The State Government introduced the Solar Power Policy with the following objectives:
- Promoting generation of green and clean power in the State using Solar Energy.
- To meet the targets to be achieved country-wide under JNNSM.
- To put in place an appropriate investment climate, that could leverage the Clean Development Mechanism (CDM).
- Productive use of the wastelands, thereby fostering a socio-economic transformation.
- Employment generation and skill enhanc-ement of local youth.
- Promotion of R&D and facilitation of tech-nology transfer.
- Establish core technical competence in professionals in the state to initiate and sustain use and effective management of newer energy applications.
- Creation of environmental consciousness among citizens.
- Any company or body corporate or asso-ciation of body of individuals for the purpose of captive use and/or for selling of electricity as per JKSERC/ CERC regulations.
- Entities/ companies / individual or group of individual not seeking support from gover-nment & ready to invest in solar power plant will also be eligible units provided the land is also privately owned.
- Innovative projects which combine latest technologies as standalone or combined with solar power plants, completely owned by private parties/ companies with no gover-nment investment will also be eligible.
Successful bidders(s) shall furnish security deposit equivalent to 10% (Ten percent) of the value of the contract in the form of CDR/ FDR/Bank Guarantee from Nationalized/ Scheduled Bank pledged to the Chief Exe-cutive Officer, JAKEDA for a period of five (05) years from the date of completion of installation. Such security deposit shall be furnished within fifteen days from the date of completion of job. EMD shall only be released after receipt of ordered quantity of material for repairs at the site of work.
The security deposit will be released within one month from the date of completion of5years free Warranty of the equipment and no interest will be paid on it ( data integrated as per JAKEDA tender).
- Solar Power Plants (SPPs) installed and commissioned during the operative period shall be eligible for the incentives declared under this policy, for a period of twenty five years from the date of commissioning or as approved by MNRE or for the life span of the Solar Power Plants (SPPs) whichever is earlier.
- No entry tax will be levied by the state Govt. on Power generation/transmission equipment and building material used for Solar Power Plants.
- The Govt. land if required, for Power Projects shall be allotted on lease for 25 years at a premium of Rs. 1 per Kanal per annum.
- In case of non-availability of Govt. land, the land required shall be arranged by the entity.
- Wherever required, the state will acquire the land for the project under the provisions of the Jammu and Kashmir Land Acquisition Act and lease out the same to the entity for 25 years at a premium of Rs 1 per Kanal per annum plus an amount equal to the compensation of land.
- Wherever forest land is involved, the state will facilitate permission for use of forest land for non-forest purposes under the provisions of the Jammu and Kashmir Forest Conservation Act. However, the compensation required to be paid for the purpose including the amount required for net present value, compensatory afforestation etc. will be paid by the entity.
- Mortgage deed in favour of the financing institutions required to be signed by the promoters shall be exempted from payment of stamp duty. The State Government has already enabled equitable mortgage in the state.
- Exemption from court fee for registration of documents relating to lease of land will be granted to the entities.
- No royalty in the shape of free power has to be paid for the Solar Power Projects. However in case such provision is incorporated by the MNRE in the guidelines the same shall be applicable.
- Entities will be eligible for central financial assistance as per the guidelines of MNRE, GoI as may be applicable besides other incentives given by the state or centre.
- Electricity generated from the SPPs and used for self-consumption / sale to third party / sale to licensees shall be exempted from payment of Electricity Duty or shall be as per the MNRE Guidelines.
Exemption from demand cut to the extent of 50% of the installed capacity of SPPs, assigned for captive use purpose, shall be allowed.