Solar energy is on the upswing in Rajasthani states of Assam, Haryana and Manipur.
Solar power projects are being installed across the state, with an average of 10,000 MW being installed each day.
The projects are expected to contribute to the creation of about 8,500 jobs in the three states.
In the Haryanvi state of Assamese, the first solar power project was inaugurated in November 2017, with another under construction in the neighbouring state of Rajasimuthu.
In the Rajasastin state of Tamil Nadu, solar power projects were inaugurated for the first time in November 2019.
A further eight projects have been approved.
Solar power is a renewable energy source that uses sunlight to produce electricity, but also uses water to power buildings and homes.
The power produced from solar energy is used for cooking and heating.
In India, there are a range of subsidies and incentives for installing solar energy projects, which have been available since 2011.
These include the solar power tax (SPT), which is levied on power generated from solar panels, as well as the renewable energy credit (REC), which can be used for purchasing solar energy and/or renewable energy-based products.
The subsidies and RECs have been widely available since 2015.
For example, the solar energy tax was levied at a rate of Rs. 20 per MW in January 2019, and the REC was also available for purchase till June 2019.
These were the most generous incentives available, at a minimum of Rs 1,000 per MW.
In 2019, the state of Jammu and Kashmir introduced the solar tax, which is now levied at Rs. 40 per MW, while the solar REC has also been available till June 2020.
Solar energy credits are also available in Assam.
The solar power credit is one of the more popular solar energy incentives, as it is a solar credit that can be applied to solar power installations.
For a solar power plant, the credit is used to purchase electricity, including for cooking, heating and electrical and telephone services.
The credit is valid for 30 years.
The solar power is produced by generating sun and solar energy in the form of energy that is absorbed by the water and converted to electricity.
The plant then transmits the energy back to the grid.
The energy generated from the solar project is used in heating, power generation and power distribution.
A plant that produces 1 MW of electricity or more per day, generates a net of up to Rs 25,000 crore per annum from the energy produced.
The state of Haryanyam is the first state to introduce a solar energy power credit.
The Rajasatthani government, in partnership with a private company, has been working on the project since 2016.
The state of Andhra Pradesh, which was the first to introduce the solar credit, has also introduced the credit to its citizens.
The new incentive is available to the solar plant owners and operators.
The first solar project, in the city of Chandigarh, has generated over Rs 25 crore and is expected to generate more over the coming months.