KEEPING IN MIND the diverse requirements in rural areas, Energy Efficiency Services (EESL), a state-run power sector player, is in talks with state-run power distribution companies (discoms) to implement its new modular programme, which would set up solar plants in villages, install LED street lights with batteries and replace older agricultural pump sets with efficient systems. The company has already installed 100 megawatt (MW) of solar capacity in Maharashtra and is supplying power at Rs 3/unit directly to the local agricultural feeders.
With incremental tariffs, the company is willing to provide the additional services without any subsidy from the central or state governments, Saurabh Kumar, managing director, EESL, told FE. EESL is a joint venture of NTPC, Power Finance Corporation, Rural Electrification Corporation and Power Grid Corporation of India. It was set up under the Union ministry of power to facilitate the implementation of energy-efficiency projects.
EESL is currently enacting the ‘convergence’ strategy to optimise the usage of lithium-ion battery systems and overcome the challenge of prohibitive costs. “We are emulating this model with decentralised- solar as well, where we want to have multiple revenue streams from single asset through clean energy,” Kumar said.
The company is already supplying power at Rs 3/unit to agricultural feeders in Maharashtra from solar plants built on unused land in the vicinity. ForRs 3.87/unit, it would also install LED street lights with recharge able batteries and for Rs 4.30/unit, EESL will set up energy-efficient pump sets.
“We have started conversations with Maharashtra and Uttar Pradesh about the program and the initial response is good,” Kumar added. ByFY21-end, the company plans to have 600 MW of such projects in Maharashtra, while in Uttar Pradesh, the target is for 300 MW solar and about 75,000 pumps.
“Uttar Pradesh prefers to have more pumps than streetlights,” Kumar pointed, adding that “the tariffs will be modulated according to the add-on services the states choose as per their needs”. The programme is similar to the union government’s Kusum scheme, which also seeks to solarise agricultural pumps, but does not require any capital support from the government. “Given the current scenario, the government’s Kusum scheme may have to wait for a while as the solar pumps warrant significant subsidy grant and I personally don’t see grants coming at least in another one year,” Kumar said.
