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Delhi Solar Policy 2016

DDC Delhi collaborated with the Power Department to develop the landmark Delhi Solar Policy 2016 after consultations with various national and international experts. DDC Delhi drafted the policy with the aim to promote the adoption of rooftop solar units in residential as well as commercial buildings in Delhi at a mass scale. The policy was subsequently notified by the Power Department and has successfully kickstarted the adoption of solar energy at a mass scale in Delhi.

The Delhi Solar Policy 2016 was formulated with the target of achieving 1995 MW rooftop solar installation by 2025. The policy outlined a combination of regulations, mandates, incentives, and tax breaks for the growth of rooftop solar power in the capital. Installation of solar panels on rooftops of government buildings having an area of 500 sq. m or more was made mandatory.

The scheme provided for Group and Virtual Net Metering (GNM and VNM) with the intention of extending benefits of solar power to even those sections of people who were unable to install solar panels. It was the first time that any state policy in India gave space to progressive concepts like VNM and GNM in its policy.

Amidst several innovations, the policy proposed a generation-based incentive (GBI) for solar energy produced by domestic consumers and charitable organisations. Generation-based incentives were provided for INR 2 per unit of solar generation for a minimum of 1100 units per KW per year to domestic and residential consumers.

Impact of Delhi Solar Policy 2016

The solar power contribution which was less than 0.3% (79 MW) in 2016 has increased substantially to 7% (1189 MW) in 2022 and it is likely to increase to 11% (2540 MW) in the next two years. The share of renewable power has increased from less than 0.3% (95 MW) in 2016 to 15% (1582 MW) in 2022 and it is likely to increase to 22% (3623 MW) in the next two years.

The policy has successfully deepened the penetration of solar energy in Delhi with a total of 1189 MW of solar power installations commissioned till date of which 230 MW is through rooftop solar installations. Since 2019, the share of renewable energy in the total power supply has also doubled.

The Delhi Solar Policy 2016 expired in 2021 and it was subsequently announced in Rozgar Budget 2022 that Delhi Government will come up with a new Solar Policy in 2022 that will position Delhi as a national and global leader in rooftop solar generation, while simultaneously generating 40,000 green jobs.

DDC Delhi, in collaboration with RMI India, co-hosted the ‘National Consultation on Delhi Solar Policy’ on 12 May, 2022 to frame Delhi’s new solar policy. The consultation was attended by a host of stakeholders like government agencies, power DISCOMs, solar developers like SunEdison and Fourth Partner Energy, think tanks, consumer associations, financiers, RWAs like URJA, shopping malls like Sun City and Pacific, representatives from public and private schools and colleges etc.