JNNSM Draft policy guidelines for Phase 2 released..

The wait for the JNNSM Phase 2 guidelines seems to be over. The MNRE has released the draft guidelines. Please note that this is only a draft document and final decision on certain key issues are awaited.The draft can be accessed here.
Some of the highlights from the document are reproduced below.
a. Target for Phase 2(2012-17)  – 10 GW cumulative capacity addition in utility scale and 1 GW in off-grid. Of this, 4 GW will be under the central scheme and 6 GW under the various state initiatives. The 6 GW under the state initiatives will be met by the enforcement of Renewable Purchase Obligations(RPO).
The breakup between PV and CSP for the states is given below.

The timeline for achieving the targets under the central scheme is given below.

b. Financing: Implementation of Phase-II will have to be rely upon combination of various schemes like Generation Based Incentive (GBI), Viability Gap Funding (VGF) and Bundling schemes.
i. Bundling – The target under bundling will be finalised based on deliberations with Ministry of Power(MoP), but it is unlikely to be significant due to the limited availability of conventional power from unallocated central quota.
ii. GBI – Total target will be 60 MW. Only states that did not get allotment under the first phase of the GBI scheme will be eligible for this scheme. GBI assistance from the MNRE will be about Rs. 2-3 /kWh.
iii. VGF – This will be the most prevalent mechanism under the phase 2. Under this option, bidders would bid for viability gap funding requirement in Rs/MW and the bidder with minimum VGF requirement would be selected. The funding is proposed to in 3 tranches
• 25% at the time of delivery of at least 50% of the major equipment at the site. This would be based on the cost of total procurement.
• 50% on successful commissioning of the full capacity of the plant
• Balance 25% after one year of operation meeting requirements of generation as per guidelines.
c. Rooftop Installations – Target of 1 GW through both grid-connected and off-grid rooftop systems.
d.Domestic content requirement – 6 options proposed, but the final decision yet to be made.
e. Development of Solar parks – States to be encouraged to set up solar parks of at least 250 MW in an area of 600 Hectares with GHI of at least 5 kWh/sq.m.
f. Off-grid systems
The upper limit for off-grid systems eligible for subsidy has been increased to 500 kWp. Please click here for the updated benchmark price for off-grid systems.
Other highlights for off-grid systems are given below.

The details of some of the state policies can be accessed below.
1. Tamil Nadu- Click here.
2. Andhra Pradesh – Click here.
3. Rajasthan – Click here.
4. Kerala and Gujarat rooftop PV policy comparison – Click here.

1 thought on “JNNSM Draft policy guidelines for Phase 2 released..”

  1. Pingback: Tamil Nadu – Bid document for 1000 MW released | RESolve Energy Consultants

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