Finance facility about solar power plant

There are several financial facilities available for setting up a solar power plant in India, including:

1. Loans: Banks and other financial institutions offer loans for solar power projects, typically at lower interest rates than for other types of projects.
2. Subsidies: The government offers subsidies for solar power projects through schemes such as the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyaan (PM KUSUM) scheme and the Jawaharlal Nehru National Solar Mission (JNNSM).
3. Tax incentives: Income tax deductions and exemptions are available for solar power projects under Section 80-IA of the Income Tax Act.
4. Capital subsidies: Capital subsidies are available for solar power projects under the Central Financial Assistance (CFA) scheme of the Ministry of New and Renewable Energy (MNRE).
5. Net metering: Net metering allows solar power plant owners to sell excess power generated by their plant to the grid, and to receive credit for the same on their electricity bill.
6. Power Purchase Agreements (PPAs): Power Purchase Agreements (PPAs) are agreements between the solar power plant owner and the electricity off-taker (typically a utility company) to sell the power generated by the plant at a pre-determined price for a specific period of time.

It’s important to note that the availability and terms of these facilities may vary depending on the location and size of the solar power plant, as well as the type of project (rooftop or ground-mounted) and the developer’s creditworthiness.