Suggested citation: Kuldeep, Neeraj, Kumaresh Ramesh, Akanksha Tyagi, and Selna Saji. 2019. Valuing grid-connected rooftop solar: A framework to assess cost and benefits of rooftop solar to Discoms. New Delhi: Council on Energy, Environment and Water.
The study, undertaken in collaboration BSES Rajdhani Power Limited (BRPL) and supported by Shakti Sustainable Energy Foundation, presents a framework to assess the costs and benefits to distribution companies (Discoms) from increasing rooftop solar (RTS) installations. The framework - Valuing Grid-connected Rooftop Solar (VGRS) - included factors such as procurement costs for capacities added under new power purchase agreements, variable costs paid to generators, transmission charges, distribution capacity upgradation costs, working capital requirements, renewable energy certificate costs, transmission and distribution losses, and revenue losses.
The real value of the various inherent benefits offered by an RTS system, to a Discom, depends on the location and time of generation and consumer tariff slab. The study undertakes a detailed assessment across 10 different distribution transformers assessing solar installations in residential, commercial, industrial, government and institutional consumer categories. VGRS based mechanism will support equitable distribution of costs and benefits offered by a RTS system enabling a sustained growth in the sector.
Source: Authors’ analysis
Source: Author’s analysis