Mukhyamantri Saur Krushi Vahini Yojana (MSKVY 2.0) – Maharashtra State Electricity Distribution Company Limited (MSEDCL)
MSKVY 2.0: Accelerating Solarization and Renewable Energy for Agriculture
Problem
- Rotational day-night power supply inconveniences agricultural consumers, especially at night.
- Subsidized electricity burdens the state government and high-paying industrial consumers.
- High AT&C losses (~15%) and CO₂ emissions (~5-6 MtCO2e) persist.
- ₹10,000 Cr power purchase costs highlight inefficiencies in current energy solutions.
- Inconsistent power supply affects productivity, especially for women in agriculture.
Solution
- Launched revamped MSKVY 2.0 with incentives like grants, land leases, and tariffs.
- Adopted innovative structures, including SPV models, subleases, and nodal agencies.
- Streamlined land identification using GIS, PM Gati Shakti, and revenue portals.
- Housed NOCs, sublease documents, and grid connectivity details in a data room.
- Implemented single-window portal for project processes, ensuring efficiency and clarity.
Outcomes
- Farmers now have reliable and quality power supply, improving their standard of living.
- Income opportunities are created by renting out barren lands for solar installations.
- Installation and O&M activities generate additional job opportunities, boosting the rural economy.
- Active participation from local communities, especially Gram Panchayats, fosters ownership and responsibility.
- Maharashtra’s leadership in renewable energy has set a benchmark, inspiring other states to adopt MSKVY 2.0.
Challenges
- Small project sizes and lack of interest from large developers hindered progress.
- Delays in clearances and Right of Way (ROW) issues caused significant setbacks.
- Difficulty in authenticating farmers or landowners for land parcel availability.
- Landowners backing out after project award created project execution challenges.
- Absence of real-time performance monitoring impacted effective oversight and management.
Innovation
- Government of Maharashtra launched the country’s largest distributed solar generating scheme (MSKVY 2.0).
- Decentralized solar power generation reduces T&D losses by minimizing long-distance electricity transport.
- The scheme promotes renewable energy, helping MSEDCL reduce power purchase costs significantly.
- Localized solarization avoids heavy capital expenditure on new transmission infrastructure.
SKOCH Award Nominee
Category: State Government – Energy Department
Sub-Category: State Government – Energy Department
Project: Mukhyamantri Saur Krushi Vahini Yojana (MSKVY 2.0)
Start Date: 5-08-2023
Organisation: Maharashtra State Electricity Distribution Company Limited (MSEDCL)
Respondent: Lokesh Chandra
https://www.mahadiscom.in/solar-mskvy/index.php
Level: Excellence
Video
See Presentation
Gallery
Case Study
MSKVY 2.0: Accelerating Solarization and Renewable Energy for Agriculture
Introduction
The project aims to revolutionize agriculture in Maharashtra by implementing large-scale solarization, enhancing renewable energy use, reducing power costs, and creating sustainable economic opportunities for farmers through innovative solar solutions.
Problems
The agricultural sector faces significant inconveniences due to rotational day-night power supply, especially at night. Subsidized electricity places a heavy burden on the state government and industrial consumers. High AT&C losses and CO₂ emissions persist, contributing to inefficiencies. A large power purchase cost of ₹10,000 Cr highlights further inefficiencies, and inconsistent power supply especially affects productivity, with women in agriculture being notably impacted.
Solutions
The revamped MSKVY 2.0 scheme includes various incentives like grants, land leases, and tariffs. Innovative structures such as SPV models, subleases, and nodal agencies were adopted to streamline processes. GIS, PM Gati Shakti, and revenue portals were utilized for effective land identification. A data room containing NOCs, sublease documents, and grid connectivity details facilitated transparency. A single-window portal for project processes ensured operational efficiency and clarity.
Outcomes
Farmers now benefit from reliable power supply, improving their standard of living. Income opportunities emerge as barren lands are leased for solar installations. Installation and O&M create additional job opportunities, boosting the rural economy. Active participation from local communities, particularly Gram Panchayats, fosters ownership and responsibility. Maharashtra’s leadership in renewable energy has set a benchmark for other states to replicate MSKVY 2.0.
Challenges
Small project sizes and a lack of interest from large developers slowed progress. Delays in clearances and Right of Way (ROW) issues caused significant setbacks. Difficulty in authenticating landowners and farmers created delays in project execution. Landowners backing out post-award also posed challenges, while the absence of real-time performance monitoring hindered effective oversight.
Innovation
The Government of Maharashtra launched MSKVY 2.0, the country’s largest distributed solar generating scheme. Decentralized solar generation minimizes T&D losses by reducing long-distance electricity transport. The scheme promotes renewable energy, significantly reducing MSEDCL’s power purchase costs. Localized solarization eliminates the need for heavy capital investment in new transmission infrastructure. The transition to renewable energy helps reduce carbon emissions in the state.
Opportunities
Future opportunities include scaling up distributed Agri-Solar generation with the issuance of 9200 MW capacity LOAs and the initiation of 5000 MW tendering, enhancing solar capacity for agriculture feeders.
Summary
The project focuses on scaling up distributed solar energy for agriculture feeders in Maharashtra, enhancing renewable energy capacity, reducing power costs, and improving rural livelihoods through job creation and sustainable energy solutions.
For more information, please contact:
Lokesh Chandra at cmd@mahavitaran.in
(The content on the page is provided by the Exhibitor)