The document discusses off-grid rooftop PV as an alternative to unreliable central grids in India. It notes India's large power deficits and the potential of distributed rooftop PV generation. Rooftop PV offers benefits like reduced reliance on grids, lower transmission losses, and easy maintenance. While off-grid PV is suitable when utility power is inaccessible, grid-tied PV can sell power to utilities. The document estimates India's rooftop PV potential could reach 4 GW by 2016-17 and over 60 GW by 2020 given supportive policies, financial viability, and technological feasibility. Key challenges include high upfront costs, regulatory delays, and structural constraints on rooftops.

1. Off-grid Rooftop PV – An elegant alternative to the
unreliable central grid
November 6, 2012
Mumbai, India

2. Agenda
1. Overview
2. Rooftop PV – hope or hype?
3. Challenges
4. Takeaways
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3. India – Staring Into Darkness
Generation Transmission Distribution
- Power deficit – more than 9% - One nation, on grid – not yet - Net loss of utilities – INR 88,170
achieved Crores(~$17 Billion)
- Capacity addition shortfall for
11th Plan Period – 26 GW - Transmission and Distribution
osses – 27 % + - Power cuts of 50%+
- Capacity addition required for
-12th plan(2012-17)– 76 GW - Majority of villages have no
- 13th plan (2018-2) – 93 GW access to reliable and quality
power
Sources: Planning Commission of India, KPMG
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4. A window to the future..
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5. Economic and environmental impact– Grim!!
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6. July 30-31, 2012
The World’s Biggest Blackout happens in
India
Affects 620 million people

7. World notices..
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8. The solution ?
Distributed Power Generation
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9. Why Rooftop PV?
• Reduced reliance on the grid
• Offsetting the usage of diesel generators, leading to lower pollution
• Max power generation at max load(for commercial segment)
• Consumption at the point of generation
• Significantly reduced transmission losses.
– The Aggregated Technical and Commercial (ATC) losses in India are expected to be about 32%.
– 1 kWh of power lost for every 3 kWh generated, which means 2 kWh of power from rooftop = 3
kWh of kWh from far-off thermal plant
• Operation and Maintenance – Easy and inexpensive
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10. Off-grid or grid-tied PV?
Parameters Off-grid Grid-tied
Grid Operates independent of the utility Connected to the utility power grid
connection power grid
Suitability Suitable when utility power is not Used when selling power to utility or
easily accessible or cannot be the system smaller than the minimum
installed power load.
Storage Yes No
required
Cost Costlier– due to battery bank Less expensive
Installation Easy to commission Complex – restricted by the utility grid
Monitoring Important, but not critical Requires grid related monitoring,
feedback and safety features
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11. Why off-grid PV?
• No uncertainty about Feed-in-Tariff
• No off-taker risk(PPA risk) – losses of utilities at 88,170 Crores
• No need for net-metering
• System not dependent on the uptime of the grid
• Does not lead to destabilisation of the grid
• Ideal for non-electrified villages
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12. Agenda
1. Overview
2. Rooftop PV – hope or hype?
3. Challenges
4. Takeaways
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13. Rooftop PV market – Does it exist?
Rooftop PV Market
Pillar 1 Pillar 2 Pillar 3
Policy/Regul Financial Technical
atory support Viability Feasibility
The Foundation - Demand Potential
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14. The Foundation - Rooftop Potential
KPMG’s report – “The Rising Sun – 2012”
Estimate of potential – 4 GW by 2016-17
Approach – Demand side economics
Grid parity - 2015-16
Favourable trends for rooftop PV
- Increase in power tariffs in many states
- Transmission and Distribution losses of about 20%, which can be avoided by
rooftop PV
- Target achievable subject to creation of enabling environment by regulators
and utilities
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15. Grid parity for rooftop PV by 2015-16
Source : KPMG
Assumptions
a. Landed cost for consumer – 5.5 Rs/kWh in 2011-12
b. Electricity price increase – 4%-5.5% per annum
c. Solar price decline – 5%-7% per annum
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16. An Alternate approach
Factors affecting installation
- Affordability
- Suitability of rooftop space
Estimate of potential in 2020
70.0
62
GW of potential Installation
60.0
50.0
40.0 34
31
30.0
20.0
20.0 15 14
12.5
9.6
10.0 5.1 6.7 5
1.9 0.3 1.0 1.3
0.0
Residential Industrial Commercial Institutional Total
Rooftop PV Customer Segment
Conservative Scenario Realistic Scenario Optimistic Scenario
Potential for rooftop PV systems – Very high!!
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17. Pillar 1 - Policy Support(MNRE)
• Capital subsidy : 30% and or Soft loans of 5 %
• 90% in Certain states
• Accelerated depreciation
• Channel partners for speedy disbursal of subsidies
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18. Pillar 1 - Policy Support(State Level)
Off-grid
1. Kerala
- 10,000 rooftop PV programme
- 30% capital subsidy from MNRE
- Rs.39,000 per system from Government of
Kerala
2. Tamil Nadu – 5 Lakh green houses
Grid Tied
1. Gujarat
- Gandinagar rooftop programme
2. Tamil Nadu
- Generation based incentive for domestic roof
owners
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19. Pillar 2 - Financial Viability
1 kW System
Without Battery(Rs. Lakhs) With Battery(Rs. Lakhs)
Capital Cost 1.25 1.7
Capital Subsidy(30%) 0.378 0.51
Capital cost after subsidy 0.882 1.19
• Accelerated depreciation benefit – Reduces system cost by another 23%
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20. Pillar 3 - Technology Feasibility
• PV system for rooftop – well proven
• Grid-interactivity – could be a problem, but not for off-
grid projects
• Mounting of PV dependent on load bearing capacity of
roof and structural stability
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21. Rooftop PV market – Potential exists
Market Attractiveness
Policy/Regulatory Technical
Financial Viability
support Feasibility
Demand Potential
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22. Agenda
1. Overview
2. Rooftop PV – hope or hype?
3. Challenges
4. Takeaways
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23. Challenges
• Financial – High upfront cost Rs. 1.5 Lakhs
• Regulatory/policy – delay in subsidy disbursal
• Infrastructural – Availability of roof-space without
shadows(caused by trees and adjacent buildings), south facing
roofs,
• Structural Constraints – load bearing capacity of roof, uneven
roofs – special structures can lead to additional cost
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24. Possible solutions
• Easier and low cost financing
• Leasing option
– Pay as you go model or Build, Own, Operate and Transfer(BOOT)
• Easier subsidy disbursal
• Use of standardised systems
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25. Agenda
1. Overview
2. Rooftop PV – hope or hype?
3. Challenges
4. Takeaways
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26. Summary
• Power crisis set to worsen
• Rooftop PV potential is huge
• Key to growth – Innovative business models
Rooftop PV growth – inevitable
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27. Thank you
Madhavan Nampoothiri
Founder and Director
madhavan@re-solve.in
www.re-solve.in

28. Annexure
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29. Indicative Cost breakup – Solar PV system
1 kW
1 Module ₹ 60,000
2 Inverters ₹ 25,000
3 Mounting Structure ₹ 10,000
4 Building and Civil works ₹ 10,000
5 Isolation Transformer ₹ 6,000
6 Wires and Electricals ₹ 1,000
7 Engineering & Project Management ₹ 3,000
8 Battery
Total ₹ 1,15,000
9 Contingency ₹ 0.10
Capital Cost ₹ 1,26,500.00
Capital subsidy - 30% ₹ 37,950.00
Landed cost after subsidy ₹ 88,550.00
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