Punjab welcomes Centre's incentive scheme for solar energy

Chandigarh, Jan 30 (UNI) Punjab Science, Technology and Environment and Non Conventional Energy Minister Bikram Singh Majithia today welcomed the decision of the Centre for announcing formulation of generation based incentive scheme for solar photovoltaic and solar thermal power projects.

In this context the minister thanked Union Minister for New and Renewable Energy Vilas Muttemwar for announcing this scheme for the project developers.

In a letter written to the Union Minister, Mr Majithia said that the viability gap incentive scheme is likely to give a big boost to solar power projects in the state as well as in the country.

An official spokesman pointed out that Mr Majithia had earlier requested the Union Minister to revive the policy of 67 per cent capital subsidy to solar power projects. He had pointed out that the state government was receiving a number of proposals from private companies for setting up solar power plants but the tariff of Rs 7 per unit with annual escalation of 5 per cent per annum was keeping the companies away.

Mr Majithia had requested the Union Ministry some months back to provide 67 per cent capital grant as was being provided earlier.

He said that the new decision of the Ministry would give a boost to generation of eco friendly solar power in the country.

UNI HS DB1148