The nodal agency implementing the Madhya Pradesh Renewable Energy Policy 2022 will be the New and Renewable Energy Department under the MP Government. It shall remain operative for a period of 5 years from the date of notification.
The policy aims at making all state-level government departments compliant with green energy by the end of the decade. Furthermore, leaving a net zero carbon footprint. It plans on developing a 10 GW renewable energy technology-based park by the financial year 2027. There is also a project in place for developing 4 GW of renewable energy projects for exporting power outside of Madhya Pradesh by 2024.
The state is investing $1.82 billion by 2024 and $6.06 billion by 2027 for renewable energy generation. In addition, plans are on fostering renewable energy equipment manufacturing through investment, reducing future dependence on exports.
The state aims to generate 20% of its electricity through renewable energy sources by 2024, 30% by 2017, and 50% of its total needs by the year 2030.
The state is hopeful that the new policy will help generate 10,000 new jobs in the renewable energy sector by 2024. Further, 50,000 jobs by the end of this decade.
- 100% exemption from paying electricity duty on the generation of electrical energy for 10 years.
- No energy development cess payable on power supplied
- 50% stamp duty reimbursement on the purchase of private land for renewable energy projects
- Manufacturers investing more than $ 6.07 million towards RE equipment manufacturing shall receive special incentives under the Industrial Promotion Policy. Investments less than that would receive incentives as per MSME department policy.
- Green hydrogen production and electrolyzer manufacturers to receive similar incentives.
- The govt to set up Green Zones, similar to SEZs, where corporations shall be encouraged to set up their offices. They will have to supply at least 30% of the total energy demand of the green zone using RE power and technology.
These incentives hold the potential to make Madhya Pradesh a safe haven for investors and manufacturers that shall help boost the production of renewable energy and RE equipment, reducing carbon footprint as well as making the state self-sufficient in its electricity as well as infrastructural needs.
Madhya Pradesh is endowed with immense renewable energy potential. According to MNRE, it has a solar energy potential of 61 GW. Then, a wind energy potential of 11 GW, and a small hydro potential of 820 MW. Therefore, the new policy shall help the state to reap the major benefits that the state has to offer in the renewable energy sector.