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Draft Uttar Pradesh Solar Power Policy – 2017

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Nodal Agency

  • Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA)
  • The role of UPNEDA will be –
    • To carry out all the tasks related to bidding process and for projects being set up by other departmental budget UPNEDA may provide this service against nominal facilitation charge.
    • To facilitate allotment of suitable land/space in control of State Government or its agencies.
    • To coordinate with other Government departments
    • To develop appropriate skilled manpower by tying up with training and educational institutions

Policy Period

5 years or until a new policy is declared, whichever is earlier, from the date of issuance of this policy. 

Eligible Entities

  • Utility scale grid-connected solar power projects

  • Solar rooftop projects

  • Solar Street Lights

  • Solar powered agricultural pump sets

  • Any other off grid solar product 

Target Capacity

10700 MW including 4300 MW from rooftop solar projects by FY 22 


  • Intrastate sale to any third party shall be exempted from wheeling charges/transmission charges.

  • Interstate sale shall be exempted from cross subsidy surcharge and wheeling charges/transmission charges applicable inside the state.

  • Metering for sale of power shall be done at STU/Distribution licensee substation end.

  • MNRE’s scheme on Grid Connected Rooftop and Small Power Plants Program

  • Funds from the Government of Uttar Pradesh may be made available for providing payment security in case any State Government, Semi Government, Government aided organizations government owned corporations and statutory bodies etc. decides to implement solar rooftop project through third Party (RESCO) mode.

  • Depending on the response generated, some budgetary support may also be provided by Government of U.P. for installation of Rooftop solar power plants in state government, semi government, government aided organizations and corporations.

  • State government subsidy to the tune of Rs. 10000/kw with an upper limit of Rs. 20000/consumer on first come first serve basis for grid connected rooftop net metering arrangement in private residential sector.

  • Height of the module structure carrying rooftop solar panels, in addition to the building height, shall not be counted towards total height of the building.

  • Banking of 100% energy in every financial year shall be permitted.

  • Electricity duty for ten years shall be exempted for sale to Distribution licensee, captive consumption and third party sale for projects set up within the state.

  • All incentives available from MNRE including central excise duty and customs duty exemptions.

  • Incentives declared under Infrastructure Investment and Industrial Policy of the state shall be applicable to solar power projects.

  • Early disposal of permission to be provided under land ceiling Act.

  • Exemption from obtaining Environmental clearance 

Transmission and Distribution

  • State Government will bear one-third of the cost of construction of transmission line, for maximum transmission line length of 15 km for the solar projects in the Bundelakhand and Purvanchal region of the State.

  • Incentive will be available only in case of construction of Transmission line by State Transmission Utility (STU)/Distribution licensee. 




Utility Scale Grid Connected Solar Power Projects

  • Solar parks with minimum 100 MW capacity developed by public sector and private developers.
  • Standalone solar power plants with minimum capacity of 5 MW at a single location awarded through competitive bidding  

Grid Connected Roof top Solar Power Projects

  • Net metering

  • Gross metering

Metering, Evacuation and Interconnection for Grid Connected Rooftop Solar Plants

As per UPERC RSPV Regulations 2015 as amended from time to time

Off-Grid and Decentralized Distributed Generation

State government will provide subsidy for –

  • Solar Street Lights

  • Solar Water Pumps for irrigation

  • Other off grid applications in rural areas 


State government will provide land on lease or Right to use basis for development of Solar Park. 

Single Window Clearance

UPNEDA will be the single window clearance agency

Empowered Committee

Will be constituted under the chairmanship of the Chief Secretary of the state to resolve key bottlenecks in implementation of this policy and resolve any other inter departmental issues. 

R & D Activities

State Government shall set up Solar Research &Development, testing and standardization facility in two institutes/universities in UP. 

Skill Development and Capacity Building

  • UPNEDA shall design training programs in association with

  • National Institute of Solar Energy (NISE) to train electricians, mechanical & civil experts on solar.

  • Various skill development programs designed by UPNEDA and NISE will be delivered across the state.

  • PNEDA will provide certifications under these development programs. 



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