Uttar Pradesh Solar Energy Policy 2022 - Solar Power Projects
The Uttar Pradesh Solar Energy Policy 2022 is run by the Government of Uttar Pradesh via the nodal agency Uttar Pradesh New & Renewable Energy Development Agency (UPNEDA). Its purpose is to provide reliable and sustainable solar energy across the state, reduce dependence on fossil fuels, promote private sector investment in solar generation and storage, and build human resource capacity for the renewable energy sector. Your business can benefit from this policy if you plan to invest in setting up solar power generation or storage projects in Uttar Pradesh.
Key Features
- Target capacity of 22,000 MW by 2026-27: The policy sets a specific large‐scale deployment target to encourage investment. Out of this, roughly 14,000 MW is for utility‐scale projects/solar parks; 4,500 MW for residential rooftop; 1,500 MW for non‐residential rooftop; and 2,000 MW under PM KUSUM/distributed generation.
- Utility scale, rooftop and distributed solar promotion: Your enterprise may choose to set up a large solar plant (sale or captive) or rooftop/embedded generation. The policy is designed to enable both.
- 100% stamp duty exemption on land: If you acquire land for a solar plant or park, you benefit from full exemption on stamp duty reducing your upfront cost.
- 100% electricity duty exemption for ten years: For solar power units, electricity duty is waived for a decade, lowering operating cost.
- State subsidy INR 2.50 crore/MW with 4-hour battery storage: To promote storage + solar systems, a capital subsidy is available.
- Government land lease up to 30 years: For solar parks and large projects, land may be offered on favourable lease making your land sourcing easier.
- Development of solar cities & rooftop on government buildings: The policy drives solarisation beyond generation govt buildings, institutions, municipal corporations etc. start with Ayodhya as model.
- Solarisation of agriculture feeders and tube wells: This ensures that the large agricultural load is decarbonised, and opens opportunities in distributed solar generation.
- Skill development – 30,000 Surya Mitra: The policy acknowledges the human resource dimension you may consider training or hiring certified personnel.
- Third-party sale / captive use allowed: For flexibility, projects can supply power to third parties or for captive consumption, expanding business model options.
Financial Assistance
Eligibility Criteria
Who Can Apply:
- Developers or investors (private, public, joint ventures) setting up solar power plants (utility-scale, parks, or captive/third-party) within Uttar Pradesh.
- Entities installing rooftop solar (residential or non-residential) or distributed solar generation (e.g., via the PM KUSUM Scheme C1/C2 components).
- Applicants utilizing battery storage (4-hour) in their solar projects to avail the special state subsidy.
Who Cannot Apply:
- Projects located outside the geographical boundary of Uttar Pradesh.
- Applicants failing to comply with UPNEDA or regulatory clearances (unless exempt under policy).
- Projects that do not meet eligibility norms (for example size, technology, land lease terms).
- Entities with pending major non-compliances under energy sector regulations (where applicable).
Documents Required
- Project proposal / Detailed Project Report (DPR) outlining capacity, technology, storage (if any), cost estimates.
- Land lease or ownership proof for the solar park/plant/rooftop location.
- Registration of applicant entity (company, LLP, etc.) and Memorandum of Association / Articles of Association.
- Financial sanction letter / fund tie-up document.
- Electricity connection / grid-interconnection consent (from relevant DISCOM / transmission agency).
- Technical specifications of solar PV modules, inverters and if applicable, battery storage system.
- Net-metering / open-access agreement for rooftop/distributed solar (if applicable).
- Environmental compliance / clearance documents (if required).
- Employment/skill development plan (especially if seeking relevant benefits).
Application Process for the Scheme
Option 1: Apply with Bullit (Recommended)
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Option 2: Online Application via UPNEDA / Nivesh Portal
- Visit the official portal of UPNEDA or the state investment portal (e.g., the Nivesh Mitra Portal of Uttar Pradesh) and register your project.
- Upload the application form along with required documents (DPR, land lease, financial sanction, etc.).
- Choose project type (utility-scale, rooftop, captive/third-party) and apply for incentives as per the policy.
- After submission, UPNEDA will review, issue letter of intent / approval. Once commissioning and compliance are verified, incentives are released.
Option 3: Offline / Hybrid Route
- Collect a physical application form from UPNEDA’s office or state energy department.
- Attach printed copies of documents (DPR, land lease/ownership, sanction letter, etc.).
- Submit to UPNEDA or designated nodal agency; follow up with field inspection and approval.
- Post-commissioning, claim relevant subsidies and exemptions as per the policy.
Power Combo with the scheme