PEDA- PRESENTATION ON

DEVELOPMENT OF NEW & RENEWABLE ENERGY IN THE STATE OF PUNJAB

Punjab's solar mission was recognized by Hon’ble Prime Minister Narendra Modi with the best performing state award in renewable energy capacity building at the inaugural session of the First Renewable Energy Global Investors' Meet and Expo - 2015 in New Delhi - TOI

Mohali

Chandigarh Ludhiana

Amritsar

Bathinda

Pathankot

Mohali

International Airport

Domestic Airport

• One of the best Rail and Road transport networks

• High quality Road Density: 133 Km per 100 Sq Km

• Proposed Amritsar - Delhi - Kolkata Industrial Corridor

• Abundant, Affordable & Quality Power

• 2 International Airports – Amritsar & Mohali

• 3 Domestic Airports – Bathinda, Ludhiana & Pathankot

• 13 container freight stations/ ICDs for export - import logistics

Power Surplus

State 12,054 MW in 2016-17

PAN PUNJAB

Power Transmission

Network 400 KVA Ring – First in country

ROBUST

INFRASTRUCTURE

GATEWAY To The Region

Robust INFRASTRUCTURE

Abundant SKILLS &

ENTERPRISE

Attractive INCENTIVES

Ease of DOING Business

Solar Power

Projects

Bio-CNG

Projects

Biomass Power

Projects

Bio-Fuel

Projects

Mini/Small Hydro

Projects

Waste To Energy

Projects

Biomass Co-generation Power

Energy Conservation

SOLAR 330 Days of sunshine

BIOMASS 21 Million Tones of agriculture residue per

annum

SMALL HYDEL Canal network of 5000 Km

Clean Energy Target

6.9 GW by 2030

GOAL ADVANTAGE

NRSE Policy

2012

Industrial Policy-

2013

Net Metering

Policy

SUPPORT

KEY MODEL - Setting up of RE Projects on Build, Own & Operate basis by project developers

FISCAL

Electricity Duty Exemption

Octroi Exemption (NRSE Fuel)

VAT Exemption on manufacturing & sale of NRSE machines/devices required for NRSE project

Stamp Duty Exemption & Entry tax Exemption

CLU of agricultural land and no charges

Pollution Clearances Exempted

No parallel operation charges

NON - FISCAL

Land Availability

Power Wheeling charges exempted

INCENTIVES

Punjab Solar Power

2017

1000MW

2013

9 MW

Best State Award for solar Energy Capacity Addition

BIOMASS POWER

SOLAR POWER

SMALL HYDEL POWER

WASTE TO ENERGY

CO-GENERATION POWER

INSTALLED CAPACITY

MISSION 2030

4900 MW 797 MW

950 MW 63 MW

350 MW 145 MW

20 MW 1 MW

775 MW 410 MW

1.4 GW 6.9 GW

RPO Year Energy

available to

PSPCL (MU's)

Solar RPO(%) Solar MU's

required

Solar MW's

required

MNRE Target to

achieve 8.5% Solar

RPO

2016-17 36785 2.75 1012 679

2017-18 38303 4.75 1819 1222

2018-19 39866 6.76 2691 1807

2019-20 41476 7.30 3028 2033

2020-21 43134 8.00 3451 2317

2021-22 44842 8.50 3812 2559

Solar PV

Projects

Ground Mounted

Canal Mounted

Roof Top

Mounted

Gross

Metering

Net

Metering

• PPA of 25 Years • PPA has LC & ESCROW payment

security mechanisms • PSPCL clear dues in 60 Days • PSPCL has A+ credit rating by ICRA

PPA – Purchase Power Agreement; PSPCL – Punjab State Power Corporation Limited; LC – Letter of Credit

Solar PV

Projects

Ground Mounted

Roof Top

Mounted

Gross

Metering

Canal Mounted

• 59.5 MW CAPACITY COMMISSIONED

• 723.5 MW COMMISSIONED

• 200 MW UNDER CONSTRUCTION

• Repeated participation & investment by Satisfied

Investors

NET METERING POLICY

• Consumers generate their own electricity by installing a solar power plant on the roof,

open spaces or walls of the building.

• The generated power is first used in the building as per the requirement and surplus

power is fed into the grid of PSPCL(Punjab State Power Corporation Ltd).

• During winter the energy will be banked with PSPCL which will be settled in summer in

the settlement period of October to September every year. Under this policy, the

consumer will get net bill after the adjustment of import and export of power.

• Punjab Government has set a target of 200MW by the year 2022.

GROSS METERING

• The power is generated by installing solar power plant on the roof, open spaces and generated power is fed into the grid

of PSPCL by the generator at a tariff fixed by PSERC (Punjab State Energy Regulation Commission).

CAPTIVE METERING

• The generated power is consumed by the building and there is no Import and export of power to the grid. .

• 182 MW under installation

Biomass Power Projects Biomass Co-generation Bio-ethanol Projects

• 63 MW Biomass IPP’s & 410 MW Cogeneration Installed

• Per MW Investment is Rs.5-6 Cr (Rankin Cycle)

• 21 million tons of Biomass waste per annum

• 50 MW under installalation

• MOU signed with Verbio &

CVC Infra

• DPR being submitted

• MOU signed with CVC-BETA RENEWABLES Infra for 3

Bio-refinery projects

• MOU signed with Verbio, Germany for 1 Bio-refinery

project

• Projects based on Rice straw as feedstock

• Power Generation , Bio-Ethanol , Bio-manure

Domestic

Commercial

Agriculture

Industrial

Transportation

Potential for

Energy Saving

20-25%

INVESTMENT OPPORTUNITY

Rs.5.5 Billion (USD 0.09 Billion)

Key Areas

• LED Lightening • Star rated Water Pumps

PEDA Office Chandigarh; First 5 star power efficiency rated building in North India

Institutes Number Capacity Courses offered

Engineering colleges 101 43,784 35

Polytechnics 181 62,700 29

ITIs 378 62000+ 91

World Class Institutes In The Region

Abundant Skills &

Enterprise

NIT, Jalandhar

IIT, Ropar

PTU, Jalandhar

IISER, Mohali

GNDU, Amritsar

PU, Chandigarh

Patiala

Patiala

Mohali

PEC, Chandigarh LPU, Jalandhar UBS, Chandigarh

Mohali

PU, Patiala NIPER, Mohali

NABI, Mohali

• Retention based recovery of Fixed Capital Investment

• Independent of State machinery 50-90% Retention

VAT and CST Incentive

Landmark Incentives

Other Incentives

50-100% exemption

Electricity Duty Incentive Stamp Duty Incentive Property Tax Incentive

50 - 100% exemption 50-100% exemption

Fiscal Incentives (FIIP – 2013)

W E L C O M E I N V E S T O R

Regulatory Clearances Fiscal Incentive Approvals

Punjab Bureau of Investment Promotion

• Single office

• Single level of approval

• Single application CAF

(online)

• Single time document

submission

• Single communication channel

Ease of Doing Business

• Liberal Goods and Service Tax regime for NRSE

• Strong RPO enforcement through penal mechanism by regulator

• RE grid integration issues and infirm power balancing

• RE Power online generation / data management by SLDC

• Grid Code up-gradation for assimilating higher RE power share

• Surplus power scenario and assimilation of RE Power

• Role of Regulator and timely notification of RE-tariff

• State RPO fixation as per latest amended tariff policy

• Regime for third party interastate open access for RE Power

• RE Roadmap for 2030

THANKING YOU