On Wednesday, Prime Minister Narendra Modi called on each State to have at least one 'solar city' whose electricity needs will be met entirely by solar power on the rooftop.
The call came during a review of the power ministries' function and the new and renewable energies, a statement from the government said.
“He (PM) also emphasized on an innovative model for rooftop solar and desired that each state should have at least one city (either a capital city or any renowned tourist destination)" that will be a “fully solar city through rooftop solar power generation", the statement said.
The move could add height to India 's reputation as a global champion of renewable energy, as the analysis also centered on building an ecosystem for ingots, wafers, cells and modules manufacturing in India.
This ties in India 's efforts to become an integral part of the global supply chains, as businesses are looking to move production lines out of China due to the disruption caused by the coronavirus pandemic.
“Emphasis was also made on ecosystem development for manufacturing of ingots, wafers, cells and modules in India, which would also help generate employment, in addition to various other advantages," the statement said.
India is host to the world's largest renewable energy programme, promising to have clean energy potential of 175GW by 2022, including 100GW from solar projects. The total Solar Power capacity is 33GW.
India is also embarking on reforms in the next generation power market, including the introduction of a Direct Benefit Transfer (DBT) scheme to better reduce subsidies and a new tariff strategy, which proposes a cost-reflective tariff, fines for unjustified power cuts and restrictions on cross-subsidies.
A cost conscious tariff system is aimed at helping electricity distribution firms, or discoms, understand the true cost of power generation.
“Policy initiatives including revised Tariff Policy and the Electricity (Amendment) Bill 2020, to redress the problems afflicting the power sector were discussed," the statement said.
The Government has prepared a package of steps indicating its plan to use the coronavirus crisis to implement changes in the power sector. The government has lobbied for a cost-reflective tariff in the draft Electricity Act (Amendment ) Bill 2020 and created an Electricity Contract Compliance Authority to enforce Power Purchase Agreements (PPAs). On 18 February Mint reported on proposals by the Union government to set up a new tribunal to impose PPAs alone.
“PM emphasized the need to enhance consumer satisfaction while increasing operational efficiency, and improving financial sustainability of the power sector," the statement added.
