Advantages of the Scheme

Objectives of the Scheme:

The focus will be on decentralized solar power plants for the production of electricity. To give farmers an alternate source of income as farmers can sell the additional electricity that has been produced by the solar panels. To help India achieve its goal of generating 40% of total electricity generated by renewable power by 2030....

Components of the Scheme:

Component-A:...

Government Support:

Component-A: Government will give funds to DISCOMs for the first five years for buying electricity from producers. It will give 40 paise/kWh or Rs. 6.60 lakhs/MW/year, whichever is less. Component-B & C: Central and State governments will fund 30% of the cost and the rest 40% will be paid by the owner, but in J&K, Himachal, Uttarakhand, Sikkim, North Eastern States, Andaman & Nicobar, and Lakshadweep Central government will fund 50% of the cost, the state government will give 30% and rest 20% will be paid by owner....

Advantages of the Scheme:

The financial condition of DISCOMs in our country is very bad and one of the main reasons behind this is the subsidies that farmers get on electricity, this scheme will reduce the burden of subsidies on DISCOMs and it will help in improving their financial condition.  It will help the government in fulfilling its goal of generating 40% of total electricity generated by renewable power by 2030. Farmers will also get an alternate income source from this scheme and it will also fulfill their electricity needs. Apart from all these advantages, this scheme will be also very good for our environment as it will increase the use of renewable energy and thus heals nature....

Challenges of the Scheme:

The availability of different mechanical equipment needed for this scheme is a very big challenge for the government. Another challenge is depleting groundwater level because if groundwater level depletes then we have to increase the power of pumps and for this, we have to install new solar panels which are very expensive. In this scheme main focus is on pumps of a capacity of 3 HP or higher but India has a very large number of small farmers and for them, this will not be much beneficial....

Solutions:

Central and State governments have to work in coordination with each other to make this scheme successful because this deals with a major change in our power sector and if this scheme is implemented successfully then it will be a major milestone in our power sector and rural economy. With this scheme government have to encourage farmers to use new techniques of farming to deduce uses of water so that groundwater doesn’t deplete very fastly. Government has to focus on the industrial sector also so that the scheme doesn’t face any equipment shortage....

Frequently Asked Questions:

Q1.What are the objectives of the scheme?Ans: The objectives of the scheme are:...