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Solar Energy sector in India: Table of Contents S. No I. 1. 1.1. 2. 2.1 2.1.1. 2.1.2. 2.1.3. 2.2. 2.2.1. 2.2.2. 3. 3.1.

3.2. 3.2.1. 3.2.2. 3.3. 3.3.1. 3.3.2. 3.3.3. 3.4. 3.5. 3.6. 4. 4.1. 4.2. 4.3. 5. Topic Executive Summary Energy Scenario in India Renewable Energy in India Current Status of Solar Energy in India Installed Capacity Growth in Thermal Capacity Growth in Photovoltaic Capacity Region wise break up of Installed Capacity Generation Trends in generation; 2005-2012 Region wise break up of generation Government Initiatives Rural Electrification Programme Thermal Applications Solar Water Heating Systems Solar Cookers Photovoltaic Applications Street Lighting Systems Home Lighting Systems Solar Lanterns Jawaharlal Nehru National Solar Mission Other Initiatives State Level Initiatives Key Drivers and Trends Technology Used Ongoing and Upcoming Projects A Brief Profile Analyses of Return on Investment

1. Energy Scenario in India India has a total installed power capacity of 199,877.03 megawatts as of 31 of January 2012. Thermal power consists of 66% of total energy production, hydroelectric is about 19% and the remainder is produced using a combination of wind, small hydro, biomass, waste-to-electricity, nuclear and solar energy.
1 st

Coal is the most commonly used fuel, accounting for about 55% of Indias installed electricity capacity. Renewable hydropower accounts for 21%. Natural gas accounts for 10% and various other sources making up the rest.
2

Figure 1: % Share of energy sources in India as of 31.3.2012

% Share of energy sources in India Coal as of 31.3.2012


2.37% 12.15% Gas Oil 56.42% 9.11% Hydro (Renewable) Nuclear 0.59% Renewable Energy Sources 19.33%

Despite having the fifth largest installed capacity in the world, after the USA (4,369 TWh in 2009), China (3,457 TWh in 2009), Russia (1040 TWh in 2009) and Japan (1082 Twh in 2009) , over 300 million Indians had no access to electricity in December of 2011. Over a third of the rural population had no access to electricity whatsoever as did about 6% of the urban population. This shows that there is a tremendous need for further increases in the amount of electricity that India needs to generate in order to supply all of its citizens with power.
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http://www.cea.nic.in/reports/monthly/executive_rep/mar12/8.pdf http://www.powermin.nic.in/indian_electricity_scenario/introduction.htm 3 CIA World Factbook 2009:https://www.cia.gov/library/publications/download/ 4 http://online.wsj.com/article/SB10001424052970203550304577136283175793516.html 5 http://www.iea.org/papers/2011/technology_development_india.pdf

The per capita annual average energy consumption in India in 2009 was 96 kWh in rural areas and 288 kWh in urban areas as opposed to the worldwide per capita annual average of 2600 kWh and 6200 kWh in the European Union. The International Energy Agency estimates that if India is to produce levels of electricity that is on par with other large countries like the United States and China, an investment of approximately $135 billion would be required.
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http://www.iea.org/papers/2011/weo2011_energy_for_all.pdf

1.1 Renewable Energy in India Renewable energy has started making a visible impact on the Indian energy scenario. It contributes to approximately 12% of the national installed capacity. It has allowed millions of Indians living in the rural areas of the country to meet their cooking, lighting and other energy needs in a clean and environmentally friendly manner. It has ultimately resulted in an improvement in the standard of living, a reduction in energy costs and has created employment and economic opportunities in rural India. The Indian renewable energy industry is primarily private sector driven, offering significant opportunities for investment, business and growth. New investment in the industry has now exceeded $10 billion annually. Due to government initiatives and incentives domestic manufacturing is on the rise. Companies that invest in renewable energy are eligible for fiscal incentives, tax holidays, and depreciation allowances apart from the remuneration they receive for feeding power into the grid. This makes investment a rather attractive option.
Figure 2: % Break-up of renewable energy in India as on 31/01/2012

Total

% break-up of renewable energy in India as on 31/01/2012


0.32% 4.94% 2.08% 8.44% Wind Power Small Hydro Power 14.27% Biomass Power Bagasse Cogeneration 69.95% Waste to power Solar Power

http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%201/chapter_1.htm

2. Current Status of Solar energy in India India experiences about 300 sunny days a year. This makes the country a prime candidate for solar based electricity generation. India has a potential solar radiation reception of approximately 5 petawatt-hours every year on its land mass alone. This is about 5000 trillion kWh/year or around 600 TW/h). Every day India receives an average of 4 7 kWh/m depending on the location.
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Figure 3: Map of solar radiation that India receives (NREL)

Solar energy is broken up into solar thermal energy and energy derived from the photovoltaic process. Solar thermal energy harnesses the suns energy to produce thermal energy or heat. Solar thermal collectors are broken up into low, medium and high temperature collectors. Low temperature collectors are typically used to heat water in swimming pools. Medium temperature water collectors are used to heat water and air for domestic and commercial use. High temperature collectors are used to concentrate solar energy directly onto mirrors or lenses. The heat energy is collected and is

8
9

http://www.nrel.gov/international/images/dni_annual.jpg

http://www.nrel.gov/international/images/dni_annual.jpg, http://www.nrel.gov/international/ra_india.html

used to power a heat based electricity generator.

10

In India, the most common uses of solar thermal

energy are solar water heating systems and solar cookers. India has, as of January 2011, 3.97 million square metre collector area devoted to solar thermal water heating systems and 639,000 units of solar cookers.
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Photovoltaics on the other hand, directly convert solar radiation into direct current using semiconductors that exhibit the photovoltaic effect. Photovoltaic generators utilize solar panels that are made up of a number of solar cells that contain photovoltaic material. In India we use solar photovoltaic systems in solar power plants, street lighting systems, home lighting systems and solar lanterns. India, as of January 2011, has 122,697 solar photovoltaic street lighting systems, There has been a massive increase in the implementation of solar power in India over the past two years, mostly due to the work of the Jawaharlal Nehru National Solar Mission.
Table 1: Cumulative Solar Achievement in MW as of 2012

20052006 2.74
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CAG 2006-2007 2.92 2007-2008 2.12 2008-2009 2.12 2009-2010 9.13 2010-2011 32.37 2011-2012 481.48 R

The above table and the graph below both show that, while growth was stagnant towards the end of the end of the last decade, but due to the efforts of the JNNSM the solar energy sector has exploded. The most significant increase being the addition of around 450 MW of solar power to the grid in 20112012.

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http://greenrednecks.com/2009/05/09/solar-thermal-vs-photovolatic-pv-%E2%80%93-whichshould-you-choose/ 11 http://www.renewableenergyworld.com/rea/news/article/2011/09/renewables-bounced-back-in2010-finds-ren21-global-report 12 http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm 13 http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm 14 http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

Figure 4: Cumulative Solar Achievement in MW as of 2012

600 500 400 300 200 100 0 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 2011-2012 Series1

Cumulative Solar Power Achievement (MW)


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2.1 Installed Capacity of Solar Power in India India has a cumulative installed capacity of 481.48 MW attached to the grid as of January 2012.
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Table 2: Cumulative Solar Achievement in MW as of 2012 capacity/ generation????

20052006 2.74 2006-2007 2.92 2007-2008 2.12 2008-2009 2.12 2009-2010 9.13 2010-2011 32.37 2011-2012 481.48

CAG R

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http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

Figure 5: Cumulative Solar Achievement in MW as of 2012

600 500 400 300 200 100 0 Series1

2005-2006

2006-2007

2007-2008

2008-2009

2009-2010

2010-2011

Cumulative Solar Achievement


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As both the table and the graph above show, progress was terribly slow during the second half of the last decade, but due to the efforts of the Nehru National Solar Mission the cumulative national capacity has skyrocketed to 481.18 MW, nearly 450 MW more than what was already attached to the grid in 2010-2011.

2.1.1. Region wise Break-up of Installed Capacity

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm

2011-2012

Almost every Indian state receives a massive incidence of solar radiation every year. This makes is possible for India to produce a large amount of solar based electricity. While Gujarat and Rajasthan have the largest number of power plants and thus the largest overall installed capacity numerous projects are being planned in other states as well.
Table 3: Region wise break up of Installed capacity

State MWp % State MWp % State MWp %

Andhra Pradesh 21.8 2.2 Madhya Karnataka 9 0.9 Tamil Nadu 15 1.5 Uttar Pradesh 12 1.2 Uttarakhand 5 0.5 Pradesh 2 0.2 Maharashtra 20 2 Orissa 13 1.3 West Bengal 2 0.2 Punjab 9 0.9 Total 979.4[12] 100 Rajasthan 197.5 20.2 Chhattisgarh 4 0.4 Delhi 2.5 0.3 Gujarat 654.8 66.9 Haryana 7.8 0.8 Jharkhand 4 0.4

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Can discuss the leading states and share in the overall capacity

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http://pib.nic.in/newsite/erelease.aspx?relid=83632

2.2. Generation of Solar Energy in India India currently generates 481.48 MW of solar energy with more on its way. The Jawaharlal Nehru National Solar Mission plans on adding up to 20,000 MW of solar based energy by 2012. India generates a total of 979.4 Mega Watt Peak with the state of Gujarat producing 654.8 19 MWp on its own, 66.9% of Indias total output.

2.2.1. Trends in generation; 2005-2012

Figure 9: Cumulative Solar Power Capacity in India as of 2012 in MW

600 500 400 300 200 100 0 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 2011-2012 Series1

Cumulative Solar Power Achievement (MW)

Table 4: Cumulative Solar Achievement as of 2012

2005-2006 2.74

2006-2007 2.92

2007-2008 2.12

2008-2009 2.12

2009-2010 9.13

2010-2011 32.37

2011-2012 481.48

As both the above table and graph show, generation of solar power in India was terribly low during the second half of the last decade this was mostly due to a combination of high start up costs in the solar industry and a lack of government initiative. However following the inauguration of the Jawaharlal Nehru National Solar Mission in 2010 the government has taken great steps to increase to amount of solar energy generated in the country. In the financial year 2011-2012 alone the total capacity jumped a massive 450 MW. And under the JNNSM, NTPC VidyutVyapar Nigam (NVVN), the designated nodal agency to purchase 1,000MW of solar power (500 PV and 500 CSP) has
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http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

already selected projects that total up to 650 MW of power. Also the guidelines for the selection of 20 the remaining projects were issued in August, 2011.

State-wise Break-up of Generation Capability


Table 10: State wise break up of generation capability

State MWp % State MWp % State MWp

Andhra Pradesh 21.8 2.2 Karnataka 9 0.9 Tamil Nadu 15

Chhattisgarh 4 0.4 Madhya Pradesh 2 0.2 Uttar Pradesh 12

Delhi 2.5 0.3 Maharashtra 20 2 Uttarakhand 5

Gujarat 654.8 66.9 Orissa 13 1.3 West Bengal 2

Haryana 7.8 0.8 Punjab 9 0.9 Total 979.4[12]

Jharkhand 4 0.4 Rajasthan 197.5 20.2

% 1.5 1.2 0.5 0.2

100
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Gujarat is the largest producer of solar energy in India. Gujarati power plants account for nearly 70% of the countrys solar power production.

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http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

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http://pib.nic.in/newsite/erelease.aspx?relid=83632

3. Government Initiatives

The Indian governments main initiative in the solar power industry is the Jawaharlal Nehru National Solar Mission. The Missions primary aim is to deploy 20,000 MW of solar power into the grid by 2022. Its programs are aimed at reducing the cost of slower power generation through government policies that incentivise investment in solar power, a large scale deployment of solar power plants throughout the country, research and development in solar technology, and domestic production of the various raw materials, components and products that are used in the process of generating solar power. The government of India uses the JNNSM to not only spread the use of solar power plants but also to spread the use of solar energy in more domestic settings throughout India.
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The Solar Energy Centre is a research, technology evaluation and demonstration facility that is managed by the Ministry of New and Renewable Energy. The Solar Energy Centre focuses on the science, research and engineering aspects of the technologies associated with solar energy. The Solar Energy Centre uses various test facilities to test the effectiveness and efficiency of various materials. They test solar PV panels in both indoor and outdoor facilities. It also tests, develops and evaluates solar thermal technology.
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Under the JNNSM NTPC VidyutVyapar Nigam (NVVN) has been designated as a nodal agency to facilitate the purchase of 1,000 MW of solar power. 500 of which will be derived from solar
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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%208/chapter_8.htm

photovoltaic processes and the other 500 from solar thermal processes. As of 2011 the selection of several projects amounting to a total of 650 MW, 150MW has been derived from photovoltaics and 500 from CSP (concentrated solar power), has been completed. The guidelines for selecting the remaining Solar PV projects, with an aggregate capacity of 350 MW, were issued on 24 August, 2011. As per the guidelines, the project capacity was allowed to be within the range of 5 MW 20 MW, as compared to the 5 MW capacity that was allowed for batch 1 projects. Now, the total solar PV project capacity allowed to a company was alsoraised to 50 MW with a provision of splitting the capacity up into three projects. Incremental capacity was kept in multiples of 5 MW over the minimum capacity limit of 5.

3.1. Rural Electrification Under the JNNSM there has been major work in the area of rural electrification. Many rural areas that before had no access to the grid now have electricity because of technologies such as solar panels. They also have access to solar cookers and solar water heaters. The Rural Electrification Corporation Limited is a government of India enterprise under the Ministry of Power. Its main objective is to help finance and promote the rural electrification of India. It provides financial assistance to various state electricity boards, State Government Departments and Rural Electrification Cooperatives.
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24

http://recindia.nic.in/

Figure 6: Cumulative Street Lighting System Achievement in MW as of 2011

140,000.00 120,000.00 100,000.00 80,000.00 60,000.00 40,000.00 20,000.00 0.00 Series1

2008-2009

2005-2006

2006-2007

2007-2008

2009-2010

Cumulative Street Lighting system Achievement(no.s)

2010-2011

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669,805 home lighting systems,


Figure 7: Cumulative number of home lighting systems as of 2011

800,000.00 700,000.00 600,000.00 500,000.00 400,000.00 300,000.00 200,000.00 100,000.00 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 Series1

Cumulative Home Lighting system Achievement (no.s)

2728

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http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

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http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

and 817,594 solar lanterns.


Figure 8: Cumulative amount of Solar Lanterns in India as of 2011

900,000.00 800,000.00 700,000.00 600,000.00 500,000.00 400,000.00 300,000.00 200,000.00 100,000.00 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011

Series1

Cumulative amount of Solar Lanterns(nos)

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These applications have been used extensively in rural areas and have helped the rural population access electricity even if they had no access to the grid. This is not only improved the standard of living but has also added economic opportunities as well. Can talk about Thermal PV split through JNNSM

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http://mnre.gov.in/file-manager/annual-report/2010-2011/EN/Chapter1/chapter1_1.htm http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

Table 12: Details of Renewable Generation Projectsunder Consideration31

State

Name of the project

Borrower/ Utility

Cost (Rs.Cr)

Loan in (Rs.Cr)

Date of Receipt

Date(s) of seeking clarification s

Date of receipt of proposal complete in all respect

SOLAR PV Gujarat 10 MW Solar power project in Kutch. 5MW Project in Jodhpur District, 10 MW Solar Project in 5 MW Solar Power Project in Surendrana gar District. 25 MW Solar Power Project in Surendrana gar District, 7 MW Solar Power Project in Surendrana gar District. 25MW Solar Power Project in Rajkot. Zeba Solar Gujarat Pvt. Ltd. M/s Northwest Energy Pvt. Ltd. (Videocon) NKG Infrastructur e Ltd. Ganeshvani Merchandise Pvt. Ltd. (Moser Baer) Chattel Construction s Pvt. Ltd. (Moser Baer) CBC Solar Technologie s Pvt. Ltd. (Moser Baer) Ganges Green Energy Pvt. Ltd. (Moser Baer) 10 10 149 03.01.11 17.02.201 2

Rajasthan

76.1

21.06.11

16.02.201 2

Gujarat

10

10

165.9

23.08.11

21.02.201 2

Gujarat

72.5

04.10.11

22.02.201 2

Gujarat

25

25

362.64

04.10.11

22.02.201 2

Gujarat

10

10

145.15

04.10.11

22.02.201 2

Gujarat

25

25

368.26

11.10.11

22.02.201 2

31

http://recindia.nic.in/generation_renew.html

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/UserFiles/powerplants_241111.pdf

SOLAR THERMAL

Rajasthan

50 MW Solar project in Jaisalmer District. 25 MW Solar Thermal Plant in Kutch.

Corporate Ispat Alloys Ltd.

50

871.8

05.09.1 1

21.02.2012

Gujarat

Cargo Power & Infrastructur e

25

31.10.1 1

17.02.2012

3.2. Thermal Applications While photovoltaics are the main method of obtaining solar energy in Indian solar power plants, solar thermal energy is used widely in rural and urban areas as a means of heating water and cooking food. There is also a 2.5 MW concentrated solar thermal power plant being built in Rajasthan by Acme Tele Power LTD.
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By the year 2011 India had installed 3.97 million square meters of solar water heating systems. The use of solar water heating systems has been increasing at an average rate of .41 ???millionsq meters every year. There has been significant growth since the use of solar water heaters became mandatory???.

3.2.1 Thermal Water Heating Systems


Table 2: Cumulative Water Heating Systems in million sq.m collector area as of 2011

2005-2006 1.50

2006-2007 1.66

2007-2008 2.50

2008-2009 2.50

2009-2010 3.40

2010-2011 3.97

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/UserFiles/powerplants_241111.pdf

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/UserFiles/powerplants_241111.pdf

Figure 9: Cumulative Water Heating Systems in million sq.m collector area as of 2011

4.50 4.00 3.50 3.00 2.50 2.00 1.50 1.00 0.50 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011

Series1

Cumulative Solar Water Heating Systems (mil. Sq.m) And also by 2011 India had installed 639,000 units of solar cookers. And while growth has been stagnant many of these units have been deployed in rural areas and have helped improve the quality of life for many. 3.2.2. Thermal Solar Cooking Systems
Table 3: Cumulative Solar Cooking Systems (no.s) as of 2011

2005-2006 599000.00

2006-2007 603000.00

2007-2008 617000.00

2008-2009 617000.00

2009-2010 639000.00

2010-2011 639000.00

Figure 10: Cumulative Solar Cooking Systems (no.s) as of 2011

650,000.00 640,000.00 630,000.00 620,000.00 610,000.00 600,000.00 590,000.00 580,000.00 570,000.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 Cumulative Solar Cooking Systems (no.s) Series1

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/UserFiles/powerplants_241111.pdf

3.3. Photovoltaic Applications While most of the solar power plants that have been built so far, run on concentrated solar thermal energy many of the power plants that are scheduled to be built in the near future will run on photovoltaics. As of 2011 photovoltaic plants produced 4.42 MW of electricity.
Table 4: PV plants in KW from 2005-2011
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2005-2006 1,566.00

2006-2007 1,859.80

2007-2008 2,180.00

2008-2009 8,010.00

2009-2010 2,410.00

2010-2011 4420.00

Figure 11: PV plants in KW from 2005-2011

9,000.00 8,000.00 7,000.00 6,000.00 5,000.00 4,000.00 3,000.00 2,000.00 1,000.00 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 Cumulative PV Plant Achievement(KW) Series1

Several more plants that will run off photovoltaics have been commissioned in 2011.
th

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These projects

will all be within the range of 5MW 50MW. As of the 28 of December, 2011 28 letters of intent have been sent of 22 bidders for a total of 28 projects. 24 of these projects are located in Rajasthan, 2 in Maharashtra and 1 each in both Tamil Nadu and Andhra Pradesh.
1

Photovoltaics are also used in order to power numerous street and home lighting systems as well as solar lanterns. 3.3.1. Street Lighting Systems

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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm

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Table 5:Cumulative Street Lighting system Achievement

2005-2006 54,795.00
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2006-2007 54,659.00

2007-2008 69,549.00

2008-2009 75,376.00

2009-2010 88,297.00

2010-2011 122,697.00

Figure 12Cumulative Street Lighting Systems (no.s) as of 2011

140,000.00 120,000.00 100,000.00 80,000.00 60,000.00 40,000.00 20,000.00 0.00 Series1

2008-2009

2005-2006

2006-2007

2007-2008

2009-2010

Cumulative Street Lighting system Achievement(no.s)

3.3.2. Home Lighting Systems


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http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

2010-2011

Table 6:Cumulative Home Lighting system Achievement up till 2011

2005-2006 342,607.00

2006-2007 301,603.00

2007-2008 363,399.00

2008-2009 434,692.00

2009-2010 584,461.00

2010-2011 669,805.00

800,000.00 700,000.00 600,000.00 500,000.00 400,000.00 300,000.00 200,000.00 100,000.00 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011 Series1

Cumulative Home Lighting system Achievement (no.s)

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http://mnre.gov.in/mission-and-vision-2/publications/annual-report-2/

3.3.3. Solar Lanterns Systems

Table 7: Cumulative Solar Lantern system Achievement as of 2011

2005-2006 538,718.00

2006-2007 463,058.00

2007-2008 585,001.00

2008-2009 697,419.00

2009-2010 792,285.00

2010-2011 817,594.00

900,000.00 800,000.00 700,000.00 600,000.00 500,000.00 400,000.00 300,000.00 200,000.00 100,000.00 0.00 2005-2006 2006-2007 2007-2008 2008-2009 2009-2010 2010-2011

Series1

Cumulative amount of Solar Lanterns(nos)

3.4 The Jawaharlal Nehru National Solar Mission The Jawaharlal Nehru National Solar Mission was launched by the government on the 11 of January, 2010. The goal of the Mission is to add 20,000 MW of solar power to the grid by 2022. It attempts to do so by lowering the cost of generating solar power in India. In order to achieve these goals the Mission intends on using long term government policies that encourage the use of solar energy by providing tax breaks, reduced tariffs and other incentives; the Mission also intends on taking charge of various large scale power projects that will deploy large amounts of solar power throughout the country; thirdly the Mission will work on R&D projects that are aimed at lowering the cost of the components used to produce solar power producing products while simultaneously increasing efficiency of said products. The Mission will attempt to make India a global leader in solar power by 2022. The original objectives of the Mission were to establish India as a global leader in solar energy by creating the policies and conditions required for its diffusion across the country. The Mission adopted a 3 phase approach. The first spanned the last three years of the 11 plans and the first year of the 12 plan (2012-2013). The remaining four years in the 12 plan will be phase two and the 13 plan will be phase three. The immediate aim of the Mission was to set up an enabling environment for production and deployment of solar energy throughout the country. The first phase focused and will focus (up till 2013) on low-hanging option in solar thermal energy, on promoting off-grid systems that will serve populations that lack access to commercial energy. In the second phase, depending on experiences during the first one, capacity is expected to be aggressively increased in order to create conditions for the use of technologically advanced, competitive solar energy throughout the country. During the year (2011-2012) the Jawaharlal Nehru National Solar Mission (JNNSM) continued with its implementation. In the one year since the launch of the Mission, 37 projects of 650 MW total capacities have already been allotted. By November, 2011, bidding process for 350 MW under second batch of projects of first phase of National Solar Mission has also been completed. As against the average tariff of 12.20 /kWh in the first batch of solar projects in 2010, the tariff offered in the 7.49/kWh to 9.44/kWh, with weighted average of
th th th th th

second batch of projects were in the range of the offered tariff at

8.78/kWh. The steep decline in solar power tariff affirms Ministry's aim to achieve

the grid parity in the shortest possible time frame. By January, 2012 around 445 MW capacity solar power projects have been commissioned. It includes 153 MW grid solar power projects under the JNNSM, and the balance have been set up under States grid-connected solar programmes. Under the off-grid solar scheme 32,826 solar lanterns, 26,264 solar home lights, 18,583 solar street lights, 76 solar water pumping systems and stand-alone SPV power plants with an aggregate

capacity of 8.2 MWp were installed during year. Some of the major installations include stand-alone solar power plants in tribal hostels/ashrams, PHCs/CHCs, villages/industries in Chhattisgarh; SPV power plants /Power packs for police stations / Jails, CHCs / Hospitals etc. and 3,700 solar home lights for Chanderi handloom weavers in Madhya Pradesh; and subsidies and soft loans for 15,343 home lights in Uttar Pradesh through various Regional Rural Banks. About 0.5 million sq. m. solar collector area has been installed during the current year against a target of 0.6 million sq. m. collector area. Twenty one States have adopted model regulation/building bye-law circulated by the Ministry of Urban Development for installation of solar assisted water heating systems in new buildings, and around 100 Municipal Corporations/ Municipalities are implementing the same. The use of solar concentrating systems with vapour absorption machines has been demonstrated and is being used for air conditioning purposes. Major installations include a 100 TR (ton of refrigeration) air conditioning plant at Muni Seva Ashram, Vadodara; 212 TR at the Civil Hospital in Thane, Mumbai; and 100 TR for process cooling at the Mahindra Vehicle Manufacturers Ltd., located in Chakan, Pune. Solar steam cooking continued to be focus area. One of the significant installations was at Sabarmati Jail, Ahmedabad to cook food for 3000 prisoners at both 11.30 hrs and later at around 16.00 hrs. Continued emphasis on research and development in various areas of solar energy technologies and application has been laid. The focus was on indigenization of technology, product development and resource assessment.
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3.5 Other Initiatives While the Jawaharlal Nehru National Solar Mission is the largest government initiative, there are some smaller ones that fall under its jurisdiction, like the Solar Energy Centre. The Solar Energy Centre is a research, technology evaluation and demonstration facility that is managed by the Ministry of New and Renewable Energy. The Solar Energy Centre focuses on the science, research and engineering aspects of the technologies associated with solar energy. The Solar Energy Centre uses various test facilities to test the effectiveness and efficiency of various materials. They test solar PV panels in both indoor and outdoor facilities. It also tests, develops and evaluates solar thermal technology.
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http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%206/chapter_6.htm http://www.mnre.gov.in/solar-mission/jnnsm/introduction-2/ 40 http://mnre.gov.in/file-manager/annual-report/2011-2012/EN/Chapter%208/chapter_8.htm

3.6 State Level Initiatives 3.6.1 Initiatives by the State of Gujarat

Table 8: Gujarat: The Renewable Energy Potential Source Resource

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Energy Generation/Saving Potential 3 x 1014 kWh

Sun

Solar Radiation 300 days 5.6 -6.0 kwh/m2 / day

The state of Gujarat has plentiful access to solar radiation and therefore is an ideal stop for investment. The State receives 5.6 6.0 kwh/m /day6 with and energy generation potential of around 3*1014 kwh. Gujarats government has decided to use these natural resources to help benefit its residents. For example; 2971 nos. houses have been constructed for salt workers in various districts under NamakMajdoorAvasYojana by the Industries Commissioner, Gandhinagar. Solar Home SystemModel 5 consisting of 74 Wp SPV module, 12V, 75AH @C/10 tubular type low maintenance rechargeable battery, 4 nos. 9 watts compact fluorescent lamp fixtures, module mounting structure with battery box and necessary wires & hardware, operating for 3-4 hours per day.
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Production of Solar Power by Gujarats Solar Power Parks


Table 11: Generation report for the Gujarat solar Parks up till April 2012

Generation report of Gujarat Solar Parks Month Power Production kWh/kWp/day (MWp) 201012 201101 201102 201103 201104 5 5 5 5 5 (MWh) 363.746 657.91 689.59 847.32 776.14 (hrs/day)

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http://geda.gujarat.gov.in/background.php http://geda.gujarat.gov.in/project_single.php?project=11 43 http://www.sldcguj.com/energyaccount/energy_account_new.asp

201105 201106 201107 201108 201109 201110 201111 201112 201201 201202

5 10 10 10 10 40 120 160 234 280

639.8 844.35 1,053.00 848.378 1,078.10 4,144.47 8,774.70 16,687.30 23,392.34 35,606.10 4.31

201203 201204 Total

521 604.89

71,181.35 86,191.20 253,775.80

4.95 4.75

Generation of Solar Power in West Bengal

4. Key Drivers and Trends

The largest driving force behind the growth in demand for solar power and renewable energy in general is the fact that reserves of conventional sources of energy, like oil and coal, are falling rapidly. This means that in order to sustain the worlds growing energy requirements we need to look towards other sources of energy. Renewable energy is also on the rise because several groups of environmentally conscious individuals are interested in protecting the ecosystem by producing clean and green energy.Also India has access to large amount of solar radiation and vast tracks of land that can be put to use. As of 2012 there is a 12% gap in the demand and supply of electricity in India. Urban demand for energy in increasing and so is demand in rural areas. And while electricity consumption today is only at 600kwh, the Power Ministry expects it to rise to 1900kwh by 2032. These factors combined with low reserves of conventional sources of energy means that alternative sources of

energy are rather attractive investments. Also the cost of the equipment required to produce solar based electricity is falling and has been for the past few years. Having realised that we are unable to meet our energy needs and that conventional sources of energy may not help us provide universal powers to Indians all over the country, the government has decided to step in and take the matter in hand. The government and the Jawaharlal Nehru National Solar Mission subsidises solar power projects by removing tariffs on imported raw materials and components, providing credit facilities and by funding various project themselves.
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4.1. Technology Used

A solar cell, also known as a photovoltaic cell, is a device that converts sunlight directly into electricity by using a process known as the photovoltaic effect. Solar cells are arranged together in an array which makes it possible to collect a larger amount of energy. The primary raw materials used in the production of solar photovoltaic cells are monocrystalline silicon, polycrystalline silicon, amorphous silicon, cadmium telluride, and copper indium selenide/ sulphide.
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Concentrated solar power systems use mirrors or lenses to concentrate a large area of sunlight, or solar thermal energy, onto a small area. Electrical power is produced when the concentrated light is converted to heat, which drives a heat engine (usually a steam turbine) connected to an electrical power generator. CSP is being widely commercialized and the CSP market has seen about 740 MW of generating capacity added between 2007 and the end of 2010. More than half of this (about 478 MW) was installed during 2010, bringing the global total to 1095 MW. Spain added 400 MW in 2010, taking the global lead with a total of 632 MW, while the US ended the year with 509 MW after adding 78 MW, including two fossilCSP hybrid plants
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Incl. Moser baer technology which works with minimum solar rays

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Evaluating the future of Indian solar Industry: www.pluscommunication.in http://www.stanford.edu/group/efmh/jacobson/EnergyEnvRev1008.pdf 46 http://www.renewableenergyworld.com/rea/news/article/2011/09/renewables-bounced-back-in-2010finds-ren21-global-report

4.2 A Brief Profile of the Major Players in Indias Solar Power Industry Below is a short list of the big players in Indias still fledgling solar industry. Tata BP Solar Established in 1989, Tata BP Solar is a Joint Venture between Tata Power Company, a pioneer in the power sector in India and BP Solar, one of the largest solar companies in the world. Their 84 MW Solar Cell manufacturing facility is capable of processing mono and multi crystalline wafers of 125mm2 and 156mm2. Their 125 MW module manufacturing facility is one of the largest in Asia and capable of manufacturing modules from 0.3Wp to 280Wp. Recent projects/ developments
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Moser Baer Solar Established in 1983 in New Delhi, Moser Baer is one of Indias leading technology companies. Moser Baer's flagship company, Moser Baer India Limited (MBIL) has successfully developed cutting edge technologies to become the worlds second largest manufacturer of optical storage media. Moser Baer Solar Limited is a subsidiary of MBIL. MBSLs manufacturing subsidiary is Moser Baer Photo Voltaic Ltd (MBPV). The Groups photovoltaic manufacturing business was established between 2005 and 2007 with the primary objective of providing reliable solar power as a competitive non-subsidized source of energy. We have leveraged our core competencies in high volume manufacturing of optical media products to create a world class photovoltaic manufacturing facility. Our strategy is to straddle multiple technology platforms and to drive scale to be able to drive down the costs of the technology and make it more affordable to consumers globally.
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Websol Energy Systems LTD. Websol Energy System Ltd. (formerly Websol Energy Systems Ltd.) is a leading manufacturer of photovoltaic monocrystalline solar cells and modules in India. Websol has a integrated production facility at Falta SEZ, Sector II, Falta, West Bengal. Websol modules are designed for grid and standalone Solar PV power plants, remote communication and rural electrification for the best performance under diffused Sun light . Number of

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http://www.tatabpsolar.com/page_details.php?pg_id=Tata-BP http://www.moserbaersolar.com/about-overview.asp?links=ab1

PV power plants performing excellently from last 15 years built with Webel Solar Modules in domestic and international market. The company has undertaken 120 MW expansion program in 2006 . Present Capacity of the company is 42MW and this will ramp up to 60 MW by May 2011 and to 120MW by 2012 . Company has technical capability to handle up to 160 Micron thin wafers and process multiple size wafers . This expansion in capacity has increased the companys ability to ser vice more customers and make a wider range of products to reach out to different market segments. KL Solar KL Solar Company is an internationally recognized manufacturer of mono and polycrystalline photovoltaic (PV) cells & modules. Their research, development and manufacturing of solar cells and solar modules are conducted at our facilities in Coimbatore, India, where we occupy a site area of approximately 3,600 square meters. Our present total installed annual production capacity for solar cells is 27MW & 12MW for solar modules.
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IndoSolar Indosolar Limited is the leading Indian manufacturer of solar photovoltaic cells. Current manufacturing capacity is 160 MWp with an average efficiency rating of 16+%, peaking at 17.2%. Production capacity will be expanded to 360 MWp by end of fiscal year 2011, and Line C will have the capability to produce both multi and mono crystalline cells. Machinery and technology have been supplied by industry leader, SCHMID GMBH, on a turnkey basis. Located in Greater Noida, Uttar Pradesh, India the facility is 55km from New Delhi International Airport. Indosolar, a 300000 square feet institute accommodating up to four production lines, is a unique facility in the rapidly developing Indian economic landscape. Lancoinfratech 5. Analyses of return on Investment. Several companies may find it difficult to sell solar power in Indias domestic market because the cost of producing solar energy is around five times higher than the cost of producing thermal
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http://www.webelsolar.com/about_us/company_profile.html http://www.klsolar.com/index-1.html 51 http://www.indosolar.co.in/aboutus.html

energy. Solar power costs about Rs. 15 Rs. 30 to produce, while thermal energy is just Rs. 2 Rs. 6. This means that they can easily be undercut by competitors who specialise is thermal energy.
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Evaluating the future of Indian solar Industry: www.pluscommunication.in