Government has taken a number of steps to reduce the production cost of solar power in the country, including fiscal and financial incentives in the form of accelerated depreciation, concessional customs and excise duties, preferential tariffs and generation based incentives, he said in Lok Sabha during Question Hour.
“33 solar parks are sanctioned in various parts of the country to achieve cost reduction of solar power generation through economies of scale and combined power evacuation facility,” he said, adding incentives are being provided to improve viability of solar power generations units.
Other incentives include procurement of solar power by financially strong intermediaries like NTPC, long term vision and stable policy framework so that investors can plan better investment.
“Transparent E-reverse auction for procurement of solar power has already resulted in a price point of Rs 4.34 Kwh, almost at grid parity with the conventional sources of electricity,” he said.
PTI