Madhya Pradesh Proposes Policy for Solar Rooftop

The Madhya Pradesh New & Renewable Energy Department (MPNRED) in its latest notification has proposed a policy for Net Metering based Solar Rooftop systems. The policy will come in force from the date of its notification in the state official gazette. The Office of the Commissioner, New and Renewable Energy department, Govt. of MP will act as the nodal agency.

The main objectives of the policy are the promotion of the decentralized Soar Photo Voltaic (SPV) systems, job creation and reducing carbon emission.

Applicability and Eligibility: All solar photovoltaic technology based rooftop power plants adopting net-metering mechanism shall be covered under this policy. The policy allows all the consumer of the distribution licensee to avail the benefits defined under the policy by installing rooftop systems.

Capacity Cap.: A minimum capacity of 0.5 kW and a maximum capacity of 250 kW, beyond this capacity guideline as per “solar Policy 2012” shall be applicable.

Energy Settlement and accounting: The provisions for energy accounting and commercial arrangements will conform to MPERC Grid Connect Net Metering Regulations, 2014 and subsequent amendments thereof.

Incentives and Tax Exemptions:

1.     The Rooftop systems will be exempted from banking, wheeling, and cross-subsidy surcharges as per MPERC regulation and will also be exempted from payment of Electricity Duty.

2.    The SRPs installed under the policy shall be exempted from property tax and the equipment’s purchased for the installation of Solar Rooftop projects shall be exempted from VAT and entry tax.

3.    All the All Eligible Consumers can avail Central Financial Assistance from MNRE as per the applicable scheme for Solar PV systems.

The more details on the Policy can be read in the document here