PM Modi calls for setting up one solar city in each state

Prime Minister Narendra Modi has suggested states to have at least one solar city, where the entire area should get electricity through rooftop solar installations.

The Prime Minister, who reviewed the work of the Ministry of Power and Ministry of New and Renewable Energy, on Thursday evening, said: "each State should have at least one city (either a capital city or any renowned tourist destination) to have fully solar city through rooftop solar power generation."

The meeting also discussed the policy initiatives of the Ministry of Power and New Renewable Energy including revised Tariff Policy and the Electricity (Amendment) Bill 2020 to redress the problems afflicting the power sector.

The PM pointed out that the problems in the power sector, especially of the electricity distribution segment, vary across regions and states. Instead of looking for a one-size-fits-all solution, the Ministry should put in place state-specific solutions to incentivise each state to improve its performance, said a statement.

The PM advised the Ministry of Power to ensure that the power distribution companies (DISCOMS) publish their performance parameters periodically so that the people know how their DISCOMs fare in comparison to their peers.

Regarding the New and Renewable Energy, Prime Minister emphasized the need for a holistic approach for the entire supply chain of the Agriculture Sector ranging from solar water pumps to decentralized solar cold storages.

India targetted to have 175 gigawatts (GW) of clean energy capacity by 2022 of which 100 gigawatts (GW) from solar projects by March 2022. At present country produces 33GW of solar power.

As part of the Centre plans to bring major reforms in the electricity sector the Centre announced draft Electricity Act (Amendment) Bill 2020, in which the government proposed a cost-reflective tariff and setting up an Electricity Contract Enforcement Authority to enforce power purchase agreements (PPAs).