The government of Madhya Pradesh has released its policy on renewable energy 2025, with the goal of raising the state’s renewable power capacity, attracting investments, and integrating green power into its whole power basket. The five-year policy will encompass all renewable energy (RE) projects with an installed capacity of 500 kilowatts (kW) and above.
The strategy aims at phased induction to deliver 50% of the power requirement of Madhya Pradesh every year with renewable energy by FY 2030. The plan formulates mid-term goals:
- 20% by FY 2024
- 30% by FY 2027
- 50% by FY 2030
Major Investment Plans
The government is earnestly attempting to attract investment in renewable energy infrastructure. The main financial goals are:
- Rs 15,000 crore investment in RE generation by 2024
- Rs 50,000 crore investment by 2027
- Rs 4,000 crore of RE production in 2024 to Rs 10,000 crore by 2027
Policy Incentives and Exemptions
Being an off-the-cuff decision advertisement package for investors and facilitation of project establishment, the state government has announced huge incentives:
- 50% rebate on wheeling charges for five years from the commissioning date.
- Exemption of electricity duty for ten years on all RE projects.
- 10 GW Renewable Energy Parks in Government of India scheme by FY 2027.
- Additional 10 GW of RE capacity for power export beyond Madhya Pradesh.
Special Green Zones for Sustainable Growth
Policy is to create Special Green Zones, similar to Special Economic Zones (SEZs), with a minimum of 30% use of renewable energy by industries and business houses. The zones shall have:
- Grid connectability and land availability
- Facilitation of clearance and coordination with DISCOMs
- Facilitation of open access to power consumers
Grid Integration and National Commitment
Since the issue of intermittence of clean energy, Madhya Pradesh will also be investing in the transmission and storage infrastructure with support from central organizations like NTPC, PGCIL, and SECI. This shall be concurrent with the national ambition of the nation under the Paris Agreement to create 500 GW capacity of non-fossil fuels by 2030.
Implementation and Monitoring
Nodal department would be the Madhya Pradesh New and Renewable Energy Department which would enforce policies, oversee investments, and oversee impact annually. Government also plan to liberalize wheeling and banking policies to enable third-party and captive use of power.
Conclusion
With this new policy on energy, Madhya Pradesh shall be a trendsetter in realizing renewable energy and facilitate sustainable development, local job opportunities, and upgradation of technology. The new policy guidelines to be introduced will also simplify the way for the developers as well as the investors and establish its place in India’s green revolution of energy.
Read Also: Madhya Pradesh Plans Five Model EV Cities with 2025 Draft Policy
