PART HARYANA GOVT GAZ., FEB. 10,1998 (MAGH 21,1919 SAKA) 81 NON -CONVENTIONAL ENERGY SOURCES DEPARTMENT The 8th January, 1998 No. supersesion of earlier notification No. 2 /1/94-1MIP dated the 31st July, 1996 the Governor of Haryana is hereby offers following fiscal and financial incentives for Generation of Power through Non -Conventional Energy Source l (Solar, Wind, Mini -Small Hydro, BiemaSs Cogeneration, Waste Recycling) in Haryana :- 1. Operative Period The scheme of promotional and fiscal incentives as contained herein will come into operation with the date of its publication in the office gazette° and will remain in force upto 31st March, 2002. 2. Eligible Producers Those generatng electricity from Non -conventional Energy Sources such aS Solar, Wind Electric Generators, Small Hydro Plants, BiemasS Combustion, Cogeneration waste recycling etc. There will be no restrictions on generation capacity or supply of electricity to the grid. Consortia of cooperatives will also be eligible. 3. Grid Interfacing (i) Interfacing, including transformers, panels, Kiosk, protection, metering, High Tension lines from the points of generation to the Haryana State Electricity Board's nearest High TanSion lines etc. as well as maintenanc.i Will be a undertaken by the producer as per the Specifications and requirements of the Haryana State Electricity Board, for which he will bear the entire cost. Alternatively, these works and their maintenance could be undertaken by the Haryana State Electricity Board, at charges to be decided by the Haryana State Electricity Board. (ii) Depending upon the generation capacity, if the sub -station capacity at 33/11 KV or higher levels is required to be augmented or 66KV or higher capacity transmission liner) are to be provided, this will be undertaken by the Haryana State Electricity Board, at their cost. (iii) Two separate meters, one for the export of power to the grid and another for import from the grid will be installed on the H. T. side by the producer. The meters and metering boxes will be sealed by the Haryana State Electricity Board. (iv) Necessary current limiting devices such as thyriaters will be installed in the generating equipment by the producer. Capacitors ot sufficient rating will also be provided in the equipment to ensure that the powsr factor is always maintained above 0.8. 4. Wheeling Charges Haryana State Electricity Board will undertake to transmit on its grid the power generated by private power producers using non -conventional energy sources and make it available to the producer for captive use or to a Third Party within the State at a uniform Wheeling charges of 2% of the energy fed to the grid, irrespective of distance from the generating station, if H. T./L. T. lines exists. If FL L. T. lines required to be laid beyond Haryana State Electricity Board lines for wheeling the power at any desired point, then the cost of the Same shall have to be borne by the promoter /power producer. In case the power iS to be Sold to a third party, the name of such party Shall be indicated by the power producer at the time of making an application in the prescribed form of Haryana State Electricity Board. S. Purchase Price Haryana State Electricity Board will purchase electricity offered by the power producers at the rate of Rs. 225 per unit for the base year 1994-95 with an annual escalation @ 5% on the purchase rate of the previous year. 6. Banking The banking facility shall be allowed for a period ot one year by Haryana State Electricity Board. 7. Electricity Duty Capative power generation using non -conventional energy sources as well as its sale to USER or third party shall be exempted from electricity duty. r rimer 82 HARYANA GOVT GAZ., FEB. 10,1998 (M kGH 21, 1)19 S 4.Kk) 81. Sale Tax Exemption Any eligible producer setting up power gene,-ation plant baSed on non -conventional enrgy sour cos in the State of Haryana will be allowed to purchase the plant and machinery used for the pu-pose of generation of such energy without payment of sales tax/purchase tax. 9. Water Charges Producer will be allowed to use the water for power generation through micro/mini/small h ydal plant. No royalty will be charged on the water used for power generation in those cages. 10. Other Incentives (i) Power generation from non -conventional energy sources will be treated like any other industry and incentives normally available to new industrial units would be permissible. (ii) Concessions given to the industrial units in backward areas will be provided such as exemption from taxes and duties and capital Subsidy etc. as provided by the Industries Department under its policy from time to time. (iii) Infrastructural facilities such as approach road, water supply, power during construction period etc. will be provided on the lines of industrial estates, if these are being set up in the industrial estates developed by tbe State Government. If such plants are set up outside industrial ehateS, then these facilities shall be provided on actual cost basis. projects based on energy recovery from Municipal Solid/Liquid Waste, decision on providing land and garbage will be taken on case to case basis after receipt of applications for the site ;pecific projects. 11. Application and Clearance (i) Eligible Producers should submit their application for Setting up the project and for grid nterface in the proforma to the Haryana State Electricity Board. (ii) Clearance Will be provided within a period of two months from the date of application. (iii) A Power Purchase Agreement will be entered into with the p7oducer within a period o f rne month from the date of providing the clearance. (iv) lithe applicant does not take effective Steps (i. e. atleaSt 10% of the total project cost should re incurred) to implement the project within Six months from the date of obtaining posseSsion of land, lie Agreement could be terminated and the Site allocated to another applicant. If, on the other hand, and is not provided within three months from the date of agreement, the applicant will have the option o terminate the Agreement. S. Y. QURAISHI, CommisSioner & Secretary to Government, Haryana, Non -Conventional Energy Sources Department, Chandigarh.