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MAGIZHINI M
Aug 37 min read

ROOFTOP SOLAR SCHEME, 2024

MAGIZHINI M,

The Tamilnadu Dr. Ambedkar Law University, School of Excellence in Law

INTRODUCTION

Rooftop Solar Power systems aresystems through which electricity can be generated by the use of solar panels.  Solar panels are a device in which cells called Photovoltaic cells that converts sunlight into usable electricity resources. With the growing concern over the depletion of resources and the increasing need for the quantum of resources, which are on the rise due to the imbibing rise in the users of such resources. These would not have been an object of the Government in the past, where electricity in its traditional forms was used to a limited extent. Then, the notion was focused on providing electricity to all the households. Now, that cannot be the situation, the number of users in need of renewable resources is on the rise, and every household requires electricity to go in part with their daily activities. This is the result of the electrified revolution, which converted every activity to be done more smoothly and easily than ever before.

The concept of “Zero Electricity Bills” has been emphasised, and it is getting popularised among the masses especially when they experience a hike in the electricity prices being charged to them. This is when they search for an alternative and come to meet ‘Solar Energy’. Solar energy is preferable, for, it serves to reduce the emission of greenhouse gases and is popular in mitigating climate change. These are renewable sources of energy having no adverse effects on the degradation of the environment. The importance of the solar energy system has been pertinently materialized in the Union Budget 2024 of the Government of India.

ROOFTOP SOLAR SCHEME, 2024

In the march towards environmental protection, there have been many initiatives taken all through the world to retrieve the environment and to prevent further depletion of it from the actions of the people. Some of these would include carbon pricing, Corporate social responsibility mandates, prevention of the use of non-biodegradable products, and switching towards the use of renewable energy resources. One such would be Solar energy. It has been reported by the International Energy Agency that, as of 2022, the number of households relying on rooftop solar power worldwide has increased to 25 million, with Australia caping up the highest user of solar capacity.

Recently in the presentation of the Union Budget, 2024 by the Union Government which was aimed at installing Rooftop solar power systems in 1 crore households all around the nation[i]. Besides having a cap on the money spent towards the payment made for electricity bills, the forefront notion raised against the introduction of this scheme would be to make India self-reliant. This was announced earlier this year, but the official standards were made during the Budgeting ceremony. The scheme was initially focused on the middle-class group of the country, with campaigns initialized to mobilize it among the residential segments of consumers[ii].

The initial investment stands costlier than the traditional methods, but the subsequent payments are minimal in comparison. Towards facilitating the amount required to set up the solar panels, the National Rooftop Scheme has been enabled to provide up to 40% of the initial capital cost. The mass management of the solar system had been on the road for at least a decade set up by the government itself. This has now turned to drive the best out of the micro-management of the system. When the scheme in 2014 was launched the set target was not achieved as a result the plan is now extended to serve two more years till 2026. As stated, when it had been established by the government, the energy resources were largely directed towards the commercial sector. The Council on Energy, Environment and Water reported that the extent of solar energy installations was only 20%[iii].

NEED- THE EXTENT OF ROOFTOP SOLAR SCHEME, 2024

The energy requirement in India is estimated by the International Energy Agency that it would experience a rise three-fold and the already available electricity generation from non-renewable resources such as fossil fuels has become extinct, which poses a severe danger towards the non-availability of resources for the future generation. In light of these endangerments, the government started introducing many initiatives such as the National Solar Mission, Solar Prak Scheme, International Solar Alliance, etc., When these are constructive at large, the optimum utilization of these could be harnessed only by the practical use of these at the moderate sections of the society. The major population of the country would constitute the middle-class population, and the better implementation and use of it by these people would serve as a stat to make it reach to broader sections and reach the goals and objectives of the scheme.

The main extent of this scheme would be that the government aimed to provide free electricity for households for up to 300 units every month[iv]. The Rooftop Installations were declared to reach to an extent of 1 crore households. It provided that substantive subsidies would be provided to those applying against the scheme directly to their bank accounts, and loans would be provided to the people at the concessional rate to avoid excessive costs on the people.

A National Portal has been established to facilitate the households to apply for the subsidy and selecting a suitable vendor who would install the rooftop solar[v]. Around 7% per cent of the cost of installation can be availed under the portal without the submission of the collateral. To facilitate and make it understandable among the masses to make clear the processes of installation and adoption of rooftops especially in rural areas, the project Model Solar Villages was launched to be implemented in every district. The National Online Portal would serve as the substantive manner through which all the stakeholders would remain integrated, and the information could be transmitted conveniently to them[vi]. The bodies of the local self-government were posted with the responsibility for seeking the proper administration of these projects.

The scheme had seen an overwhelming response among the population as there had been more than 1.28 registrations and 14 lakh applications made in this regard[vii]. India’s renewable energy journey has seen significant importance due to its widespread recognition among the people after the facilitation services were provided. The rooftop system for establishing efficient energy optimization and utilization would ensure self-sufficiency to satisfy the energy requirements. In addition to this, surplus energy can be generated which would lead to an increase in savings among the households.

Going overboard and considering other benefits than mere economic savings, would include the sustainable utilization of the resources, to ensure that the resources would never go extinct and be available to the future generation for their utility. The installation of these solar panels would lead to employment generation at large, promoting newer opportunities and facilitating entrepreneurship. Many people with technical skills can be employed in the sector.

These systems have not received widespread familiarity due to a lack of awareness among the people, but these initiatives not only familiarise these schemes among the public but also accelerate the process of attaining the goals of reaching the set target in energy efficiency and self-reliance. 

WHAT WOULD BE THE CHANGE?

The Rooftop Solar Scheme, which was profoundly known as the ‘Pradhan Mantri Ghar Muft Bijli Yojana’, was introduced by Finance Minister Nirmala Sitharaman, the pointers of success ought to be changed include[viii],

1.      Effective reduction in the electricity expenses.

2.      Generation of additional income,

3.      Alleviation of financial burden on the households through subsidies,

4.      Self-efficiency in the energy sector,

5.      Diminishing reliance on traditional resources,

6.      Increase in entrepreneurial and job prospects among the youth.

To become eligible for the benefits under this scheme, the households must be citizens of India, should own a house with a suitable roof to install solar panels, valid electricity connection and should not have ever before utilized such subsidized schemes.

CONCLUSION

When a scheme receives an overwhelming response within a few days of its introduction, this response proves that the scheme had been widely believed among the people to be highly beneficial to them. People are becoming aware of the impudent benefits of solar energy utilization. The costs of electricity are becoming costlier for them to become non-consumable at a certain extent. The lifestyle of the citizens had been electrified, without electricity, none of their work would go well. There is a huge gap that is being created between the demand and the supply of electricity, and in turn, would see an enlargement in the future to experience scarcity as the sources of generating electricity have been depleting, and the availability is in decrease. In search of alternatives, solar energy is one of the most beneficial methods of generating electricity. India is a country that experiences the good wealth of the sun for at least 7-8 months in a year. If this had been the situation, among the alternative sources, with a little more investment in installing, the subsequent cost at a certain stage can be completely cut down. The additional energy generated can be made into the public grid with facilities to earn reasonable premium tariffs. The world is undergoing a shift, and so is a country like India would aims at energy efficiency. The Pradhan Mantri Ghar Muft Bijli Yojana, have made this shift movement a publicly viable one encouraging the participation of the public. This is estimated to lead to drastic changes in attaining efficiency and effectiveness in the energy sector.

REFERENCES

1.Pradhan Mantri Suryodaya Yojana, DRISHTIIAS (Jan. 30, 2024), https://www.drishtiias.com/daily-updates/daily-news-analysis/pradhan-mantri-suryodaya-yojana.

2.Shobhit Gupta, What is Pradhan Mantri Suryodaya Yojana/ 5 points about scheme PM Modi announced, HINDUSTAN TIMES (Jan. 23, 2024, 02:24 PM), https://www.hindustantimes.com/india-news/what-is-pradhan-mantri-suryodaya-yojana-5-points-about-scheme-pm-modi-announced-101705999292769.html.

3.Pradhan Mantri Suryodaya Yojana, DRISHTIIAS (Jan. 30, 2024), https://www.drishtiias.com/daily-updates/daily-news-analysis/pradhan-mantri-suryodaya-yojana.

4.The Hindu Bureau, Union Budget 2024-24: 1 crore homes to get free electricity up to 300 units under Surya Ghar Muft Bijli Yojana, announces Finance Minister, THE HINDU (Jul. 23, 2024, 12:09 PM), https://www.thehindu.com/business/budget/budget-2024-rooftop-solar-scheme-free-electricity-surya-ghar-muft-bijli-yojana-finance-minister/article68435720.ece.

5.ET Online, Cabinet approves rooftop solar subsidy scheme at an outlay of Rs 75, 021 cr, THE ECONOMIC TIMES (Feb. 29, 2024, 05:41 PM), https://m.economictimes.com/industry/renewables/cabinet-approves-scheme-for-installing-rooftop-solar-providing-free-electricity-of-up-to-300-units-for-1-cr-households/articleshow/108103462.cms.

6.Business Today Desk, Union Budget 2024: PM Surya Ghar Muft Bijli scheme to power 1 cr home. Here’s how it lowers your electricity bill, BUSINESS TODAY (Jul. 23, 2024, 11:58 AM), https://www.businesstoday.in/union-budget/story/union-budget-2024-pm-surya-ghar-muft-bijli-scheme-to-power-1-cr-homes-heres-how-it-lowers-your-electricity-bill-438316-2024-07-23.

[ii]Shobhit Gupta, What is Pradhan Mantri Suryodaya Yojana/ 5 points about scheme PM Modi announced, HINDUSTAN TIMES (Jan. 23, 2024, 02:24 PM), https://www.hindustantimes.com/india-news/what-is-pradhan-mantri-suryodaya-yojana-5-points-about-scheme-pm-modi-announced-101705999292769.html.

[iv]The Hindu Bureau, Union Budget 2024-24: 1 crore homes to get free electricity up to 300 units under Surya Ghar Muft Bijli Yojana, announces Finance Minister, THE HINDU (Jul. 23, 2024, 12:09 PM), https://www.thehindu.com/business/budget/budget-2024-rooftop-solar-scheme-free-electricity-surya-ghar-muft-bijli-yojana-finance-minister/article68435720.ece.

[v]ET Online, Cabinet approves rooftop solar subsidy scheme at an outlay of Rs 75, 021 cr, THE ECONOMIC TIMES (Feb. 29, 2024, 05:41 PM), https://m.economictimes.com/industry/renewables/cabinet-approves-scheme-for-installing-rooftop-solar-providing-free-electricity-of-up-to-300-units-for-1-cr-households/articleshow/108103462.cms.

[vi] Id.

[vii] Business Today Desk, Union Budget 2024: PM Surya Ghar Muft Bijli scheme to power 1 cr home. Here’s how it lowers your electricity bill, BUSINESS TODAY (Jul. 23, 2024, 11:58 AM), https://www.businesstoday.in/union-budget/story/union-budget-2024-pm-surya-ghar-muft-bijli-scheme-to-power-1-cr-homes-heres-how-it-lowers-your-electricity-bill-438316-2024-07-23.

 

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