State-run REC has been designated as the nodal agency for the Pradhan Mantri Suryodaya Yojana, aiming to install rooftop solar systems in 10 million households, announced Chairman and Managing Director Vivek Kumar Dewangan on Tuesday. In this major push towards renewable energy, REC will lend up to ₹1.2 trillion for the installation of these rooftop solar panels.
Addressing the media, Dewangan said that REC’s board has authorized a line of credit of approximately ₹15,000 crore to central public sector undertakings (CPSEs), which will act as renewable energy service companies in implementing this scheme. “We are committed to providing a line of credit up to ₹1.20 lakh crore for the rooftop solar mission,” he stated.
“For implementation of the scheme, states and union territories have been divided between eight central public sector enterprises (CPSEs) under the ministry of power. These include NTPC, NHPC, EESL, PowerGrid, SECI, THDC, SJVN and NEEPCO. These CPSEs will also be proactively doing rooftop solar installation under the RESCO model (renewable energy service company),” Dewangan said.
The ambitious target set for REC involves getting 40 GW of rooftop solar installations sanctioned by 2026. With the launch of the rooftop solar scheme for households by PM Modi on January 22, REC anticipates achieving over 10 GW of this target within a year.
Dewangan highlighted the challenges in coordinating with multiple stakeholders such as owners of rooftops, distribution companies, vendors, and financing companies. He, however, expressed confidence in meeting these targets within the given timeframe.
Further, Dewangan mentioned the ongoing revision of the National Rooftop Policy by the government, with imminent guidelines expected to increase subsidies for the 1-3 kilowatt category. “PM Suryodaya Yojana is being conceptualized, and guidelines will be issued by MNRE shortly,” he added.
The REC CMD also said that so far this fiscal, the company has sanctioned about ₹1.25 trillion for the renewable energy sector.
Prime Minister Narendra Modi on Monday had announced to launch the scheme to provide rooftop solar installations to 10 million households in the country.
The current grid-connected solar rooftop capacity in India stands at 11.08 GW, part of the total solar capacity of 72.31 GW. As per the government’s energy transition plans, solar power is expected to account for 292 GW of the total 500 GW renewable capacity by 2030.
