The Government on Wednesday gave its nod to a proposal for setting up 12,000 MW grid-connected solar photovoltaic (PV) power projects with an estimated viability gap funding of Rs 8,580 crore.
The decision was taken by the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi, Law Minister Ravi Shankar Prasad said here.
The proposal seeks to implement “the Central Public Sector Undertaking (CPSU) Scheme Phase-ll for setting up 12,000 MW grid-connected Solar PV Power Projects, by the Government Producers with Viability Gap Funding (VGF) support of Rs 8,580 crore for self-use or use by Government or Government entities, both Central and State Governments”, an official statement said.
With the implementation of the scheme, 12,000 MW or more of grid connected solar PV power projects would be set up by government producers in four years (2019-20 to 2022-23), thereby creating investment of about Rs 48,000 crore, it said.
“The Scheme will mandate use of both solar photovoltaic (SPV) cells and modules manufactured domestically as per specifications and testing requirements fixed by MNRE (Ministry of New & Renewable Energy),” it added.
