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The plight of an Indian farmer in achieving his Solar Dream!

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Real Story of an Indian Farmer

We have been long writing about the plight of the Indian citizens in this country. Whether it is any department, the red tape and corruption in the government offices makes the already cumbersome process of getting a work done, more difficult.

Though the government talks about its ambitious solar plans and is also working greatly towards achieving its goals, it is still not easy for a common man to get clearance through the various processes involved. Recently I got an email from one of our readers who underwent the same process. He explains how difficult it is for an Indian farmer to move forward in getting his solar dreams come true. He speaks about the various flaws in the Punjab Solar Policy/ Scheme and explains why is it impossible for a common Indian farmer to get clearance for a solar plant.

The Punjab Solar scheme was already a dud in my viewpoint. It did not think through implementation and believed it could buy power from farmers, without thinking how a farmer would come up with the equity capital for an Rs 6-7 crore project. Read why I think the Punjab Solar Policy failed with its harebrained solar scheme for farmers.

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Our reader writes from Amritsar, Punjab where he had come to submit the detailed project report of a grid connected solar power plant at a land which was owned by his friend. He says,

“I observed the following flaws:

1) The government expects the farmer to arrange funds by himself from bank and his own worth. They whatsoever lends zero support on this

2) They expect the farmer to either prepare the DPR and financials himself or approach a consultant who prepares it for them and charges them quarter a million rupees

3) The farmer then goes for application filling again to find that a non refundable deposit of 2.5 lakh rupees empties his pockets

4) With the DPR and PPA he approaches the bank to find that he only gets 60% of the finance from there and the rest 40% is expected from him.

5) Banks also demands a collateral of 50% of the margin money.

What the hell is the govt doing other than calling it a SCHEME and advertising for itself”.

Really its a shame and a harsh reality that strikes us. Though it is all in paper talking about government support, but where is it in reality. Where can a farmer get all this money from? The government needs to prepare more people friendly schemes to promote solar in India. Otherwise it will all remain in theory. I totally understand with the financial debt that the Indian public sector banks are already in, it is difficult for the government to announce huge financial aid but it can reduce the amount of deposit or set up a consultant in the office who does not charge a fortune. All these small moves will really help farmers going forward.

I appreciate your viewpoint in the above case and also encourage you to write more about your experiences in the real world. I thank our reader who shared his story with us and hope more such stories come to the forefront to improve the existing situation.

PG

Sneha Shah

I am Sneha, the Editor-in-chief for the Blog. We would be glad to receive suggestions, inputs & comments on GWI from you guys to keep it going! You can contact me for consultancy/trade inquires by writing an email to greensneha@yahoo.in

6 Responses so far | Have Your Say!

  1. Sneha Shah

    I am very pleased to say that we received an email from Singapore from someone who is ready to financially help the mentioned farmer. Looks like my green cause is finally shaping up :) :)

  2. Sneha Shah

    Wow, another email from Indore. I am sure something will work out :)

  3. Kavita

    Hi Sneha, I want to start something in the solar energy field. Wanted some information and guidance from a proper source. Can you help?

  4. Sneha Shah

    Sure Kavita,

    You can send in your queries at greensneha@yahoo.in

  5. satishkumar

    Instead of investing for production across the country farmers should invest in solar for their consumption. A village level movement will have huge savings and CAPEX will be less.
    Once it becomes a movement from a single farmer to entire farmers the schemes will be profitable.

    When a single cattle owner is apart of big cooperative called Amul,why not they cant replicate this model.

    My dream is each house should produce their own consumption of power

  6. Sneha Shah

    Well said Mr. Satish