Emerging Solar City: Chandigarh’s master plan for a sustainable future

Chandigarh is renowned as one of India’s most well-planned cities. The BBC has recognised Chandigarh as an ideal city for its modern architecture, cultural development and modernisation. However, the city currently lacks an independent power generation facility. The city has undertaken initiatives such as mandating rooftop solar installation, providing subsidies and issuing tenders to promote solar adoption and establish itself as a model solar city.

Current status

Chandigarh is a meticulously planned city with limited available land. It has adopted rooftop solar plants as the optimal solution for energy generation. However, the city still faces a scarcity of alternative re­newable energy sources. The centralised power grid supplies the majority of the re­quired power to residents. As per the Electricity Wing of the Engineering Dep­art­­ment of Chandigarh, the city receives 39 per cent, 7 per cent and 54 per cent of its power from Punjab State Tran­smission Corporation Limited (Mohali), the Bh­a­k­ra Beas Management Board (Dhulkote) and Power Grid Corporation of India Lim­ited (Nalagarh) respectively.

Since the city is entirely dependent on centralised power stations for electricity generation, any unforeseen issues at the­se stations could have severe consequences for Chandigarh residents. The rising population in Chandigarh has contributed to an upward trend in per capita electricity consumption. To decrease its reliance on the central grid, the city has been implementing measures to enhance its sustainability, actively promoting solar power installations.

To achieve this goal, the city introduced a master plan with the aim of transforming itself into a solar-powered city. In January 2012, the Ministry of New and Renewable Energy (MNRE) approved the master plan for a model solar city, formulated by TERI. The Chandigarh Renewable Energy, Sci­ence & Technology Promotion Socie­ty (CREST) serves as the implementing bo­dy for the Department of Science & Tech­nology & Renewable Energy, focusing on rooftop solar plants within this programme. The MNRE had set a solar target of 69 MW to be accomplished by the Chandigarh ad­ministration by 2022. However, the UT has been able to achieve only 54.99 MWp. The administration has now set a goal to reach 100 MWp by 2025 as part of its efforts to establish Chandigarh as a mo­del solar city.

To promote the use of solar energy, the local government mandated in May 2016 that rooftop solar projects be installed in group housing societies and on properties occupying 500 square yards or more. New houses were required to install solar panels, with existing ones given a two-year wi­n­d­ow for installation. The mandates result­ed in the production of solar energy in the city increasing from 29.89 MUs in 2018 to 45.21 MUs in 2021, representing a rise of 15.32 MUs, according to ENVIS.

As of December 31, 2022, the total ins­talled grid-connected rooftop solar capa­city stood at 54.99 MWp across 4,346 locations in the UT, encompassing both pu­blic and private sectors. Of the total in­stalled capacity, 29.94 MWp has been ins­talled across 851 government sites, wh­ile the remaining capacity of 25.05 MWp is spread across 3,495 different private sites. Solar projects mounted on government building rooftops have generated 219.37 MUs, resulting in a reduction of carbon emi­ssions by 149,495 tonnes. As of Oc­to­ber 31, 2023, the city’s installed solar po­wer capacity has increased to 64.05 MW.

In January 2023, the Joint Electricity Regulatory Commission (JERC) approved the installation of grid-connected rooftop solar plants for residential consumers in the city, to be executed by a third party on a build-operate-transfer basis under the renewable energy service company model. This enables participation from residents of various plot sizes, including “marla” houses, across all sectors. The programme offers several advantages, such as no upfront investment and a fixed solar tariff of Rs 3.23 per unit (inclusive of operations and maintenance) for approximately 22 and a half years until the plant is handed over to the beneficiary. Currently, residential consumers are charged Rs 2.75 per unit for consumption of 0-150 units, Rs 4.25 per unit for 151-400 units and Rs 4.65 per unit for usage exceeding 400 units. In 2016, the UT administration had mandated the installation of rooftop power plants for residential houses with a size of 500 squa­re yards and more. However, under the revised model, homeowners are re­q­uired to allocate approximately 500 square feet of space for the installation of a 5 kWp solar plant. This model is applicable to residential consumers, with capacities ranging from 5 kW to 10 kW.

In August 2019, the central government raised the subsidy for residents installing up to 3 kWp of rooftop solar plants from 30 per cent to 40 per cent. However, the subsidy amount was not disbursed in time. Following a prolonged delay of over four years, the central government has finally resolved outstanding subsidy payments totalling Rs 32.5 million. Moreover, the UT administration is undertaking the installation of rooftop solar power plants on around 1,500 government houses across the city with a budget of Rs 0.2 billion. Implementation has already started in specific areas of the city, with solar power plan­ts already operational on approximately 550 houses. These solar panels are sc­heduled to be installed in the near future on the remaining homes. In addition to relying solely on rooftop solar, Chandigarh autho­rities are considering the installation of floating solar projects on water bodies. In January 2023, a floating solar project of 2,000 kWp was commissioned in Chan­digarh at water works in Sector 39, at a cost of Rs 117 million. Some tendering ac­tivity has also been witnessed in recent years. CREST floated an engineering, procurement and construction tender in October 2022 for establishing grid-connected rooftop solar projects with capacities ranging from 1 kW to 500 kW. It also floated a tender in July 2022 for the development of 2 MW of grid-connected floating solar projects with high power eva­cuation systems in Chandigarh at an anticipated cost of Rs 115 million. Further­more, the Chandigarh Municipal Corpo­ration (CMC) announced plans in April 2022 to build four solar power plants on its land at a cost of more than Rs 110 million. The projects are being planned in collaboration with CREST and will be installed at the city’s three material recovery facilitation centres, Sector 25, Indus­trial Area Phase One, and 3 BRD along Industrial Area Phase Two. Due to financial constraints, solar projects on three MRF stations will be installed by the science and technology department, and not CMC, at a cost of Rs 74.2 million.

Future outlook

The UT administration has set an ambitious goal to fully transition Chandigarh’s power requirements to renewable energy by 2030. As per media reports, to achieve this target, the administration has directed CREST to develop an extensive renewable energy plan with a roadmap for the next seven years. A key aspect of reaching this goal involves the concept of net zero buildings, which fulfil all their power needs from rooftop solar plants.

According to the NDC Partnership case study, to alleviate the financial burden on residential consumers, CREST has enlisted vendors to install rooftop solar systems, shifting the responsibility of obtaining subsidies from consumers to vendors. CREST also introduced an online portal to streamline and facilitate the process of securing regulatory clearances and subsidies for consumers. In 2015, the JERC modified the solar tariff to align with Ch­andigarh’s average power purchase cost, with the aim of encouraging residential consumers to install rooftop solar plants. Moreover, CREST has undertaken various promotional initiatives, including door-to-door campaigns.

However, there are several challenges and issues that must be addressed for the city to establish itself as a leader in the solar space. According to a working paper by WRI India and the Shakti Sustainable En­ergy Foundation titled “Here Comes the Sun: Residential Consumers’ Experiences with Rooftop Solar PV In Five Indian Citi­es”, released in 2018, residents of Chan­digarh faced difficulties in rooftop ins­tallations due to limitations imposed by the architectural regulations of the municipality. Further­mo­re, consumers express­ed challenges in in­s­­titutional procedures, including delays, billing challenges, the requirement for multiple visits and officials’ insufficient capacity to offer information and gui­d­ance. The building regulations set by the architecture wing of the Department of Ur­ban Planning, regarding rooftop solar ins­tallations, present challenges for residential consumers interested in adopting ro­oftop solar. These regulations include specifications, such as a maximum height limit of 10 feet, a ma­n­datory distance of at least 10 feet from front, rear and side walls, and a dista­nce of 4 feet from common walls. In addition, re­strictions on constructing pe­r­manent staircases to the panels impede the acc­essibility needed for cleaning and maintenance of the systems. While some pro­gress has been made in addressing these challenges, more work is needed to promote larger uptake of rooftop solar.

Overall, despite the gradual pace of gro­wth, Chandigarh has the potential to be­come a model solar city, provided appropriate frameworks are established. Going forward, the UT authorities should actively focus on increasing tendering activity. Chandigarh should evaluate the viability of implementing alternative technologies such as waste-to-energy for waste disposal, and procuring renewable energy from other states by conducting their own auctions.