|Policy status:||In Force|
|Policy Type:||Economic Instruments>Fiscal/financial incentives>Grants and subsidies, Regulatory Instruments|
|Policy Target:||Multiple RE Sources>Power, Solar, Bioenergy, Hydropower, Wind|
|Policy Sector:||Electricity, Framework Policy|
|Size of Plant Targeted:||Small|
In 2016, Uttar Pradesh adopted a Mini-Grid Policy in order to speed up electrification process in rural areas of the province through a facilitation of renewable energy and mini-grids deployment.
The mini-grids supported and regulated by the policy are to be installed in un-electrified areas (mostly rural) with no access to the national grid or in areas with low levels of electricity supply. The maximum size of the mini-grid project is 500 kW.
The policy allows mini-grid developers to operate under two models.
Under the first model the mini-grid developer is entitled to a 30% of a capital grant support in exchange for a state government/distribution company to indicate a location of the project, customer tariff and technical specifications of the project.
Under the second model the project developer is free to choose a project location along with a level of a tariff charged to the customer however is not entitled for a capital grant support. However, projects operating under this model are entitled for the benefits of other Infrastructural 5 related support, incentives provided in Industrial Policy and exit process in case of conventional grid access.
Mini-grid projects must be executed within certain timeframes:
Six months extension may be granted for a delay due to actual/natural reasons at various levels.
In order to view a full versions of Uttar Pradesh Mini-Grid Policy 2016 please click here.
Last modified: Mon, 21 Aug 2017 11:47:45 CEST