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CCEA approves setting up 12,000 MW grid-connected Solar Power Projects

Date: 07 February 2019 Tags: Infrastructure

Cabinet Committee on Economic Affairs (CCEA) approved for setting up 12,000 MW grid-connected Solar Photovoltaic (PV) Power Projects by implementing Phase-ll of Central Public Sector Undertaking (CPSU) Scheme. It will be implemented by Government Producers with Viability Gap Funding (VGF) support of Rs. 8,580 crores for self-use or use by Government or Government entities, both Central and State Governments.

CPSU Scheme Phase-ll

  • Under it, 12,000 MW or more capacity of grid connected solar power projects will be set up by Government Producers in 4 years period (2019-23) as per conditions specified in Government Producer Scheme.
  • It mandates use of both solar photovoltaic (SPV) cells and modules manufactured domestically as per specifications and testing requirements fixed by Ministry of New & Renewable Energy (MNRE).
  • Its implementation will result in setting up 12,000 MW or more of grid connected solar PV power projects by Government Producers in 4 years, thereby creating investment of about Rs. 48,000 crores.


  • It will give push to "Make-in-lndia" as it encourages Government Producers to procure solar cells and modules from domestic manufacturers.
  • It will create sufficient demand for domestically produced solar PV cells and modules for next 3 to 4 years.
  • It will provide direct employment in pre-commissioning activities/construction phase and around in operation and maintenance period.
  •  In addition, it will create additional employment opportunities for locals by way of involvement in setting up of Solar Power Projects and also in manufacturing of domestically produced PV cells and modules.