India’s western state of Rajasthan has the most abundant solar resource in India with large tracts of low-cost land with high solar insolation available. The state has now come out with a new solar energy policy where it has set a target of 30000 MW by 2025 building upon the 5 GW of existing solar capacity in the state. The state will give out a number of incentives such as relaxations in stamp duty, electricity duty, and transmission and wheeling charges, etc.
The biggest driver of expanding solar capacity in the state will be mega solar parks which will be built on 125,000 hectares of land across three districts Bikaner, Jaisalmer, and Jodhpur. The state’s earlier solar parks have not really grown as envisaged due to delays in building transmission facilities and the high solar park charges. The state wants to now accelerate things by giving out the responsibility of developing solar parks to central public sector companies. Though this feels contrary to public sector units with their traditional lethargy and their onerous procurement rules and processes, it should take more time for them to build out large infrastructure projects.
Besides ultra mega parks, Rajasthan will also support smaller ground-mounted solar plants which will be developed by the private sector. The state will also support the KUSUM scheme under which rural small solar plants and solar pumps will be built out. Rajasthan has given out the responsibility of developing solar power in the desert state by a company called Rajasthan Renewable Energy Corporation, the state’s nodal agency for renewables.