In News:

The PM Surya Ghar: Muft Bijli Yojana, the world’s largest domestic rooftop solar initiative, is transforming India’s energy landscape with a bold vision to supply solar power to one crore households by March 2027.

Key Details:

Targeted Installations:

• 10 lakh installations by March 2025.
• 1 crore installations by March 2027.

Subsidy and Financing:

• Offers up to 40% subsidy for rooftop solar installations based on household electricity consumption.
• Collateral-free loans available for up to 3 kW solar systems at a 7% interest rate.

Key Benefits:

The PM Surya Ghar: Muft Bijli Yojana offers several significant benefits to participating households:

• Free Electricity for Households: The scheme provides households with free electricity through the installation of subsidized rooftop solar panels, significantly reducing their energy costs.
• Reduced Electricity Costs for the Government: By promoting the widespread use of solar power, the scheme is expected to save the government an estimated ?75,000 crore annually in electricity costs.
• Increased Use of Renewable Energy: The scheme encourages the adoption of renewable energy sources, contributing to a more sustainable and environmentally friendly energy mix in India.
• Reduced Carbon Emissions: The transition to solar energy under this scheme will help lower carbon emissions, supporting India's commitment to reducing its carbon footprint.

Eligibility Criteria:

1. The applicant must be an Indian citizen.

2. Must own a house with a roof that is suitable for installing solar panels.

3. The household must have a valid electricity connection.

4. The household must not have availed of any other subsidy for solar panels.

Impact

The   PM Surya Ghar: Muft Bijli Yojana is expected to have far-reaching outcomes, both for individual households and the nation as a whole:

• Household Savings and Income Generation: Households will benefit from significant savings on their electricity bills. Additionally, they will have the opportunity to earn extra income by selling surplus power generated by their rooftop solar systems to DISCOMs. For instance, a 3-kW system can generate over 300 units per month on average, providing a reliable source of energy and potential revenue.
• Expansion of Solar Capacity: The scheme is projected to add 30 GW of solar capacity through rooftop installations in the residential sector, significantly contributing to India's renewable energy goals.
• Environmental Benefits: Over the 25-year lifetime of these rooftop systems, it is estimated that the scheme will generate 1000 BUs of electricity while reducing CO2 emissions by 720 million tonnes, making a substantial positive impact on the environment.
• Job Creation: The scheme is also expected to create approximately 17 lakh direct jobs across various sectors, including manufacturing, logistics, supply chain, sales, installation, operations and maintenance (O&M), and other services, thereby boosting employment and economic growth in the country.

Model Solar Village

• Under the "Model Solar Village" component of the scheme, the focus is on establishing one Model Solar Village per district throughout India.
• This initiative aims to promote solar energy adoption and empower village communities to achieve energy self-reliance.
• An allocation of ?800 crore has been designated for this component, with ?1 crore provided to each selected Model Solar Village.
• To qualify as a candidate village, it must be a revenue village with a population of over 5,000 (or 2,000 in special category states). Villages are selected through a competitive process, evaluated on their overall distributed renewable energy (RE) capacity six months after being identified by the District Level Committee (DLC).
• The village in each district with the highest RE capacity will receive a central financial assistance grant of ?1 crore.
• The State/UT Renewable Energy Development Agency, under the supervision of the DLC, will oversee the implementation, ensuring these model villages successfully transition to solar energy and set a benchmark for others across the country.

In News:

• NTPC has achieved the first-ever synthesis of CO? (captured from flue gas) and hydrogen (produced via a PEM electrolyzer) into methanol at its Vindhyachal plant.
• This marks a significant step in carbon management technology, aimed at advancing sustainable fuel production.

About CO?-to-Methanol Conversion:

• Carbon Dioxide Capture:
  • CO? is captured from industrial sources, such as power plants, or directly from the atmosphere.
• Hydrogen Production:
  • Renewable energy sources like solar or wind power are used to produce hydrogen through water electrolysis.
• Methanol Synthesis:
  • The captured CO? is combined with hydrogen in the presence of a catalyst to produce methanol, typically under high pressure and temperature conditions.

Benefits of CO?-to-Methanol Conversion:

• Carbon Capture and Utilization (CCU):
  • This technology reduces the impact of CO? on the atmosphere by converting it into useful products.
• Renewable Fuel Source:
  • Methanol produced through this process can be used as a fuel for transportation, power generation, or as a feedstock for chemicals.
• Energy Storage:
  • Methanol offers a more practical storage and transportation option than hydrogen, making it a potential energy storage solution and aiding the transition to hydrogen-based energy systems.
• Versatile Feedstock:
  • Methanol is widely used in producing chemicals, solvents, and plastics, supporting various industrial applications.

What is Methanol?

• Brief: Methanol, also known as methyl alcohol or wood alcohol, is the simplest form of alcohol. It is a clear, colorless, and flammable liquid with a distinctive odor.
• Key Properties:
  • Colorless, miscible with water, toxic if ingested, flammable.

In News:

• India is in talks with Oman, UAE, Saudi Arabia, Maldives, and Singapore to establish cross-border electricity transmission lines.
• This is part of the ambitious OSOWOG initiative to create a global renewable energy grid.

Key Points:

• Proposed by the Prime Minister of India at the 2018 International Solar Alliance (ISA) Assembly.
• Aims to create a transnational electricity grid that delivers power worldwide.
• Led by India and the UK, in collaboration with ISA and the World Bank Group.

Vision of OSOWOG:

• Connect regional grids through a common infrastructure for the transfer of renewable energy, focusing on solar power.
• Harness solar and other renewable energy from regions where the sun is shining and efficiently transmit it to areas of need.
• Aim to provide power to 140 countries using clean and efficient solar energy.

Phases of OSOWOG:

• Phase 1:
  • Connect the Indian grid with grids in the Middle East, South Asia, and South-East Asia.
  • Share solar and other renewable energy resources.
• Phase 2:
  • Expand the interconnected grid to include renewable resources from Africa.
• Phase 3:
  • Achieve a global interconnection aiming for 2,600 GW by 2050.
  • Integrate as many countries as possible into a single renewable energy grid.

Global Collaboration:

• Involves national governments, international organizations, legislators, power operators, and experts.
• Focus on accelerating infrastructure development for a clean energy-powered world.

In News:

India's journey toward a sustainable energy future has gained significant momentum with a series of policy reforms designed to reduce reliance on fossil fuels and accelerate the shift to clean energy. The recent Asia-Pacific Climate Report from the Asian Development Bank (ADB) highlights India's remarkable progress in reforming its fossil fuel subsidy system and its efforts to foster renewable energy, positioning the country as a leader in the region's green transformation.

Key Highlights from the Report:

India's Fossil Fuel Subsidy Reform

• India has successfully reduced fossil fuel subsidies by 85%, from a peak of $25 billion in 2013 to just $3.5 billion by 2023.
• The reform strategy is built on a "remove, target, and shift" approach, which involved phasing out subsidies on petrol and diesel from 2010 to 2014, followed by incremental tax hikes on these fuels through 2017.
• These fiscal changes created space for funding renewable energy projects, such as solar parks, electric vehicle initiatives, and infrastructure improvements.

Role of Taxation in Supporting Clean Energy

• Between 2010 and 2017, India introduced a cess on coal production and imports, which contributed significantly to funding clean energy projects. Approximately 30% of the cess was directed to the National Clean Energy and Environment Fund.
• This funding supported major renewable energy initiatives, including the National Solar Mission and Green Energy Corridor project, helping reduce the cost of utility-scale solar energy and expand off-grid renewable energy solutions.
• The introduction of the Goods and Services Tax (GST) in 2017 altered the financial landscape, redirecting the cess funds to GST compensation rather than directly to clean energy.

Government Schemes and Initiatives

• India is advancing its clean energy agenda through several key government schemes:
  • National Green Hydrogen Mission: Aimed at establishing India as a leader in green hydrogen production.
  • PM-KUSUM Scheme: Focused on promoting solar energy among farmers, allowing them to produce renewable power.
  • PM Surya Ghar: Muft Bijli Yojana: A program designed to provide solar energy access to rural communities, reducing dependency on fossil fuels.

A Strategic Shift: From Subsidies to Clean Energy

• India’s subsidy reforms are an important part of its strategy to transition from a reliance on fossil fuels to a focus on renewable energy investments.
• These changes reflect India’s long-term goal of achieving net-zero emissions by 2070, as outlined in its climate action plans.

Global Significance of India’s Efforts

• The reduction in fossil fuel subsidies and the surge in clean energy investment serve as a model for other nations seeking to balance economic development with climate action.
• India’s approach demonstrates that policy reforms and innovative financing mechanisms can be used to accelerate the transition to a cleaner, greener economy while creating job opportunities and fostering economic growth.