Gujarat Solar Energy Policy2024-02-27T13:01:20+05:30

Gujarat Solar Policy

Gujarat’s latest solar energy policy came out in 2021 and will be applicable till 31st December 2025. The state government has introduced several provisions and benefits for :

Residential Sector

Commercial/Industrial Sector

Open Access Organizations

Solar under REC Mechanism

Implementing Agency: Gujarat Energy Development Agency (GEDA)

 Residential

  • No restriction on installed capacity
  • Third-party sale allowed
  • Surplus energy can be injected into the grid at ₹2.25/unit tariff for the first 5 years of commissioning, thereafter it would be 75% of the lowest tariff decided in the GUVNL bid
  • No energy banking charges
  • No wheeling and transmission charges
  • Solar subsidy as per MNRE guidelines
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Commercial/Industrial/ Institutional

(For captive use)

  • No restriction on installed capacity
  • Surplus Injection compensation for MSME would be ₹2.25/unit for the first 5 years and 75% of tariff discovered after GUVNL bid for the remaining years
  • The surplus energy compensation for other consumers would be 75% of the average tariff discovered in the GUVNL bid.

          Banking Charges

  • MSMEs: ₹1.10/unit on solar energy consumed
  • Demand-based consumers: ₹1.5/unit on energy consumed
  • Government Buildings: Exempted
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Open Access Projects

(Third Party Sale)

  • No restriction on installed capacity
  • Surplus energy compensation: 75% of the average tariff discovered in the GUVNL bid.
  • Cross-subsidy, additional surcharge, wheeling, and transmission charges are to be decided by Gujarat Electricity Regulatory Commission (GERC) from time to time.
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Renewable Energy Certificate (REC)

  • Capacity added under the REC mechanism can be up to the sanctioned load/contract demand
  • Energy accounting is to be on a 15-minute time block basis
  • Surplus energy compensation to be 65% of the simple average of tariff discovered in GUVNL bid
  • No banking charges
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