Energy / Renewable energy generation - solar

This proposed S-CDTA is not included in the Country Operations Business Plan 2011, but was discussed by an ADB Consultation Mission (26 September to 7 October 2011) with the Government of India (Government) to support capacity development of Ministry of New and Renewable Energy to take forward the pilot projects proposed under the Jawaharlal Nehru National Solar Mission (JNNSM). Based on these discussions, the TA has been included in the 2011 work program. A fact-finding mission was not fielded as sufficient information has been gathered during the Consultation Mission.

Certain technologies including hybrid solar projects (with coal, biomass, gas), support reduced water usage (air/hybrid cooling), advanced storage technologies feature in the list of possible potential projects that have been identified based on a public consultation process. Selected pilot projects would be developed through competitive bidding according to the JNNSM procedures. MNRE has identified several potential sites in discussions with state governments. A review of the technologies and the sites would need to be undertaken and technical support for the bid processing preparation has been requested. In addition, a team from MNRE has been setup to coordinate on the pilot projects. This team would visit operational sites for such new technology to confirm operability and assess viability under Indian conditions.

In addition, MNRE would need to develop environmental guidelines for solar projects (including disposal issues). Support for development of such guidelines based on international best practices and national policies would be required.

India is bestowed with solar irradiation ranging from 4-7 kWh/square meter/day across the country and certain regions namely the western and southern have high solar incidence. With rapid growing electricity demand, availability of land and increasing reliance on imported sources of fossil fuel, India is perceived to have a large potential for solar energy development. Cognizant of it, the Government launched Jawaharlal Nehru National Solar Mission (JNNSM) in 2010. The targets of JNNSM to be developed in phases are, among others, to (i) create an enabling policy framework for deployment of 20,000 MW of solar power by 2022; (ii) ramp up capacity of grid-connected solar power generation to 1,000 MW within three years; an additional 3,000 MW by 2017 through the mandatory use of the renewable purchase obligation by utilities backed with a preferential tariff; (iii) deploy 20 million solar lighting systems for rural areas by 2022; and (iv) create favorable conditions for solar manufacturing capability, particularly solar thermal for indigenous production and market leadership.

Achieving the ambitious target for 2022 of 20,000 MW will be dependent on the _learning_ of phase 1 (2013) and phase 2 (2017) of the JNNSM, which if successful, could lead to conditions of grid-competitive solar power. The transition could be appropriately scaled up through capacity development of stakeholders particularly government ministries, public agencies and the private sector on various aspects of solar power generation technology, finance, and policy development.

The competitive bidding results from first phase of the JNNSM indicate developers have preferred technologies that have been proven in other countries including solar PV and parabolic trough concentrated solar power (CSP) for projects. The Ministry of New and Renewable Energy (MNRE) is of the view that certain technologies (particularly some CSP technologies that have not been covered under the first phase so far by commercial developers) have the potential to be deployed (and may be appropriate for local conditions in India) given the nature of the solar resource, availability of land and water on feasible sites, storage constraints etc. Such technologies with higher efficiencies could help achieve cost effective solar power and grid parity earlier than 2022 and if supported, could provide relevant performance data that could facilitate future development of these technologies in subsequent phases of the JNNSM.

1. Pre-feasibility studies for CSP pilot projects conducted.

2. Technical criteria and evaluation parameters for CSP pilot projects identified

3. Familiarization and training on solar power technology support provided.

4. Environmental guidelines for solar power plants developed