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SUGGESTED PRIVATE SECTOR BUSINESS MODELS IN SOLAR ENERGY SECTOR OTHER THAN IPP MODEL

  1. Energy Services Companies for Setting Up Domestic & Commercial Solar Energy Plants

Under this model, the private sector companies are encouraged to provide services to the customers to set up solar energy plants as per following models:

  • As service provider install equipment, operate it after sale services period (e.g. for one year), train the project team of client and after one year hand over the equipment to client. In this model, the client has to bear the capital and operational costs upfront.
  • As energy services provider, offer a package deal to the customer for installing equipment operating it for after sale services period at its own cost and get the return of investment in installments.
  • Involve banks for providing loans to the clients to set up such plants with a pre-condition to use their product. The client then pay backs the price / loan to the bank in installments.

  1. Industrial and commercial sector enterprises use solar energy to meet energy needs

The solar energy can be used to generate heat required for running boilers of the industrial units. Solar systems can also be installed to supplement heat requirements of large industries. The industrialists are promoted to use solar energy to meet their energy demands. This may include using solar energy for water heating, space heating and cooling, steam production for the plant etc. This contributes in improving economics, promote using solar energy instead of fossil fuels to generate heat and electricity, and improve overall economics, reduce the production costs, making heat and electricity available as and when it is required by the entities.

  1. Domestic sector promoted to use solar energy applications to meet their energy needs

The domestic sector is promoted to install captive units for heating and cooling of their houses. Solar water heating systems can be installed to:

  1. Meet water heating requirements of the households
  2. Supplement existing heating systems by pre-heating water

This helps in reducing their fossil fuel consumption and reducing their domestic energy bills.

The domestic sector is also promoted to install solar PV systems at their roof tops for captive as well as for net metering purposes. In captive systems, the domestic sector installs solar PV systems to meet large share of their electricity needs. In net metering, the customers are encouraged to use equipment that helps the system connected to the distribution grid. The electricity generated through installed solar PV systems is used to meet electricity needs and surplus is dispatched to the distribution grid. The consumer is billed for the net of electricity consumed from the grid and dispatched to the grid.