Component A: Central Financial Assistance (CFA)* to Residential sector – 4 GW
CFA @ 40% for capacity up to 3 kWp
CFA @ 20% for capacity beyond 3 kWp and up to 10 kWp.
CFA @ 20% for GHS/RWA capacity up to 500 kWp (limited to 10 kWp per house and total up to 500 kWp).
Domestic manufactured modules and Solar cells to be used.
CFA shall be on % of benchmark cost of MNRE for the state/ UT or lowest of the costs discovered in the tenders for that state/ UT in that year, whichever is lower.
Implementing agency: Power Distributing companies (DISCOMs).
Component B: Incentives to DISCOMs – for initial 18 GW Capacity Progressive incentive for Discoms for achievements above baseline (the cumulative RTS capacity installed at the end of previous financial year).
No incentives for capacity addition up to 10%
5% incentives for addition beyond 10% and up to 15%
