1. Grid-connected SPV Rooftop systems
MNRE
Grid-connected SPV Rooftop systems
Government of India
Ministry of New and Renewable Energy

2. Grid-connected SPV Rooftop systems Concept…
MNRE
Grid-connected SPV Rooftop systems Concept…
These are SPV systems installed on rooftops of residential, commercial or industrial premises.
Electricity generated could be…
-fed into the grid at regulated feed-in tariffs or
-used for self consumption with net-metering approach

3. Grid-connected SPV Rooftop systems Concept…
MNRE
Grid-connected SPV Rooftop systems Concept…

6. Grid-connected SPV Rooftop systems Advantages …..
MNRE
Grid-connected SPV Rooftop systems Advantages …..
Savings in transmission and distribution losses
Low gestation time
No requirement of additional land
Improvement of tail-end grid voltages and reduction in system congestion with higher self-consumption of solar electricity
Local employment generation

7. Grid-connected SPV Rooftop systems Advantages …..
MNRE
Grid-connected SPV Rooftop systems Advantages …..

8. Grid-connected SPV Rooftop systems World-wide Experience …..
MNRE
Grid-connected SPV Rooftop systems World-wide Experience …..
Germany, USA and Japan are leaders in adopting grid-connected SPV Rooftop systems.
Germany has highest PV installed capacity of 32.8 GW of which 70% is in rooftop segment (as on ).
Italy has 12.7 GW PV installation with over 60% rooftop systems
In Europe of total 50.6 GW PV installation, over 50% in in rooftop segment.
FIT is norm in Europe while net-metering is popular in USA.

9. PV market segments in Germany
MNRE
<1%
Image : Schüco
Image: Grammer
Image: Sharp
Social, commercial, agricultural buidlings:
kWp
Large commercial buildings:
> 100 kWp
Private buildings:
1-10 kWp
Ground-mounted Rooftop Building integrated
10%
38%
23%
71%
Looking to the distribution of installed capacity to the different market segements – here by installed capacity 2011 – the importance of the rooftop segment becomes obvious
As you can see the vast majority of 71% is realized as PV roof top systems
within the rooftop segment small commercial buildings with 10 to 100 kWp capacity have the largest share
Image : Solarwatt
Image : Solarwatt
Image : BP
Market share in % of MW installed in 2011
28%
Image: Geosol
Image : Geosol
Source: BSW-Solar, E.Quadrat GmbH 9

10. Germany …1000 Roofs Programme 1991-1995
MNRE
Germany …1000 Roofs Programme
Only German producers (local contentCapital Grant of 70% of investment provided(50% by the federation and 20% by Federal States)
Grid connected PV installation with 1-5 kWp rooftops of single and two family houses were eligible
Every installation had to install 3 meters:
- Generation meter, metering at production
- Feed-in-Meter, metering at fed electricity
- Import Meter, metering the purchased electricity
Obligation for installation operators to record over 5 years monthly meter results

11. Loan Programme through KfW 300 MW of newly installed capacity from PV
MNRE
Germany …100,000 Roofs Programme
Loan Programme through KfW
300 MW of newly installed capacity from PV
Loans at reduced rate of interest (soft loan)
Interest rate of 1.91%
Installations of min. 1kWp of individuals, Freelansers or SMEs

12. International Examples of Solar Rooftop business Models
Country
Implementation Model
Key Driver – Implementation Model
Key Enabier
Key Driver – Business Model
Ownership of Assets
Germany
Gross metered self owned
Feed in Tariff
Interconnection Agreement
Self Owned
Japan
Net metered – self owned
Net metering – capital subsidy
Interconnection Agreement – Net Metering
Savings in cost of energy
United States (Colarado)
Net metering – tax rebates (ITC/ PTC) – RECs
Capital subsidy, Sale Tax exemption to Owners, Income Tax Credit, Production Tax Credit

13. International Examples of Solar Rooftop business Models
United States (California)
Net metered – self owned
Net metering – tax rebates (ITC/ PTC) – RECs
Interconnection Agreement – Net Metering
Property tax exemption, Subsidized PV system for low income household, Performance based incentives to builders
Self Owned
United States (New Jersey)
Net metered – third party owned
Net metering – tax rebates (ITC/ PTC / Depreciation)
Sales Tax exemption, Property Tax incentive
Third Party Owned

14. Success of Gross Metering Model - Germany
1991
1993
Mid 1990s
1999
2000
2003
Started with the 1000 roofs programe in 1991
Government subsidy provided to individuals to cover cost of installation for a grid tied system In range of 1.5 kWp
Systems titled with three meters measuring generation, supply and demand
Cost for a 2.2 kW system around 30000 (Modules around 15000) owners participation around 9000
2000 Grid connected PV systems installed
100,000 roofs program started marked with less interest in credit program funded by kfW bank for private persons, free lance individuals and SMMEs
New Energy law (EEG) introduced setting FiT for 20 years
FiT paid by the distributor to customer, and then rolled up to utility authority, where additional costs of RE are spread out into the overall cost of electricity to all consumers
Program ended with successful installations reaching a limit of 300 MW

15. TOP 3 PV success factors in Germany
MNRE
TOP 3 PV success factors in Germany
EEG – Feed-in law (20 year state guaranteed FIT , RE feed-in priority, one simple national binding scheme)
Attractive business case for all kind of investors from house owner to international investment trusts created
Long term & stable legal framework
 Non-recourse project financing enabled
Quality standards (establishment of high technical standards & development of qualified technical resources e.g. EPCs / integrators)
 Secure long term yields and system security

16. Grid-connected SPV Rooftop systems World-wide Experience ….. USA
MNRE
Grid-connected SPV Rooftop systems World-wide Experience ….. USA
Net metering is popular in 43 States but specific rules defer from States to States.
Energy Policy Act 2005 mandates all public electricity utilities to make net metering options available to all customers.
California had maximum installed onsite customer generated solar capacity of 991 MWp with 1,01,284 net metering consumers from sites.

17. Net Metering mechanism
MNRE
Net Metering mechanism
The Net Metering mechanism shall allow the consumer to reduce its electricity import
The utility benefits by avoiding purchase of electricity from short term market
Electricity generation at load center also minimises the loss of electricity in wires
Capacity for development under Net Metering Mechanism may be allowed in phases to take care of the following aspects.
Equivalent to suitable percentage the utility propose under the intra state network losses or
Capacity projected for purchase of Short Term market
Financial viability

18. Net – Metering Arrangements – United States
Country /States
Limit on System Capacity
Limit on Aggregate Capacity
Access Generation
Meter Aggregation
Connecticut
2 MW
No limit specified
Credited to customer’s next bill at retail rate, excess reconciled annually
Yes (virtual net metering allowed for municipal customers)
Hawaii
50 to 100 kW
15% per circuit distribution threshold for distributed generation penetration
Credited to customer’s next bill at retail rate, granted to utility at end of 12 month billings cycle
Not addressed
Michigan
150 KW
0.75% of utility peak load during previous year
Credited to customer’s next bill at retail rate for systems 20kW or less credited to customer’s next bill at power supply component of retail rate for larger systems. Carries over indefinitely
New Jersey
No capacity limit specified, but energy production should not exceed customer’s annual on-site energy consumption
No limit specified (BPU may limit to 2.5% of peak demand)
Generally credited to customer’s next bill at retail rate excess reconciled annually at avoided-cost rate
Permitted for public entity PV systems (implementing rules not yet in place)

19. Key issues in Solar Rooftop Development – Case of Hawaii
Each Hawaiian island has its own small grid. Hawaii also has the highest residential electric power rates in the United States, at over 37 cents per kwh.
This is about 3 times the national average and over 4 times the cost of electric power in Washington state.
These islands have access to very good levels of solar insolation which coupled with very high retail electricity prices – solar provides an ideal setting for solar.
The number of solar power systems across the island state has doubled every year since 2007, with nearly 20,000 units installed.
Homeowners and businesses now produce nearly 140 megawatts of their own power
Solar tax credits have started biting into the state budget
Solar plants are now threatening the stability of the grid as solar is measuring the 15% limit imposed by the regulator
Hawaiian Electric proposed a moratorium on solar installation, however this had to be taken back after outrage from consumers
Utilities have now shifted to requiring expensive “Interconnection” studies

20. Evolution of Solar PV based Decentralized Business Models
1st Generation – End User Owned System Supply
2nd Generation – Third Party Owned & Operated
3rd Generation - Fully Integrated with Utilities system
Pioneering business model
Focus on direct ownership of systems by building rooftop owners
End user is either the user or the utility through feed in tariff
Institutions limited to financing, designing, deploying & maintaining systems
Business model addresses through third parties market barriers which were not there with individual owners – scale, technical expertise, optimization
Third parties install systems on residential & commercial rooftop, earn a lease payment/ tariff from owner for use of energy generated.
Hybridized business models emerging with greater variation in ownership, control and operation
Movement by utilities to capture more value through involvement like utility’s own FiT, bidding processes
Power fed into the grid where it becomes a part of the utilities supply.

21. Business Models for Net Metering – 1 Consumer end model
MNRE
Business Models for Net Metering – 1 Consumer end model
Consumers are owners of the facility
Challenges:
Limited know-how of installing and
operating
Limited know-how for requirements of approvals and clearances
Administration cost of utility may increase
Utility needs to interact with consumers, energy accounting on individual basis C1
DISCOM C2 C3 Cn

22. MNRE
Business Models for Net Metering – 2 Consumer end Community based model
Capacities may be bundled by a facilitator/ representative who undertakes necessary formalities and may avail subsidy for consumers
Administration cost of utility less compared to earlier model
Utility needs to interact with facilitator/ representative of consumers/owners
Energy accounting at community level
Sharing of benefits among consumers may take place on the basis of their contribution
Representative C1 C2 C3 Cn
DISCOM

23. MNRE
Business Models for Net Metering – 3 RESCO/3rd party model based on FIT
RESCO/3rd party shall supply electricity to the DISCOM at determined FIT
DISCOM may also call for competitive bidding for selection of RESCO/3rd Party
RESCO makes investments for installing facilities at consumers’ roof
Consumers get suitable rent for lending their roofs
3rd Party gets subsidy from the MNRE
Energy accounting takes place at consumer end
Utility purchases solar electricity for meeting RPO
DISCOM C1 C2
3rd Party C3 Cn

24. Consumer tariff assumed
MNRE
Emerging Market Models for Net Metering – 4 3rd Party model based on consumer tariff bidding
Selection of RESCO/3rd Party at upper cap estimated by DISCOM
Consumer gets net energy metered at its premise
Consumers get suitable rent for using their roofs which shall reflect in their electricity bills
3rd Party gets subsidy from MNRE
Streams of revenue include,
Sale of electricity to DISCOM
Sale of RECs
Tax Benefit, Accel. Depreciation benefit etc.
DISCOM C1 C2
3rd Party C3 Cn
Consumer tariff assumed
to be increasing

25. MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by West Bengal
Grid connected rooftop is allowed only for institutional consumers with kW size
Connectivity is allowed at low or medium voltage(6 kV or 11 kV) of distribution system
Solar injection is permitted only upto 90% of annual electricity consumption.
Net energy supplied by the utility to be billed as per existing slab tariffs.
Solar generation to offset consumption in the highest tariff slab and then the lower slab.

26. Policy targets 16 MW of rooftop and small PV installations by 2017.
MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by West Bengal
As per recent policy All existing and upcoming commercial and business establishments having more than 1.5 MW contract demand to install SPV rooftop systems to meet at least 2% of their total electrical load
All existing and upcoming schools and colleges, hospitals, large housing societies, and and Govt. establishments having more than 0.5 MW contract demand to install SPV rooftop systems to meet at least 1.5% of their total electrical load.
Policy targets 16 MW of rooftop and small PV installations by 2017.

27. MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Gujarat
Gandhinagar city initiated a 5 MW(4 MW in Govt. buildings and 1 MW in private homes) rooftop PV programme based on FIT/sale to utility.
Two project developers for 2.5 MW each selected through reverse bidding with GERC cap of rs /kwh.
Torrent Power will buy from Rs /kWh for 25 years and Azure will pass on Rs. 3.0/kWh to rooftop owner as roof rent.
Recently 5 more cities-Bhavnagar Mehsana, Rajkot, Surat and Vadodara started installing pilot rooftop projects.

28. MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Karnataka
As per new RE policy , State to promote rooftop with net metering.
System size to be kW and interconnection at 415 V, 3 phase or 11 kV.
Maximum energy injection allowed upto 70% of energy usage at site from DISCOM.
Energy injection to be settled on net basis in each billing period, no carry forward.

29. Pilot projects may come up in Mysore and Hubli-Dharwad solar cities.
MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Karnataka
25000 PV rooftops of 5-10 kWp size with net metering targeted during next 5 years with 250 MW potential and 350 MU generation.
Grid connected PV rooftop projects to be given priority under Green Energy Fund.
Pilot projects may come up in Mysore and Hubli-Dharwad solar cities.

30. Net metering will be allowed at multiple voltage level
MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Tamil Nadu
As per ‘State Solar Policy 2012’ 350 MW SPV rooftop targeted during
50 MW rooftop to be supported through Rs. 2.0/kWh for the first 2 years, Rs. 1.0/kWh for the next 2 and Rs. 0.50/kWh for other 2 years.
Net metering will be allowed at multiple voltage level

31. MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Tamil Nadu
Interconnection to be as follows:
< 10 kW - connection at 240 V
10 to 15 kWp - connection at 240/415 V
15 to 50 kWp - connection at 415 V
50 to 100 kWp - connection at 415 V
100 kWp connection at 11 kV
Exemption from payment of electricity tax will be allowed for 5 years for 100% solar electricity used for self/sale to utility.
All new Govt./Local body buildings shall necessarily install PV rooftops.

32. DISCOMS agreed to purchase power and rates yet to be finalized.
MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Chandigarh
3.14 MW projects of SPV grid connected PV rooftops projects sanctioned for model solar city are under installation of which 50 kW commissioned.
DISCOMS agreed to purchase power and rates yet to be finalized.

33. Interconnection to be as follows:
MNRE
Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Chandigarh
Interconnection to be as follows:
-Upto 10 kW : Low voltage single phase
-10 kW to 100 kW :3 phase low voltage supply
-100 kW to 1.5 MW : Connection at 11 kV level
-1.5 MW to 5.o MW : Connection at 11 kV/33 kV/66kV as per site conditions
Petition filed with the JERC and the finalization of rate in progress

34. Grid-connected SPV Rooftop systems Indian Experience: Initiatives by Kerala
10,000 solar PV rooftops recently launched with 1.0 kWp each system of total 10 MW
At present only off grid system covered but Kerala has plans to launch 75,000 grid connected rooftops soon.
Rs. 39,000/- state subsidy is available for each 1.0 kWp system

35. State initiatives for promoting Solar Rooftop PV projects
States
Metering
Programme Capacity (MW)
Project Owner
Energy Off taker
Initiatives for Rooftop Owners
Gujarat
Gross Metering 30
Third Party
Distribution Licenses
FiT/ Green Incentive
Karnataka
1.3
Self/ Third Party
MNRE + FiT
Tamil Nadu
Net Metering
350
Household Owner
Self/ Distribution Licenses
MNRE + State (Rs. 20,000)
Andhra Pradesh 2
MNRE + State (Rs. 20,000
Uttarakhand 5
MNRE+ FiT (compensation for excess power 50% of installed capacity for captive use
West Bengal 16
Institutional Consumers only
Extension of demand cut to 50% of installed capacity for captive use
Punjab 60
Self
MNRE + State (Feed in Tariff)

36. State initiatives for promoting Solar Rooftop PV projects
States
Metering
Programme Capacity (MW)
Project Owner
Energy Off taker
Initiatives for Rooftop Owners
Gujarat
Gross Metering 30
Third Party
Distribution Licenses
FiT/ Green Incentive
Karnataka
1.3
Self/ Third Party
MNRE + FiT
Tamil Nadu
Net Metering
350
Household Owner
Self/ Distribution Licenses
MNRE + State (Rs. 20,000)
Andhra Pradesh 2
MNRE + State (Rs. 20,000
Uttarakhand 5
MNRE+ FiT (compensation for excess power 50% of installed capacity for captive use
West Bengal 16
Institutional Consumers only
Extension of demand cut to 50% of installed capacity for captive use
Punjab 60
Self
MNRE + State (Feed in Tariff)

37. State wise Interconnection / Technical Regulation
Capacity Range
Connecting Voltage
Gujarat
Up to 6 kW
Single Phase
6 kW to 100 kW
415 V
100 kW to 1 MW
11 KV
Kerala
Up to 5 kW
1 Phase 230V
5 kW to 100 kW
3 Phase 415 V
3 Phase 11 KV
Tamil Nadu
Up to 10 kW
240 V
10 kW to 15 kW
240/ 415 V
15 kW to 100 kW
> 100 kW
Andhra Pradesh
Up to 3 kW
1 Phase 230 V
> 3 kW

38. State wise Interconnection / Technical Regulation
Capacity Range
Connecting Voltage
Karnataka
1 kW to 5 kW
1 Phase 230V
5 kW to 50 kW
3 Phase 415 V
50 kW to 1 MW
11 KV
Punjab
Up to 7 kW
Single Phase L T 230V
7 kW to 25 kW
3 Phase 415 V
25 kW and above
West Bengal
100 KV – 2 MW
LV or MV or 6 KV or 11 KV
Uttarakhand
Up to 4 KV
Low Voltage Single Phase Supply
Load > 4kW and up to 75 kW
Low Voltage three phase supply
Load > 75kW and up to 1.5 MW
Load >1.5 MW and up to MW
11/33 KV or as per site con

39. Grid-connected SPV Rooftop systems Action being initiated …..
MNRE
Grid-connected SPV Rooftop systems Action being initiated …..
CEA has notified “Technical Standards for Connectivity of the Distibuted Generation Resources-CEA Regulations 2013” in October 2013 which permits the grid connectivity of SPV rooftop also.
CEA has submitted a draft “CEA (Installation and Operation of Meters- Regulation 2013” to M/o Power for approval for metering arrangement for inter connection of SPV rooftop with grid.
CERC has brought out the draft guidelines for grid connectivity and metering arrangements for SPV rooftops.

40. Grid-connected SPV Rooftop systems Action being initiated …..
MNRE
Grid-connected SPV Rooftop systems Action being initiated …..
MNRE has included Grid connected SPV rooftops in the “off grid and decentralised solar Applications” scheme vide ammend no. 5/23/2009-P&C dated 30th October 2012 for SPV plants upto 100 kW capacity.
MNRE subsidy upto 30% on the following benchmark cost of the projects is available :
Upto 100 kWp : 100 Rs./Wp
100 to 500 kWp : 90 Rs./Wp
A separate scheme on “Grid connected rooftops and small solar systems” has been formulated which is under approval

41. Grid Connected Rooftop Scheme: of MNRE (Under Approval)
Objective of the scheme is to promote the grid connected SPV rooftop and small SPV power plants in the residential, community, institutional, industrial and commercial establishments.
Project capacity of 1.0 kW to 500 kWp per project/system
Implementation through programme (upto 50 kWp ) and project modes(above 50 kWp)
Implementing agencies- SNAs, Solar Energy Corporation of India(SECI), Channel Partners, FIs/Financial Integrators, Other Govt. Departments/Agencies/PSUs etc.
CFA is 30% of the benchmark for general and 70% CFA for NE and Special Category States for Govt. projects.
300 MW target for the 12th FY Plan

42. Grid-connected SPV Rooftop systems Action initiated …..
MNRE
Grid-connected SPV Rooftop systems Action initiated …..
29.1 MWp SPV grid connected rooftop project sanctioned under NCEF funding are under execution by SECI (26.6 MWp) and Ministry of Railways (2.5 MWp).
50 MWp SPV grid connected rooftop project approved under NCEF funding sanctioned to SECI.
MWp projects to 10 States; AP,MP, Rajasthan, Punjab, Chandigarh, Kerala, Uttarakhand, Gujarat, Uttar Pradesh, Tamil Nadu MNRE sanctioned .
Total MWp projects completed.

43. Grid Connected SPV Rooftop Projects Sanctioned to States/ UTs/ SECI (As on 10.09.2014)
Sl. No.
State/UTs
Projects Sanctioned by MNRE
(MWp)
Projects* implementation by SECI
Total
Sanctioned
Achievements**
(in MWp) 1.
Andhra Pradesh
5.00
2.00
7.00
1.85 2.
Chhattisgarh --
2.05
0.80 3.
Chandigarh
6.06
0.50
6.56
2.10 4.
Delhi
3.07 5.
Gujarat
5.75
9.75 6.
Haryana
1.13 7.
Kerala
1.28 8.
Karnataka
1.50 9.
Madhya Pradesh
0.25
5.25
0.10
10.
Maharashtra
0.67
11.
Odisha
1.00
0.86

44. Grid Connected SPV Rooftop Projects Sanctioned to States/ UTs/ SECI (As on 10.09.2014)
Sl. No.
State/UTs
Projects Sanctioned by MNRE
(MWp)
Projects* implementation by SECI
Total
Sanctioned
Achievements**
(in MWp)
12.
Punjab
5.00 --
7.52
13.
Rajasthan
6.00
3.25
9.25
0.30
14.
Tamil Nadu
6.74
11.74
4.40
15.
Tripura
1.00
16.
Uttarakhand
17.
Uttar Pradesh
2.00
1.50
3.50
1.08
18.
West Bengal
0.63
19.
M/ o Railways
2.50*
2.50
Sub Total
50.33
25.55
75.88
35.76
20.
Many States by SECI under NCEF
50.00
Grand Total
75.55
125.88

45. Grid-connected SPV Rooftop systems Actions required by States…
MNRE
Grid-connected SPV Rooftop systems Actions required by States…
States to announce suitable policies on grid connected PV rooftop systems
SERCs to notify regulatory orders for grid connectivity, net metering, gross metering, tariff etc.
States to establish dialogue with DISCOMs and SERCs
DISCOMs to promote rooftop in States
States to set up few pilot projects.

46. Key Considerations…….
Lack of public domain knowledge of technical standards and guidelines for grid connectivity, metering, safety and security
Energy accounting and commercial settlement guidelines for grid connected solar rooftop projects still evolving
Regulatory provisions relating to applicability of charges relating to wheeling, open access, cross subsidy etc. for solar rooftop projects needs to be clarified
Projects so far, implemented in India, have been either under gross metering arrangement or on captive consumption arrangements

47. Roof Space requirement for rooftop system
MNRE
Roof Space requirement for rooftop system
10-15 sq. meter roof space is required for kW system
A 100 sq. meter roof space can have kW SPV system
Cost of 1.0 kW system is about Rs lakh
30% CFA is available from MNRE

48. Economics of Grid Connected Rooftop (100 kWp Rooftop Plant)
Capital Cost : Rs. 80 Lakh
Subsidy (30%) : Rs. 24 Lakh
Net Cost to Customer : Rs. 56 Lakh
Avg. Annual Generation : Rs.1,50,000 kWh
Annual Rs 10.5 lakh
Simple pay back : 5.33 years
Avg. elect. generation cost : Rs. 8.0/kWh (without Subsidy)
Avg. elect. generation cost : Rs. 5.60/kWh (with Subsidy)

49. Potential of SPV rooftop
MNRE
Potential of SPV rooftop
One million industrial units and each with average sq. meter rooftop space can have about 25,000 MWeq Solar PV rooftop installations.
Only 800 Kendriya Vidyalayas in India can host about 20 MW eq. Solar PV rooftops.
About 100 million houses can install 100 million 100,000 MW eq. Solar PV rooftops.
……and so on

50. 360 kWp Solar grid connected rooftop plants at Super Auto Forge, Chennai

51. Rooftop SPV system (50 kWp) at
Paryawaran Bhawan, Chandigarh
25 KWp SPV Plant at Police Hq, Chandigarh

52. 70 KWp SPV Plant at Govt Multi Speciality Hospital , sec-16, Chandigarh

54. MNRE
Thank You