Grid Tied Solar Rooftop Net-Metering Awareness workshop conducted in Tenali, Andhra Pradesh – India

 

Here is a video from our Grid Tied Solar Rooftop Net-Metering Awareness workshop conducted at Hotel Goutham, Tenali, Andhra Pradesh – India

Grid Tied Rooftop Solar Net-Metering Awareness Workshop @ Ongole, Andhra Pradesh

Here is a brief video from our Grid Tied Solar Rooftop Net-Metering Awareness workshop conducted at Hotel Green Park, Ongole, Andhra Pradesh – India

 

See Grid-Tied Rooftop Solar Plants with Net-Metering for details

Also, see how you can earn up-to 15% by investing in Rooftop Solar Plants

How to Create a Passive Income Stream by Investing in a Grid Tied Rooftop Solar Plant in Andhra Pradesh & Telangana

Earn up to 15% by investing in Grid-Tied Solar Rooftop Plants

  • Grid-Tied Solar Plants offer returns from 12% to 15% – 100% higher than fixed deposits, savings accounts and other comparable investments
  • You can invest as little as Rs 7 Lakhs (USD$11,100) to get started or go as high as Rs 7 Crores (USD $1.1 Million), it’s entirely up to you
  • We don’t charge any investment fees, when you invest in solar plants, you keep what you generate/earn
  • Watch your passive income flow for years to come

Invest in solar with zero risk

We provide high-quality, high-yield, investor-friendly solar investment opportunities.Backed by sophisticated generation estimates & guaranteed performance, grade-A design engineering, tier-1 choice of material and comprehensive maintenance services. We evaluate the financial, technological, operational and policy risks individually and provide an internal credit score to each of our PPAs before making an investment decision

Let us do the legwork, from project origination to project development to PPA signing, from operations & maintenance to revenue collection, we’ll handle it all. Enjoy true risk-free solar investment without any operational liabilities, our comprehensive insurance policy covers all potential risks so you don’t have to worry.

How Can You get Started?

Step 1- Get a free solar investment consultation

Every solar power project starts with a quick conversation to see if solar investment is right for you, we’ll discuss your investment options and expected returns

We’ll present you with a list of pre-screened PPAs with all necessary information including solar plant size, investment amount and expected returns for the next 20 years

Step 2 – Sign your PPA

Once PPA is selected, your personalized power purchase agreement secures your solar energy earnings for the next 20 years

Step 3 – Get your solar rooftop system designed and installed

Our expert engineers will design the solar plant based on PPA and expected returns, Once funds are transferred, we take care of all of the approvals, inspections and installation. All you have to do is watch it all come together

Step 4 – Commission the plant & Get paid

Here’s the best part, you get to flip the switch to start generating your clean solar energy and watch your earnings flow online from our monitoring portal

With Solar PPA, customers pay for your solar power by the month, just like their current electricity bill

What is a Solar PPA?

A Solar PPA(Power Purchase Agreement) is a contract to sell fixed number of solar power units produced from your solar plant to a third party customer. Power purchase agreements are the tried and true way to invest in solar and to earn passive income for years to come

As a Solar PPA customer, you only pay for solar equipment, installation and maintenance, we install and maintain your solar system for the entire length of the PPA

Solar PPA is the smart way to invest in solar because Solar + PPA = Smart Earnings

  • We install your solar plant and take care of it for the entire length of the PPA
  • We constantly monitor your system’s performance to ensure it’s running smoothly
  • If problems do arise, our service technicians will be notified and dispatched to get it back online
  • You own the equipment and we take care of all repairs at additional cost
  • Our all-inclusive coverage includes protection against damage and theft
  • We invoice & collect the monthly payments and transfer them to your bank account

Why Should Investors invest in Grid Tied Solar Plants?

Investor receives a monthly payment from the customer for the total number of units consumed from the rooftop plant, as investor owns the solar plant, investor is eligible for claiming depreciation on the capital cost of the system and 10 year tax holiday on income generated from the solar plant

For commercial consumers, the debate of whether solar is viable or not has already passed because commercial consumers are paying upwards of Rs10/unit (kWH) in Andhra Pradesh and Telangana whereas via third party solar PPA, they can save up to 10%-15% on the per unit cost of electricity without incurring the upfront CAPEX. That translates to significant savings over a long term

Commercial consumers have adequate space to go solar and third party solar PPA is not only viable but a very attractive proposition for them. For Commercial consumers in Andhra Pradesh and Telangana, third party solar PPA is a very affordable and the most cost effective way to opt for solar power.

For Investors investing in solar makes sense economically and environmentally, because the investment is risk-protected, and the returns are solid, Thanks to government tax credits and depreciation benefits, it’s now very profitable to invest in solar

Who is motivated to install a Solar Grid Solar Plant?

Residential and Commercial customers who are paying more than ₹10,000 in monthly electricity bills are willing installing a grid tied solar system to save on their electricity bills by 10% – 15%

See Grid-Tied Rooftop Solar Plants with Net-Metering for details

What is the Economics of 10 KW Grid Tied Solar Rooftop plant?

Below are the assumptions for economics of a 10 KW grid-tied solar rooftop plant

Cost of setting up a 10 KW Grid Tied Solar Plant = ₹ 7.0 Lakhs
PPA Sale Price to Consumer = ₹ 8.00/Unit
O&M Costs = ₹ 15,000/Year

10 KW plant produces around 15,000 units per year, this number is arrived based on the fact that in AP conditions 1KW generates on average 5 units per day multiplied by 300 sunny days in a year

Total Revenue (15000 * ₹ 8.00 (PPA Price)) = ₹ 1.20 Lakhs
Total Expenses = ₹ 15,000.00 (O&M Costs)
PBIDT (Profit Before Depreciation and Taxes) = ₹ 1.05 Lakhs
Income Tax (Income Tax Holiday for 10 Years) = ₹ 0.00
Profit After Tax (PAT) = ₹ 1.05 Lakhs

Project IRR (ROI) = 15%
Payback Period = 6.5 Years

Above financial analysis gives you a good idea on profitability of a grid tied solar plant, Solar plant provides an 15% for the first 10 years and 10% for the next 15 years, which is decent, considering the absence of risk as in other businesses and this model is immune to market conditions

What are steps involved in setting up a Rooftop Solar Plant?

Below are the steps involved in setting up a grid-tied solar rooftop plant

  1. MAC Solar offers initial consultation to discuss investor’s investment options and expected returns
  2. MAC Solar presents investor with a list of pre-screened PPAs with all necessary information including solar plant size, investment amount and expected returns
  3. MAC Solar prepares the initial offer and terms sheet and presents it to both customer and investor
  4. PPA is drafted, finalized and signed between customer and investor
  5. EPC and O&M contract is signed between investor and MAC Solar
  6. MAC Solar gets necessary approvals from state agencies
  7. Investor releases required funds to MAC Solar for commissioning the Solar Plant
  8. MAC Solar designs and Installs the Roof-top Solar Plant as per timelines specified in the EPC Contract
  9. Once project is commercially operational, MAC Solar performs the daily energy monitoring and other O&M Activities
  10. At the end of each billing month, MAC Solar prepares an invoice on behalf of the investor and presents it to the customer based on the number of units consumed
  11. Customer transfers monthly invoice payment to investor’s bank account

Can NRIs, PIOs and Foreign Investors Invest in Solar Plants?

Yes, NRI, PIOs and Foreign Investors can invest in Solar Plants; Foreign Direct Investment (FDI) up to 100% is permitted under the automatic route for renewable energy generation and distribution projects subject to provisions of The Electricity Act, 2003

See http://www.makeinindia.com/policy/foreign-direct-investment and http://www.makeinindia.com/sector/renewable-energy for details

What are the incentives offered?

  • A 10-year tax holiday for solar power projects
  • Wheeling, banking and third party sales, buyback facility by states
  • Exemption from excise duties and concession on import duties on components and equipment required to set up a solar plant

What are the steps involved for Foreign Investors?

  1. Form a Private Limited Company or a Private Limited Partnership
  2. Apply for PAN (Permanent Account Number) and TIN(Tax Identification Number)
  3. Open a Bank Account
  4.  Work with MAC Solar to complete steps 1,2 ,3 and select a third party customer to invest in a solar plant based on your investment and expected returns

Can Foreign Investors Repatriate Funds?

  • Dividends and interest is freely repatriable without any restrictions (net after tax deduction at source or Dividend Distribution Tax
  • Repatriation of Capital is allowed provided the investment has been held on repatriation basis

Get paid by the Sun. It’s as simple as that, Thanks to government tax credits and depreciation benefits, it’s now very profitable to invest in solar, Investing in solar makes sense economically and environmentally, because the investment is risk protected, and the returns are solid. Low-Risk, High-Return investment opportunities like this don’t come around every day

Previously, investing in solar was reserved entirely for large institutions and wealthy individuals. Not Anymore, You can invest as little as Rs 7 Lakhs (USD $11,100) to get started or go as high as Rs 7 Crores (USD $1.1 Million), it’s entirely up to you

Your investment in Solar helps MAC Solar harness cleaner, abundant solar power, and helps us create more jobs every day!

Don’t be overwhelmed by the process and procedures, We will walk you through the each step of the process from providing required documentation to the state agencies and getting necessary approvals to obtaining PPA

We offer end-to-end solution for setting-up a solar plant. Call us today at +91 9550004871 or email us at info@macsolartech.com to discuss the details

Grid Connected Solar Rooftop Net-metering in AndhraPradesh and Telangana

GridTiedRooftopSolarPlant

Background

In January 2010, the Government of India launched the Jawaharlal Nehru National Solar Mission (JNNSM) as part of its National Action Plan on Climate Change (NAPCC) and set out a target to achieve 20 GW of grid-connected solar power by 2022

This target was revised to 100 GW by 2022 in late 2014. Of this, 40 GW has been targeted through grid-connected rooftop solar PV. The market potential of rooftop solar power in India has been estimated at 124 GW in a recent study by TERI1

To achieve the planned ramp-up of solar capacity from the existing 3 GW to 100 GW by 2022, many opportunities for investment have been created through a variety of schemes launched by the Government

In addition to the policy push by the Central Government, a number of State Governments have also come out with policies and regulations concerning grid-connected rooftop solar PV power. So far, 15 states have released relevant policies and 21 states have released regulations on grid-connected rooftop solar PV power

As part of this initiative Government of Andhra Pradesh has announced a policy on Net Metering for solar grid interactive rooftop and small Solar Power plants in the state vide G.O.Ms.No.22, dated 25.03.2013, which is now applicable for both AP and Telangana

Central Financial Assistance(MNRE Subsidy)

According to the latest notification by MNRE, subsidy of 30% on Benchmark Capital Cost is available for all consumers (except for Commercial & Industrial consumers), including the following consumer categories:

 Residential All types of buildings
Institutional Schools, health institutions including medical colleges & hospitals, educational institutions (both private and public), R&D institutions, etc.
Government Both Central & State Governments buildings covering all Government offices, Government PSUs, all buildings owned by Government directly or by any Government-owned societies, companies, corporations or organizations.

All Panchayati Raj buildings.

Government organizations owned systems anywhere including on private, commercial and industrial organizations will also be eligible.

Social Sector Community centers, welfare homes, old age homes, orphanages, common service centers, common workshops for artisans or craftsmen, facilities for use of community, any establishment for common use, etc.

It is to be noted that the subsidy will be admissible for the above categories even if the power connection is classified under industrial or commercial category.

Private, commercial and industrial buildings will not be covered under this subsidy unless the solar PV system is owned by a Government organization.The scheme is for projects size in between 1kWp to 500 kWp

Tax Incentives

Commercial, Private  and Industrial customers can leverage Accelerated depreciation benefit, Solar power generation projects have the option of profiting from Accelerated Depreciation benefit by the Central Government, as per Section 32 of the Income Tax Act, 1961. Companies can use this to substantially reduce tax burden in the first few years of the project, up to 100% of the project cost (80% accelerated depreciation and 20% additional depreciation)

Under Section 80-IA of the Income Tax Act, 1961 the Central Government provides a 10-year tax holiday, in which the beneficiary has the freedom to choose a 10-year continuous period in the first fifteen years of the project life to avail the tax benefit. The projects are taxed using the Minimum Alternate Tax (MAT) rate, which is significantly lower than the corporate tax rate

The Central Government has mandated concessions and exemptions on specific materials imported for manufacture of solar power generation products as well as for use in solar power generation projects

What is a Grid-Connected Rooftop Solar PV System? 

A grid-connected rooftop solar PV system refers to a solar PV system that is located on the roof of a building and is connected to the local distribution grid. It is a form of distributed power generation

The electricity generated can be stored, used directly, or fed back into grid. Solar PV is a reliable and clean source of electricity that can suit a wide range of power generation applications for residential, industrial, agricultural and commercial consumers

How do Grid Connected SPV Plants Work?

A grid-connected Solar Photo Voltaic (SPV) power plant consists of SPV array, Module Mounting Structure, Solar Grid Inverter (SGI), control and protection devices, circuit breakers, interconnection cables and switches

When the solar power generated by the grid connected solar plant is more than the load requirement, the excess power is automatically fed to the grid

For buildings with grid-connected solar PV systems, a bidirectional meter is installed which records import kWh and export kWh separately

What is Net Metering?

In grid-connected Solar Photo-Voltaic (SPV) systems, solar energy is fed into the building loads that are connected to the public electricity grid through a service connection with surplus energy being fed into the grid and shortfall being drawn from the grid

Production of surplus energy may happen when solar energy produced exceeds building load energy demand. This surplus is fed into the grid. During the night, or when during the day energy demand in the building exceeds solar energy production, energy is drawn from the grid

Net metering is the net energy between export of generated energy and import of grid energy for a billing month

Who Should Consider Solar Grid Tied Net-Metering System?

Residential and Commercial customers who are paying more than ₹1,500 in monthly electricity bills should consider installing a grid tied solar net metering system to save their electricity bills by 20% – 30%

Look at the ROI Calculator below for details

Assumptions:

Current Electricity Price: 10.50/KWH
Solar Plant Life: 25 Years
Warranty: 5 Years

Plant Size Plant Cost Subsidy/AD Plant Cost After Subsidy/AD Units Generated/Mth Savings Per Month Payback

in Months

1KW ₹89,998.00 ₹27,000.00 ₹63,000.00 150 ₹1,500.00 42
2KW ₹1,68,245.00 ₹50,473.50 ₹1,17,771.50 300 ₹3,000.00 40
3KW ₹2,35,550.00 ₹70,665.00 ₹1,64,885.00 450 ₹4,500.00 38
4KW ₹3,02,813.00 ₹90,843.90 ₹2,11,969.10 600 ₹6,000.00 36
5KW ₹3,70,014.00 ₹1,11,004.20 ₹2,59,009.80 750 ₹7,500.00 34
10KW ₹7,00,000.00 ₹2,10,000.00 ₹4,90,000.00 1500 ₹15,000.00 32

Customers can obtain loan for 70% of plant cost with a loan tenure of 5 years and 12% annual interest, remaining 30% is paid upfront and will be returned in the form of subsidy or income tax deduction

As monthly EMI is less than the amount saved in monthly electricity bills, it makes financial sense to install a grid tried rooftop solar plant with net-metering for commercial and industrial customers as they are paying close to ₹11 per kWH(unit) of electricity consumed

Click here to calculate the solar plant size based on your monthly power bill and potential monthly saving

We offer end to end solution for seting-up a rooftop grid tied solar plant, from initial feasibility to obtaining necessary NREDCAP and DISCOM approvals, obtaining financing, engineering, procurement, erecting the plant, operations and maintenance of the plant

Call us today at +91 9550004871 or email us at info@macsolartech.com for a free consultation to get the process started!

Please see links below for latest MNRE Guidelines for obtaining 30% subsidy and Net Metering Application documents

CFA_Notice_Grid_Connected_Rooftop_19112015-2

APSPDCL__APP_NETMETERING_APP

 

Karnataka Solar Scheme for Farmers – Opportunities for Developers to Set up 1 MW – 3 MW

KRED(Karnataka Renewable Energy Development, LTD) recently invited applications for 300 MW to setup solar plants with 1MW to 3 MW capacity, only farmers who own agricultural lands in state of Karnataka were eligible to participate in the process, this has created a new gold rush in Karnataka to setup solar plants for two reasons

  1. PPA tariff is ₹8.00 to ₹8.40 per kwh
  2. PPAs are assignable to 3rd party developers

KRED had received around 300 applications and entire application process was completed under 7 minutes

This initiative from KRED has led to new and innovative business models which are win-win for both the farmers who have obtained PPAs and developers who are willing to partner with the farmers

KRED has started assigning PPAs for farmers who have been selected in the online application process, We are working with several farmers who have obtained PPAs and are looking for investors

Are you a developer interested in setting up 1 MW Solar Plant? This is a golden opportunity for developers who are able to capitalize on this scheme

Call us today at +91 9550004871 to discuss the details