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Presentation

on

Odisha 4 MWp Rooftop


Solar Net Metering Project

Green Energy Development


Corporation of Odisha Ltd.
(GEDCOL)
Renewable Energy: Estimated Potential & Present capacity
Different studies made by Govt. of India indicates the tentative source wise potential of
Renewable Energy available in the State.

Presently, Odisha is having 215 MW of tied up RE capacity, out of which 140 MW is installed
within the State.

Small
Technology Solar1 Wind2 Biomass MSW Total
Hydro3
Potential (MW) 25780 910 295 350 27335
Installed capacity (MW) 63 - 57 20 - 140

1 National Institute of Solar Energy (NISE) has estimated the Solar power potential for Odisha as 25780 MWp.
2 As per National Institute of Wind Energy (NIWE), Odisha has an estimated wind power potential of 910 MW (at 50 mtr.
hub height) and 1384 MW (at 80 mtr. hub height).
3 As per survey of 222 sites in the State, the small hydro potential in the State is 295 MW.
Renewable Purchase Obligation (RPO)
RPO mandates the Obligated Entities to source a certain percentage of their power purchase
from Renewable Energy sources.
For and beyond FY 2015-16, OERC has notified revised RE Compliance Regulation, 2015 w.e.f.
10th Sep. 2015, up to FY 2019-20, wherein co-generation has been de-recognized under RPO.
National Tariff Policy, 2016 notified on 20th Jan. 2016 mandates, the Solar RPO percentage as 8%
with total RPO of 17% by 2022 (excluding hydro consumption).
The RE capacity addition required for the State up to 2021-22 is detailed below as per OERC RPO
targets;

State Energy RPO Percentage (%) Requirement in MU Requirement in MW Year wise Additional
FY Consumption Requirement in MW
in MU Solar Non- Solar Solar Non-Solar Solar Non- Solar Solar Non- Solar
2015- 16 23748 0.5 2.5 118.7 593.7 91 136 138 77

2016- 17 24550 1.5 3.0 368.3 736.5 283 168 145 91

2017 -18 25500 3.0 4.5 765.0 1147.5 588 262 305 94

2018 -19 26500 4.5 5.0 1192.5 1325.0 917 303 329 41

2019 -20 27500 5.5 5.5 1512.5 1512.5 1163 345 246 42

2021-22 30000 8.0 9.0 2400.0 2700.0 1846 616 683 271
Introduction
Background of the Project
India is aiming to achieve 40 GW of solar rooftop capacity out of the total target
of achieving 100 GW of solar power by 2022
Out of this 40 GW, State of Odisha has 1 GW of Solar rooftop target
Govt. of Odisha, with a view to develop a market for rooftop solar projects
decided to undertake the development of a pilot project on grid connected
rooftop solar project(s)
Project is to be developed on a net metering model with a proposed minimum
installed capacity of 4 MWp
Project shall be implemented on buildings specified by the GOO in the cities
of Cuttack and Bhubaneswar on GOO buildings
Project to be implemented through PPP route on a BOO basis
The GOO has appointed GEDCOL as the nodal Authority for the project
International Finance Corporation (IFC) was appointed lead transaction advisor to
assist GEDCOL in the project.
Objective of the Project
The objectives of the Government of Odisha in developing the Project are to:
a) Develop the Project to facilitate firming up of policy and regulatory
framework for net metered solar PV rooftop projects in Odisha;
b) To facilitate self-replicable consumer-driven electricity generation in
Odisha;
c) To leverage solar resources to increase the share of renewable energy in
the overall energy mix of Odisha.
d) To improve the capacity of State Discoms in implementation of Solar
Rooftop Projects
e) To attract investment from third party investors in grid tied solar
rooftop segment in State of Odisha
Project Scope
Setting up of photovoltaic solar power plants on the rooftops of the selected
Buildings
Solar power generated shall be utilized by the occupants
Any surplus power not consumed by the Facility/Building to be banked with
CESU, subject to a maximum of 90% of total consumption in a FY
25 year term (excluding 12 months commissioning period)
Minimum 4 MWp of rooftop based solar power to be generated on facilities in
Bhubaneswar and Cuttack
Key Learnings
Preparatory Activities (1/5)
Technical - Detailed Site Survey

Detailed site survey undertaken to assess rooftop suitability, potential & grid integration
feasibility. Around 200 building identified for Project.
Results of survey shared with developers enhanced developer confidence in project
Building wise consumer accounts (as per CESU) were mapped to assess
annual electricity consumption, connected load
identify DTR to which building is connected and DTR capacity available for rooftop
solar, grid availability in the identified locations

Total

1 Solar rooftop capacity identified - survey (kWp) 8,201

2 Solar Capacity under net -metering (kWp) 5,344

3 Final Solar Net-metering Capacity (kWp) (after DTR capping) 4,642*

Assuming 15 sqr. mtr. Roof area per kWp


Geographic spread rooftop solar sites
Overview of
sites in
Bhubaneswar
& Cuttack

Sample Site
view
Preparatory Activities (2/5)
Regulatory Net Metering Regulation

Implementation of Project under net metering required issuance of net


metering regulation
GEDCOL, with assistance from IFC, submitted petition to OERC for issuance of
Net Metering Regulation
Specific request made for allowing third party owned rooftop projects as
the proposed Project is under PPP arrangement
Aspects related to interconnection and metering standards for net meters
shared with OERC after extensive discussion with CESU and reviewing
other State experiences
Initially the Net-metering regulation was applicable for the Govt. buildings
only under this Scheme, which was subsequently extended to all other
buildings
OERC issued the Net Metering regulation paving the way forward for the
implementation of the project.
Preparatory Activities (3/5)
Policy Leasing & Coordination

Issue Govt. Building identified for the project were owned by multiple
departments. Developer entering into separate lease agreement with each
department on standalone basis would have been cumbersome.

In order to reduce time & issues related to multiple leasing :


Prior to floating the tender, consents letters were initiated by the governing
body of the Govt. of Odisha buildings in Bhubaneswar and Cuttack that were
proposed to be included in the project.
GEDCOL appointed as single point of contact for leasing
GEDCOL, on behalf of Energy department, was mandated to sign the Lease
Agreement for all Government buildings
GEDCOL has also been authorized by way of Board Resolutions to sign the
Lease Agreements on behalf of Autonomous Bodies/Universities/
Educational Institutions etc.
Preparatory Activities (4/5)
Institutional Discom (CESU) to play important role

Role of distribution utility important for implementing large capacity rooftop solar
projects
CESU provided full support for project & is also party to the Project
Implementation Agreement signed with the Developer
CESUs support important in undertaking interconnection feasibility as well as
implementation of project
CESUs support ensured easy access to consumer consumption data, DTR
capacity to which building is connected and finalizing aspects related to
metering & interconnection
CESU acting as billing agent in the Project thereby reducing transaction cost
related to billing CESU to get nominal fee for that
CESU involvement will also ensure monitored performance mechanism between
the developer and the end consumers.
Preparatory Activities (5/5)
Developing Standard Bid documents

Standard bid documents were prepared to facilitate selection of developer for the rooftop
solar
technical assessment report (covering all buildings) provided in the tender document

The contractual arrangement ensured optimal risk sharing between different parties
Project Implementation Agreement
Ensure payment to developer is on solar power consumed (and not generated)
Billing & accounting system devised involving CESU apart from developer &
consumer (under net metering)
Technical Standards & specifications clearly detailed
Developer to install minimum 4 MWp - provided a provision to increase the
capacity per building if roofs were found feasible for more capacity during the
installation (under net metering)
Lease Agreement
Standard lease agreement for all the buildings
Developer Selected through competitive bidding
Bidder will provide Quoted Tariff (Rs./kWh) & Quoted Project Cost
(Rs. Crores/MW)

Lowest Total Outlay for installation of 1 MWp to be winning bid (i.e.


the summation of the Capital Subsidy and the Present Value of the
Quoted Tariff)

Total Project Outlay will be computed based on following


assumptions
Capital Subsidy of 30%
CUF 17%
Deration 0.5%
Auxiliary Consumption 0.00%
Discount Rate 11.24%
Participants & Contractual Structure

Developer
CESU to act
Retail Tariff for net purchase as collection
from utility plus solar energy agent
consumed
Solar Payment- i.e.,
Retail Tariff for
solar energy
Consumer CESU
consumed + Capital
Subsidy + GBI

Solar
GEDCOL Payment

Tripartite Project Implementation Agreement (PIA) between GEDCOL, Developer and CESU
Lease Agreement between GEDCOL & Developer
Connection Agreement between CESU and Consumer
Funds Flow
Roles & Responsibilities
GEDCOL
Ensure signing of lease agreement; allow unhindered rooftop access to Operator
Facilitate Net metering Applications by Consumers; Facilitate Signing of Connection
Agreements
Make the following payments to Operator
Capital Subsidy
Project Payments - i.e. Retail Tariff + Generation Based Incentive
Developer
Performance Standards : Maintain minimum annual CUF (13% for 1st 15 years; 10% later)
CESU
Execute Connection Agreements with Consumers through GEDCOL
Approve, position, install and seal the Net Meter and the Solar Meter for each Consumer
in accordance with the OERC Net Metering Order
Take meter readings of the Net Meter and the Solar Meter on a Monthly basis
The Project has assisted in providing better clarity in implementation of net
metered rooftop solar projects
OERC has recently issued a new Order on Net Metering key Highlights
Cumulative solar energy capacity at distribution transformer level from the earlier 30% of
transformer capacity to 75% of transformer capacity
The maximum Solar PV installation capacity has been limited to the sanctioned load/contract
demand of the respective consumer instead of earlier ceiling of 1 MW.
The system may be roof-mounted or ground-mounted, connected to the Distribution network, will
be treated as a project on the consumer side of metering and will be allowed for net-metering.
This view is reinforced after taking into account the experience of DISCOMs.
It is also a fact that most of the solar energy generated by a consumer is self-consumed or
consumed in the immediate neighborhood.
Thus, the distributed generation and local consumption of such Solar Energy will reduce the
technical losses pertaining to respective Distribution network, particularly in the LT segment. This
will also help DISCOMs in improving their commercial efficiency by way of reduction of input
energy.
Further, GEDCOL has requested the DISCOMs to consider for DTR upgradations, when the
cumulative RE penetration reaches 75% DTR capacity
The Commission may however increase/decrease the level of penetration and issue renewable
energy penetration limits at overall grid level if required in the future to ensure grid stability.
Way forward
The developer has already initiated the implementation of rooftop solar project
in Bhubaneswar & Cuttack.
GEDCOL is further looking forward to extend the scheme to the Central Govt.
buildings in Odisha, if the Central Govt. intuitions provide their willingness to
implement the Rooftop systems under the present model.
Govt. of Odisha is planning to replicate the Bhubaneswar and Cuttack project in
6 more cities in Odisha

GEDCOL has already conducted Knowledge Sharing & Dissemination


workshop for different stakeholders (all Discoms, Consumers & others) to
sensitize on the ongoing rooftop solar project as well as elements to be
considered for further replication
Odisha has also finalized the process mapping starting from Registration
up to installation of Solar Rooftops for the private & individual Roof
owners, which will enable greater convergence of the programme.
Odisha Rooftop: Role of Stakeholders
Overall Process Flow map
Stakeholder Role & Responsibility

1 To disseminate the Rooftop programs in the State across categories


OREDA (SNA) Training for larger consumer sensitization & installation (Surya Mitra)
Facilitate installation through Channel Partners
Process subsidy applications and disbursement of Subsidy to beneficiaries
2
Assess Technical Feasibility and Issuance of NOC for Installation
Empanel Vendors for supply of Meters
DISCOM (Utility) Test & verify meters prior to installation by consumers
Post installation check Metering arrangement and system verification
Interconnection, Synchronization and commissioning, Metering & billing
3

Regulatory Define technical, regulatory limits for solar injection into LT grid
Commission Define solar PV capacity with voltage level
(OERC) Net metering regulation , cap on capacity, billing and accounting regulation

4
The applicant should be the owner of the property or authorized person and
Consumer of DISCOM
Rooftop solar Maximum capacity is limited to contract demand
Consumer Easy access to roofs, Roofs should be clear for PV installation
Well understand the net metering policy and complete the application procedure
Process from Registration to Installation- 90 days
Application to DISCOM
Submit the print out of
Registration Application form in the Engagement with DISCOM
Registration Online / Division Office of DISCOM Site Verification & Feasibility Check by
www.odisharenewable.in with relevant documents DISCOM
Offline application assistance by Deposit Application Fees NOC for installation by DISCOM (90 days
OREDA validity)
Intimation to OREDA
Specify the Net meter Procurement & testing
process
Consumer may approach Banks for
Loan

Consumers without subsidy


Subsidy Process Procurement & Installation of SRT
Process Subsidy Procedure & Net Meters Installation Verification
Facilitate engagement Consumer to Engage with Channel Partners Verification of installed
with Channel partners for procurement & Installation (Model SRT components
Issue subsidy approval Procurement Agreement to be prescribed) Checklist as per the
letter to Consumer Procure Net Meters from Dealers Authorised by guidelines of OERC /
DISCOM and Testing by DISCOM CEA
Submit to the DISCOM the completion Report

Consumers without subsidy

Synchronisation &
Connection Safety Verification by Charging
Disbursement of
verification by Comp. Authority(EIC Testing of Net meters Check of the
Subsidy
system, synchronisation by
DISCOM / Empanelled Engg.) DISCOM

Consumer Discom OREDA


Tentative time schedule from Registration to Installation

Disbursement of Subsidy 7

Syncronisation and Charging by


7
DISCOM

Installation Inspection- OREDA -


14
DISCOM-EIC

Procurement of SRTPV, Net Meters &


28
Installation

Process Subsidy Application 3

Issue of NOC 15

Application to DISCOM 7

Registration 3

0 10 20 30 40 50 60 70 80 90 100

Consumer Discom OREDA


OREDAs Role- Consumer Awareness & Engagement, Facilitation & Subsidy

Customer sensitization with regards to awareness and information with regards to OREDA as SNA
(State Nodal Agency) have following process map
1 3
Consumer Awareness Installation of proposed rooftop plant

1. Solar Calculator OREDA Website 1. List of channel partners


2. FAQs for consumer on tech & benefits 2. Training and capacity building (Surya
3. OREDA Helpline desk 1800-345-7135 Mitra)
4. Checklist to be followed by solar consumer 3. Format for work completion report

2 4
Engagement & Registration Subsidy Disbursement

1. Registration format (filling of the online / 1. Register the application for subsidy
manual form) 2. Issue comfort letter for availing loans
2. Submission of essential list of documents 3. Co-ordinate & follow up with MNRE for
3. Online information on registration process Subsidy applications
procedure to be made available to solar 4. Details and procedure required for
consumer consumers who wish to avail MNRE
4. Assistance for offline consumers subsidy
5. Intimate DISCOM about registration and 5. On completion of installation and charging
request to undertake study and issue NOC disburse the subsidy
Channel Partners
OREDA has empanelled Channel Partners who would assist consumers for;
1) Design, Supply & Install of Solar Roof Top PV as per guidelines of Competent Authority
2) Assist consumer in processing applications and obtaining approvals
3) Post Installation services including maintenance & other after sales services

Empanelled Channel Partners:


1. Kirti Solar Limited, Kolkata.
2. Novus Green Energy Systems pvt.ltd, Secunderabad.
3. CIRA Renewable Energy Pvt. limited, Hyderabad.
4. Premier solar Systems pvt.ltd, Secunderabad.
5. Shanti Associates, Cuttack,
6. Environ Energy Corporation India pvt.ltd, Kolkata,
7. K.C. Kopar Energy Solution pvt.ltd. Kerala,
8. Lycos India Limited, Bhubaneswar,
9. Aditi solar pvt. ltd., Hyderabad.
10. Jakson Engineers Limited, U.P.
11. Gayatri Engineering Construction and Consultancy (p) ltd., Bhubaneswar,
12. Greenco Systems pvt. ltd., Bhubaneswar.
Proposed activities to be facilitated by OREDA
A. Consumer Awareness & engagement :
1. Improve on the online platforms to make it transaction enabled
Upload data by consumer and generates an Unique Application No.
Real time intimation to DISCOMS with Access rights to DISCOM for uploading data &
updating
For offline consumers facilitate uploading at common service centers / OREDA
Mapping of the DISCOMS & their Divisions
2. Develop a Mobile App for engagement with consumers
B. Easy and user friendly registration process
Applicant details like copy of the latest Power Bill,
Rooftop ownership details,
Checklist of all documents for enabling registration
Upload all the standard forms & sample formats for the entire process from registration to
installations
C. Subsidy Application process
1. process timelines and
2. disbursement rules & regulations with checklist
D. Solar Roof top PV Procurement & Installation
1. Channel Partners details
2. Model SRT supply & installation Agreement
E. Consumer Grievance & Redressal Mechanism Online portal shall also have provision for
DISCOM Process Mapping
Application NODAL OFFICER / DIVISION OFFICE
Process receives the Application Details &
Application Fees
Yes Utility shall provide
suggestions and reasons for
rejection of application
General Screening by DISCOM
As per direction of DISCOM Nodal Officer,
technical feasibility assessment by If, Application form fails to
Division Office
Utility Review

clear technical screening


relevant information
Process

Yes
After Obtaining Technical feasibility
report, DISCOM to issue NOC, and notify
to applicant & OREDA No

Consumer to reapply (stage 1)


Applicant installs rooftop facility within
90 days on NOC, Submit work completion No
Installation and Commissioning

report (Format 4)
Yes Consumer & System Installer
to take corrective measures &
1. Installation verification by OREDA of
SRT PV components Apply to retest
2. Verification by DISCOM
3. Safety Verification by Com Auth. OREDA / DISCOM / CA to
4. Charging by DISCOM provide suggestions & reason
Yes for failure
Not OK

Utility Issues Letter of Sync. ,


Intimates to OREDA
& Executes Net metering Agreement

LoS: Letter of Synchronization


Chronology of Events: 4MW Roof Top Solar Project
Sl. No. Description Timeline
01 Proposal of GEDCOL to Govt. of Odisha for Solar Rooftop Project 07.03.2013
02 Approval of Govt. of Odisha and signing of FASA with IFC 02.09.2013
03 Decision for taking up the Net-metering model 03.12.2013
04 Floating of RFQ 28.02.2014
05 Receipt of RFQ proposals (from 7 no. Firms*) 19.05.2014
06 Intimated to all 7 Firms for qualifying in the RFQ 20.09.2014
07 MNRE sanctioned CFA @ 30% of project cost 27.10.2014
08 OERC issued Net-metering order 25.11.2014
09 Final RFP, PIA and Lease Deed document submitted by IFC 10.09.2015
10 Floating of RFP 08.10.2015
11 Pre-Bid meeting with Developers 29.10.2015
12 RFP Proposals Opened 13.01.2016
13 LOA issued 31.03.2016
14 Revised LOA issued 09.06.2016
15 Project Implementation Agreement signed 30.07.2016
16 Project completion (1st Phase 0.2 MW) 28.12.2016
17 Project completion (2nd Phase 0.8 MW) 29.03.2017
18 Project completion (3rd Phase 3.0 MW) 29.09.2017
Firms participated in the RFQ:
Azure Power India Pvt. Ltd., New Delhi
Abacus Holdings (P) Ltd., Bhubaneswar
Green Infra Corporate Solar Ltd., New Delhi
Madhav Infra Projects Ltd., Vadodara
Sun Edison Solar Power India (P) Ltd., Ahmedabad
Tata Power Trading Company Ltd., New Delhi
Ujaas Energy Ltd., Indore

Firms participated in the RFP:


Azure Power India Pvt. Ltd., New Delhi
Madhav Infra Projects Ltd., Vadodara

The Selected Firm:


M/s Azure Power India Pvt. Ltd., New Delhi
Thank You

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