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Subsidy on Solar Power fails to woo customers: Nellore Report

1,000 MW solar parkEven as the State and Central governments have been promoting solar power to save conventional form of energy, there are hardly any takers in Nellore. This is despite the fact that 50 per cent subsidy is offered on the same. The situation is evident as less than 10 units of solar panels installed so far in the whole city. These are inclusive of government offices.

  • Not even 10 buildings in the whole city installed solar units
  • 50 per cent subsidy also fails to woo customers

What’s sad is that people are not even availing the net-metering scheme, wherein a person can make use of solar photo voltaic units and transmit excess power to the grid. For the same, New and Renewable Energy Development Corporation of Andhra Pradesh (NREDCAP) provides 30 per cent subsidy to the consumer for the usage of these units besides an additional 20 per cent subsidy provided by the State government.

  • NREDCAP provides 30% subsidy for using solar panel units
  • Another 20% subsidy is extended by the State government
  • NREDCAP district manager says people are aware of benefits of solar power but are just neglecting to install them despite their affordable costs

In fact, net metering is a billing mechanism that credits solar energy plant owners for  the electricity they add to the grid. If a residential customer has a solar system, it  may generate more electricity than the home uses during daytime. If the home is  net-metered, the meter will run backwards to provide a credit against how much electricity is  consumed where the home’s electricity use exceeds the system’s output.

Customers are only billed for their net energy use. In case solar power is not sufficient due to cloud cover or during night hours, the captive loads are served by drawing power from the grid. Commenting on the poor response to solar power panels, CB Jagadeeswara Reddy, District Manager of NREDCAP, said, “People are well aware of the subsidy and benefits of installing solar power panels, but are neglecting it.

“We have reduced the cost of equipment to make people install the panels and benefit with the same. It is saddening to see such a passive response from the locals.” A senior official of SPDCL said, “Though government promotes alternate power through solar units, people prefer uninterrupted power supply, which is the major reason for solar panels being ignored by the locals.”

Source: THI