall be applicable for consumption during peak hours. year in which the SPG is commissioned if renewable ii)Case 2 (a) : If the Consumer attribute is not given to the takesrenewable attribute of the Discom. solarenergy consumed for meeting its RPO, thenenergy METERING Using ABT‐compliant meter, at accounting shall bebased on 15‐ receiving end of STU substation/ minute timeblock‐basis. 11 kV system of DISCOM as the (iii)Case-2 (b) If registered case may be. under RECmechanism: DEMAND CUT Not applicable. Energy accountingshall be based TRANSMISSION As applicable to normal Open‐ on 15‐minute timeblock‐basis. CHARGE Access Consumer determined by GERC, as amended from ELECTRICITY Exempted on the generated time to time. DUTY solar power. TRANSMISSION As applicable to normal Open‐ CROSS SUBSIDY (a) Not applicable if sale of LOSS Access Consumer determined by SURCHARGE & power is outside State or to GERC, as amended from time to ADDITIONAL Discoms within the State. time. SURCHARGE (b) Sale to consumers within WHEELING As applicable to normal Open‐ State: CHARGE Access Consumer determined by (i) For the projects not GERC, as amended from time to registered under REC‐ 50% of time. surcharge as applicable to WHEELING As applicable to normal Open‐ normal Open‐Access Consumer LOSS Access Consumer determined by determined by GERC, as GERC, as amended from time to amended from time to time. time. (ii) For the projects registered ENERGY (1)Sale to outside state and under REC‐ as applicable to ACCOUNTING Discoms within State: normal Open‐Access Consumer Accounting based on 15‐minute determined by GERC, as time block‐basis. amended from time to time. (2)Sale to consumers within State:‐ RPO (a)For sale to outside State or (i)If not registered under DISCOMS within State:As RECmechanism: specified in the scheme. iCase 1: If the Consumer does (b)Sale to consumers within not take credit of the generated State: solar energy for meeting its RPO (i) Case 1: If not registered under and the Discom is given the REC mechanism:If the Consumer renewable attributes, the does not use the generated adjustment of energy shall be allowed within the Consumer’s solar energy for meeting its billing cycle, wherein set‐off RPO, the generated solar energy may be given against energy shall be credited towards GUJARAT SOLAR POWER POLICY‐2015 13 meeting the DisCom’s RPO. between the Developer and the (ii) Case 2(a) Surplus solar Consumer for the energy energy purchased by Discoms at consumed by consumer. APPC rate of the year in which (ii) Any surplus solar energynot the SPG is commissioned shall consumed by consumer as per be credited towards meeting Energy Accounting shall be the DisCom’s RPO. purchased‐ (c) at APPC of the year in which (iii) Case 2 (b) If registered the SPG is commissioned if under REC mechanism:Not the renewable attribute on applicable, as REC will be solar energy is given to claimed. Discoms. (d) at 85% of APPC of the year REC (a)For sale to outside State or in which the SPG is DISCOMS within State:As commissioned if renewable specified in the scheme. attribute is not given to the (b) Sale to consumers within Discom. State: METERING Using ABT‐compliant meter, at If not registered under REC receiving end of STU substation/ mechanism:Not applicable. 11 kV system of DISCOMs as If registered under REC case may be. mechanism: REC shall be DEMAND CUT Exemption from demand cut up claimed by the Developer / SPG to 50% of the installed capacity in case of Third‐Party sale. CDM (a)For sale to outside State or TRANSMISSION As applicable to normal Open‐ DISCOMS within State: As CHARGE Access Consumer determined by specified in the scheme. GERC, as amended from time to (b) Sale to consumers within time. State:As per the mutual TRANSMISSION As applicable to normal Open‐ agreement between the LOSS Access Consumer determined by Developer and Consumer. GERC, as amended from time to time. WHEELING As applicable to normal Open‐

9.6 Solar Projects with Sale of CHARGE Access Consumer determined by Power to Third Party under GERC, as amended from time to time. Open‐Access WHEELING As applicable to normal Open‐ Solar Developers may set up SPGs for sale of LOSS Access Consumer determined by power to Third Parties under Open‐Access, GERC, as amended from time to both directly or under the REC mechanism. time. ENERGY If not registered under REC ‘CONTRACTED’ Up to a maximum of 50% of the ACCOUNTING mechanism: CAPACITY sanctioned load/ contract (i) Case 1: If the Consumer demand of the Consumer. doesnot take credit of the generated solarenergy towards TARIFF (i) Mutually agreed‐upon tariff GUJARAT SOLAR POWER POLICY‐2015 14 its RPO and renewable attribute amended from time to time. is given to the discom, theadjustment of energy shall RPO (i) Case 1:If not registered under beallowed within REC mechanism:If the Consumer theConsumer’s billing cycle,wherein set‐off may be does not intend to take credit of givenagainst energy consumed the generated solar energy atany time of the billing towards its RPO, the generated cycle.However peak charges solar energy shall be credited shallbe applicable towards meeting the DisCom’s forconsumption during RPO. peakhours. (ii) Case 2(a): Consumer who set (ii) Case 2 (a) : If the Consumertake Credit of the up SPG for meeting its own RPO solarenergy consumed towards will get the RPO credit to the its RPO, thenenergy accounting extent of the solar energy shall bebased on 15‐minute consumed by it. However, timeblock‐basis. Discom shall get RPO credit for (iii) Case-2 (b):If registered surplus solar energy (after 15 under RECmechanism: Energy accountingshall be based minutes cycle on 15‐minute timeblock‐basis. adjustment)purchased by it at ELECTRICITY Exempted on the generated APPC of the year in which the DUTY solar power. SPG is commissioned. CROSS SUBSIDY For the projects not registered (iii) Case 2 (b) If registered under SURCHARGE& under REC‐ 50% of surcharge REC mechanism:Not applicable, ADDITIONAL applicable to normal Open‐ as REC will be claimed. SURCHARGE Access Consumer determined by REC If not registered under REC GERC, as amended from time to mechanism:Not applicable. time. If registered under REC mechanism: REC shall be For the projects registered claimed by the Developer / SPG. under REC‐ as applicable to CDM As per the mutual agreement normal Open‐Access Consumer between the Developer and determined by GERC, as Consumer. GUJARAT SOLAR POWER POLICY‐2015 15 Solar Collectors for 100 TR Solar Air‐conditioning System at Muni Seva Ashram, Vadodara.

9.8 Stand‐alone PV Systems and

9.7 Agriculture Solar Pumps Home Lighting System

9.7.1 Gujarat has considerable deployment 9.8.1 The State will facilitate decentralized of irrigation pump sets. Taking this and off‐grid solar applications as into consideration the State per guidelines of the State Government in collaboration with Government/ MNRE to meet the Central Government/ MNRE/ various electrical and thermal MoP/ Multilateral Agencies will energy requirements for domestic undertake measures to provide and other purposes. The State has solar powered pump sets through also taken up an initiative for home subsidy support. lighting systems for isolated and

9.7.2 In case of surplus power generation scattered houses in extremely from the solar pump sets, the remote areas where grid DisComs may buy this surplus solar connection is not currently feasible. energy at APPC rate of the year in 9.8.2 SNA shall determine the capacity of which the solar pump set is the projects from time to time in commissioned. consultation with the Energy and

9.7.3 The State Governmentwill launch Petrochemicals Department, schemes after determining the Government of Gujarat. subsidy amount and the individual 9.8.3 RECs may also be claimed if the as well as total capacity of the solar systems qualify under the REC irrigation pump sets from time to Regulations at any point in time. If time. no REC is claimed, the solar energy

9.7.4 The solar energy generated by the generated by such systems shall be irrigation pump sets shall be credited towards the DisCom’sRPO. credited towards the DisCom’s RPO.

9.9 Canal‐top and Canal‐bank Solar PV Projects

9.9.1 Gujarat was the first State to realize the innovative canal‐top project of GUJARAT SOLAR POWER POLICY‐2015 16 Narmada Canal‐top Project, Chandrasan, Mehsana. 1 MW on a Narmada branch canal

9.11 Other Schemes at Chandrasan, Mehsana and 10 MW at Vadodara. Such projects The State promotes solar cooking systems address three major objectives: not only a bid for a cleaner environment but saving of land, saving of water and also to promote a healthy standard of living. generation of clean energy. The Similarly, the State also encourages the use State may continue to facilitate of solar hot water systems owing to their such initiatives on canal tops as well energy saving potential and economic as canal banks. payback. The State Nodal Agency, among

9.9.2 All provisions related to transmission other agencies, may undertake schemes to and wheeling charges/ losses, promote solar cooking and water heater energy accounting, RPO/ REC, etc. systems. of this Policy shall also be applicable to canal‐top and canal‐base projects 10 LAND FOR SOLAR PROJECTS as per the respective project categories indicated in this Policy. The Solar Project Developer shall be

9.9.3 All incentives provided by MNRE shall responsible for obtaining the land for be applicable to such projects. setting up and operating solar power project.

9.10 Technology Demonstration Projects 11 GRID CONNECTIVITY AND The State, in its bid to promote innovation EVACUATION FACILITIES in clean energy, welcomes proposals for innovative technology demonstration projects. The proposals will be vetted on 11.1 Grid Integration their techno‐commercial merit and if found

11.1.1 Grid stability and security is of suitable, will be supported for prime importance. Since the demonstration by extending various penetration of infirm nature of provisions of this Policy. renewable energy may endanger grid security, adequate protection measuresare necessary. The Central Electricity Authority (CEA), GoI has GUJARAT SOLAR POWER POLICY‐2015 17 published a Gazette Notification No 11.2 Grid Connectivity 12/X/STD/CONN/GM/CEA dated October 15, 2013 known as the 11.2.1 The respective evacuation facility Central Electricity Authority shall be initially approved by CTU/ (Technical Standards for STU/ DisCom depending on connectivity to the Grid) injection level after carrying out Amendment Regulations, system studies. 2013,specifying various technical 11.2.2 For start‐up, stand‐by and auxiliary requirements for grid connection of power requirement, the same shall renewable energy sources. These be governed by GERC regulations regulations and provisions of and orders. gridcode shall be binding to the 11.2.3 No parallel operation charges shall Solar Project Developers and SPGs. be applicable to the SPG.

11.1.2 Interconnection voltages: 11.2.4 Connectivity charges to be paid to DisCom shall be INR 5,000/‐ per PROJECT CAPACITY INTERCONNECTION project for capacities less than 100 (C) SPECIFICATION kW. For capacities of 100 kW and 1 kW < C < 6 kW 230 V, 1φ, 50 Hz above, normal connectivity charges 6 kW < C < 100 kW 415 V, 3φ, 50 Hz shall be applicable. 100 kW < C < 4 MW 11 kV, 3φ, 50 Hz C >4 MW 66/ 132/ 220/

11.3 Evacuation Facilities 400 kV, 3φ, 50 Hz

11.3.1 Within Solar Park

11.1.3 Interconnection voltages shall be Developer of Solar Project/ Solar Park shall governed as per Gujarat Electricity establish dedicated line for evacuation of Grid Code‐2013 and GERC’s orders, power up to STU/ CTU sub station and as amended from time to time. install RTUs etc. at their own cost. SPG shall be integrated to the grid by installing RTUs to enable real time monitoring of the GETCO Substation at Charanka Solar Park, Patan. GUJARAT SOLAR POWER POLICY‐2015 18 injection of power by SLDC. 12 METERING AND ENERGY a. Solar Project Developer/ Solar Park RECORDING Developer shall lay dedicated line for evacuation of power up to sub‐station

12.1 The electricity generated from the of STU/ 11 kV system of DisCom as SPGs, shall be metered on 15‐minute per system study by STU/ DisCom time block by where the Project Developer/ Solar STU/DisCom/SLDC/ALDC at the Park Developer desires to inject receiving end of the STU substation/ power in the State grid. From there 11 kV system of DisCom. For the onwards, STU/ DisCom shall ensure purpose of energy accounting, solar transmission/ distribution system and generating projects shall provide ABT‐ connectivity. compliant meters at the interface b. Solar Project Developer/ Solar Park points. Interface metering shall Developer shall lay dedicated line for conform to the Central Electricity evacuation of power up to CTU Authority (Installation and Operation interface/ substation as per system of Meters) Regulations 2014 and study by CTU if Project Developer/ amendment thereto. STU/ DisCom Solar Park Developer desires to inject shall stipulate specifications in this power directly in inter‐state regard. transmission system. From there

12.2 The metering of SPG for domestic onwards, CTU may ensure rooftop and government buildings, transmission system and connectivity shall be on net metering‐basis with inter‐state network wherever (bidirectional) or gross metering‐basis power is to be exported out of the (dual meter), as per specifications State. provided by the DisCom.

11.3.2 Outside Solar Park 13 SECURITY DEPOSIT To optimize costs, Common dedicated transmission line shall be encouraged for cluster of adjoining Developers with 13.1 In case, Obligated Entities decide to appropriate metering at their respective procure solar power from the Solar end of project as well as a common meter Project Developers and sign Power for such SPGs at the receiving end at CTU Purchase Agreement, the Developer Interface/ STU substation/ 11 kV system of shall be required to provide Bank DisCom. Energy injection by each SPG at the Guarantee@ INR 25 lakhs per MW for receiving end shall be worked out on the MW scale and proportionate amounts basis of meter reading of common meter for kW scale projects at the time of appropriately apportioned as per the signing of Power Purchase Agreement respective meter reading at the sending end with Obligated Entities. The bank meter of that SPG by SLDC. guarantee shall be refunded, if the developers achieve commercial operation within time period mentioned in Power Purchase Agreement. In case the Developer GUJARAT SOLAR POWER POLICY‐2015 19 fails to achieve commercial operation by such rules and regulations. as specified in the Power Purchase Agreement, the bank guarantee shall 15 REACTIVE POWER be forfeited.

13.2 In every case, whether Obligated Entity is procuring or not procuring The drawl of reactive power shall be solar power, SPGs shall submit charged as per the GERC order, as amended security deposit of INR 5 lakhs per from time to time. MW to STU/DisCom for ensuring speedy and timely completion of 16 OPERATION AND evacuation facility by SPG failing which bank guarantee may be MAINTENANCE OF DEDICATED forfeited. LINES 14 FORECASTING AND SCHEDULING The Operation and Maintenance of dedicated evacuation line shall be carried

14.1 The SPGs shall, for the time being, be out at the cost of the Solar Park/ Project/ exempted under scheduling Plant Developer as per applicable technical procedure for Intra State ABT. SPG standards and best practices. shall however abide by instruction of State Load Dispatch Centre. 17 RESTRICTIONS

14.2 The actual energy injected in the grid during particular time block of 15

17.1 Only New Plant and Machinery shall minutes shall be post‐facto be eligible for installation under this considered available for drawl Policy. After commissioning of solar schedule for sale of power to DisCom/ project (rooftop or ground mounted), Third Party or for giving set‐off the installation shall not be allowed to against the consumption of recipient be transferred inter se or from one unit in case of wheeling. location to another.

14.3 As and when forecasting and

17.2 No fossil Fuel viz. coal, gas, lignite, oil, scheduling mechanism is made naphtha etc. shall be allowed to be applicable to Solar Power projects, used in Solar Thermal Power Projects, these Solar Power projects shall abide beyond the ceiling allowable under 1 MW Multi‐Technology PV Power Plant, Pandit Deendayal Petroleum University, Gandhinagar. GUJARAT SOLAR POWER POLICY‐2015 20 MNRE guidelines. 19.2 Electronics Policyfor the State of Gujarat (2014‐19) 18 STATE NODAL AND The Government of Gujarat has also FACILITATING AGENCIES launched the “Electronics Policy for the State of Gujarat (2014‐19)” (Department of

18.1 State Nodal Agency Science and Technology) which supports facilitation for setting up semiconductor Gujarat Energy Development Agency wafer facilities. It also extends benefits for (GEDA) shall act as the Nodal Agency for: solar cell manufacturing, solar modules and panel manufacturing, solar lanterns/ lamps

18.1.1 Registration of projects; manufacturing and all the systems and

18.1.2 Facilitating approval of power devices that come under the purview of evacuation plans etc.; solar technology.

18.1.3 Respond to queries and problems of Developers; and

19.3 Modified Special Incentive

18.1.4 Accreditation and recommending the solar power project for Package Scheme (M‐SIPS) of registering with Central Agency Government of India under REC mechanism. The Government of India has launched the

18.2 Facilitating Agency Modified Special Incentive Package Scheme (M‐SIPS) to provide incentives and attract Gujarat Power Corporation Limited (GPCL) investments in electronic systems design or any other agency notified by State and manufacturing industries. These Government for development of Solar Park industries include manufacturing of shall act as the Facilitating Agency. polysilicon, ingots and wafers, crystalline/ polycrystalline cells and modules, thin‐film modules, transformers and allied 19 OTHER RELEVANT POLICIES AND electronics. The manufacturer/ Developers INCENTIVES may avail the benefits of this scheme.

19.1 Gujarat Industrial Policy 2015 20 REGULATION The Government of Gujarat has launched The Hon’ble Gujarat Electricity Regulatory the “Gujarat Industrial Policy 2015” Commission shall be guided by this Policy (Industries and Mines Department) and while framing its rules, regulations and envisions to boost the renewable sector orders. through its provisions. This policy promotes the “Make in India” campaign and provides for subsidy benefits, simplification of 21 MID‐TERM REVIEW procedures, strengthening single window system, etc. to manufacture in the State. State Government may undertake a mid‐ term review of this policy after a period of 2 years or as and when the need arises in view GUJARAT SOLAR POWER POLICY‐2015 21 of any technological breakthrough or to interpretation to remove such difficulties remove any difficulties or inconsistency with either on its own volition or based on Electricity Act 2003, as amended from time representations from stakeholders. to time. 23 POWER TO INTERPRET 22 POWER TO REMOVE DIFFICULTIES If there is any confusion or dispute about the meaning, intent or purpose of any provision of this Policy, the interpretation If any difficulty arises in giving effect to this given by Energy & Petrochemicals Policy, State Government may issue Department, Government of Gujarat shall be necessary orders or clarification/ final and binding to all concerned. This issues with the concurrence of the Finance Department dated August 13, 2015 on the Department’s file of even number. By order and in the name of the Governor of Gujarat. (Smt. Shobhana Desai) Additional Secretary to the Government of Gujarat Energy and Petrochemicals Department Copy to: - *The Principal Secretary to H.E. The Governor of Gujarat, Raj Bhavan, Gandhinagar. - The Secretary, Ministry of Power, GoI, Shram Shakti Bhavan, New Delhi - The Secretary, Ministry of New & Renewable Energy, CGO Complex, New Delhi - The Principal Secretary to the Hon. C. M., Sachivalaya, Gandhinagar - The P.S. to Hon. MOS (E&P), Sachivalaya, Gandhinagar - The Secretary, CERC, New Delhi - The Chairman, Central Electricity Authority, New Delhi - The Deputy Secretary to the Chief Secretary, Sachivalaya, Gandhinagar GUJARAT SOLAR POWER POLICY‐2015 22 - The Secretary, GERC, Gift City, Gandhinagar - *The Registrar, Gujarat High Court, Ahmedabad - *The Secretary, Vigilance Commission, Gandhinagar - The Principal Secretary, Finance Department, Sachivalaya, Gandhinagar - The Resident Commissioner, Gujarat State, New Delhi - *The Secretary, Gujarat Legislature Secretariat, Sachivalaya, Gandhinagar - All Departments of Secretariat, Sachivalaya, Gandhinagar - All Branches of Energy & Petrochemicals Department - The Chairman, Power Finance Corporation Limited, New Delhi - The Chairman & Managing Director, Gujarat Power Corporation Ltd. Gandhinagar - The Chairman, Gujarat Urja Vikas Nigam Limited, Vadodara - The Managing Director, Paschim Gujarat Vij Company Limited, Rajkot - The Managing Director, Gujarat State Electricity Corporation Limited, Vadodara - The Managing Director, Gujarat State Generation Limited, Gandhinagar - The Managing Director, Uttar Gujarat Vij Company Limited, Mehsana - The Managing Director, Madhya Gujarat Vij Company Limited, Vadodara - The Managing Director, Dakshin Gujarat Vij Company Limited, Surat - The Managing Director, Gujarat Energy Transmission Corporation Limited, Vadodara - The Director, Gujarat Energy Development Agency, Gandhinagar - The Chief Executive Officer, Torrent Power Limited, LalDarwaja, Ahmedabad - The Managing Director, Gujarat Paguthan Energy Corporation Pvt. Ltd., Ashram Road, Ahmedabad - The National Thermal Power Corporation Limited, Zanor, Gandhar, Dist. Bharuch - The National Thermal Power Corporation Limited, Kawas, Hazira, Gandhar, Dist. Surat *By Letter ‐‐‐‐‐ GUJARAT SOLAR POWER POLICY‐2015 23