Home India Ministry of New and Renewable Energy Parliament Question: Incentives for Setting up of Renewable ...
Date: 2025-08-06 Category: Not Applicable State: Union Government Country: India

Parliament Question: Incentives for Setting up of Renewable Energy Plants

Issued by Ministry of New and Renewable Energy · Not Applicable

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Executive Summary & Key Takeaways

Executive Summary: This document is a response to Lok Sabha Unstarred Question No. 2980 regarding incentives for setting up renewable energy plants, answered on August 6, 2025. It details the financial support, number and capacity of renewable energy plants in Tamil Nadu, proposals for additional assistance, considerations for increased support, and steps to promote decentralized renewable energy systems. The report covers the last five years (2020-21 to 2024-25). Key Points / Main Content: * **Central Financial Assistance:** * Details of Central Financial Assistance (CFA) provided for renewable energy projects under major ongoing schemes/programmes of the Ministry of New and Renewable Energy (MNRE) are provided in Annexure A (All States/UTs) and B (Tamil Nadu). * **Renewable Energy Projects in Tamil Nadu (2020-21 to 2024-25):** * Solar power projects: 6192.02 MW commissioned. * Wind power projects: 2435.57 MW commissioned. * Bio power projects: 24.93 MW commissioned. * Most projects are set up by private sector developers with financial support from MNRE schemes. * **Proposals from Tamil Nadu:** * No proposals for additional financial assistance have been received from the Government of Tamil Nadu. * No specific proposal for Tamil Nadu is currently under consideration for increased financial support. * **Decentralized Renewable Energy Systems and Off-Grid Solutions:** * MNRE is implementing PM KUSUM across India, including Tamil Nadu, providing financial support for: * Standalone solar agriculture pumps. * Solarization of existing grid-connected agriculture pumps. * Solar power plants on barren/fallow agriculture land. * PM Surya Ghar Muft Bijli Yojana is also being implemented, providing financial support for rooftop solar installations by households. Impact Analysis: * **Renewable Energy Developers (Private Sector):** * Impact: Benefit from various schemes/programmes with financial support for setting up renewable energy projects. * Action Required: Review available schemes and apply for financial support to promote development and deployment of renewable energy capacity. * **Farmers (Tamil Nadu):** * Impact: Opportunity to install standalone solar agriculture pumps, solarize existing pumps, and install solar power plants on barren/fallow land through PM KUSUM. * Action Required: Apply for financial support under PM KUSUM to implement solar-powered agricultural solutions. * **Households (Tamil Nadu):** * Impact: Opportunity to install rooftop solar installations with financial support through PM Surya Ghar Muft Bijli Yojana. * Action Required: Apply for financial support under PM Surya Ghar Muft Bijli Yojana for rooftop solar installations.

Key Entities Referenced

Ministry of New and Renewable Energy: The Indian government ministry responsible for renewable energy development. Tamil Nadu: A state in southern India, specifically mentioned regarding renewable energy projects and financial assistance. PM KUSUM: A government scheme focused on providing financial support for solar agriculture pumps and solar power plants on barren land. PM Surya Ghar Muft Bijli Yojana: A government scheme providing financial support for rooftop solar installations for households. Lok Sabha: The lower house of the Indian Parliament, indicating this document is a parliamentary question. Central Financial Assistance: Financial support provided by the Union Government for renewable energy projects. SHRI SHRIPAD YESSO NAIK: Minister of State for New Renewable Energy and Power who answered the question in Lok Sabha. Renewable Energy: A general term encompassing solar, wind, biomass, and small hydro power.
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GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY LOK SABHA UNSTARRED QUESTION NO. 2980 ANSWERED ON 06.08.2025 INCENTIVES FOR SETTING UP OF RENEWABLE ENERGY PLANTS 2980. SHRI C N ANNADURAI SHRI SELVAM G SHRI NAVASKANI K Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state: (a) the details of financial support, incentives or subsidies provided by the Government for setting up of renewable energy plants in the country with specific reference to Tamil Nadu during the last five years; (b) the number and capacity (in MW) of renewable energy plants—solar, wind, biomass and small delplant set up in Tamil Nadu with financial support from the Union Government during the last five years; (c) whether the Government has received proposals from Tamil Nadu for additional financial assistance to promote renewable energy projects and if so, the details of status of such proposals; (d) whether the Government is considering to increase the quantum of financial support or launching new schemes to attract private investment in the renewable energy sector in Tamil Nadu and if so, the details thereof; and (e) the steps taken by the Government to promote decentralised renewable energy systems and off-grid solutions in rural and semi-urban areas of Tamil Nadu? ANSWER THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER (SHRI SHRIPAD YESSO NAIK) (a) Details of Central Financial Assistance provided for setting up of renewable energy projects in the country and in Tamil Nadu, under major ongoing renewable energy schemes/programmes of the Ministry of New and Renewable Energy (MNRE) during the last five years are given at Annexure. (b) Presently, most of renewable energy projects are set up by private sector developers. However, Ministry of New and Renewable Energy has been implementing various schemes/programmes having provisions of financial support to promote development and deployment of renewable energy capacity in the country. During the last 5 years from 2020-21 till 2024-25, solar power projects of 6192.02 MW, wind power projects of 2435.57 MW, and bio power projects of 24.93 MW have been commissioned in the State of Tamil Nadu. (c) No such proposal has been received from Government of Tamil Nadu. (d) At present, no such specific proposal for State of Tamil Nadu is under consideration of the Government. (e) MNRE has been implementing PM KUSUM across all areas in the country including the State of Tamil Nadu, under which financial support is provided to the farmers for installation of standalone solar agriculture pumps and solarization of existing grid-connected agriculture pumps and to install solar power plants on their barren/fallow/agriculture land. Further, under PM Surya Ghar Muft Bijli Yojana which is also being implemented all areas in the country including the State of Tamil Nadu, financial support is provided for rooftop solar installations by the households. *****Annexure Annexure referred to in reply of part (a) of the Lok Sabha Unstarred Question No. 2980 to be answered on 06.08.2025 Details of Central Financial Assistance provided under major ongoing renewable energy schemes/programmes during the last five years A. All States/ UTs (Rs. In Crore) Solar CPSU Rooftop PM- Waste to GEC Biomass Biogas Year Parks Solar KUSUM Energy 2020-21 68.18 620.25 324.20 156.44 7.57 159.52 6.22 30.04 2021-22 207.33 27.37 1460.20 389.30 75.04 134.67 14.48 7.23 2022-23 676.11 35.50 1532.60 801.37 57.60 250.00 4.91 10.28 2023-24 715.50 1081.14 1498.60 992.36 20.82 334.99 4.18 45.54 2024-25 373.84 557.67 7777.61 2563.93 86.17 357.69 15.99 44.79 B. Tamil Nadu (Rs. In Crore) Green Waste PM- CPSU Rooftop Year Energy Biomass Biogas to KUSUM Scheme Solar Corridor Energy 2020-21 80.50 4.4 2.56 2021-22 20.30 59.26 0.02 2022-23 20.54 87.81 1.03 0.34 2023-24 2.59 80.97 13.94 0.47 2.36 2024-25 6.48 1.76 172.64 10.47 4.95 15.18

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