(MENAFN- KNN India) Ludhiana, Oct 3 (KNN) The Punjab government's Renewable Energy Sector Committee is preparing a set of recommendations to accelerate the state's clean energy transition.

The panel is expected to soon present its proposals to Industry Minister Sanjeev Arora.

Pankaj Sharma, president of the Association of Trade and Industries Undertakings (ATIU) and a committee member, stressed that renewable energy should be declared a thrust sector in Punjab to keep the state competitive.“Prioritising renewables is key for Punjab's industrial growth,” he said, reported TOI.

One major recommendation is a dedicated land allocation policy for solar parks. Currently, many Punjab-based industrialists are setting up solar projects in states like Madhya Pradesh and Gujarat, selling power at Rs 3 per unit but buying it back in Punjab at Rs 9–10 per unit.

Introducing open access and flexible land leasing models could make Punjab more attractive for investment.

The committee also proposes a capital subsidy scheme, as setting up 1 MW of solar power costs Rs 4–7 crore. Achieving Punjab's estimated 5–6 GW solar potential would require investments of Rs 20,000–35,000 crore. Without financial support, such expansion would be challenging, Sharma noted.

Promoting local solar manufacturing is another focus. Most solar panels and inverters are currently imported, and developing a manufacturing cluster would strengthen supply chains and create jobs.

Regulatory reforms are also suggested, including increasing rooftop solar capacity for industries from 63 per cent to 90 per cent of sanctioned load and enabling smoother transfer of security deposits when units change ownership.

Additionally, Punjab's canal network could support small hydro projects of 1–5 MW, boosting clean energy at low cost and generating rural employment.

Rishabh Oswal, another member, highlighted the importance of inter-state power transfer, allowing Punjab companies to sell solar power from other states back home.

Despite nearly 300 sunny days a year, Punjab's installed solar capacity is just 1.2 GW-1.5 per cent of India's total-far behind states like Rajasthan, Gujarat, and Karnataka.“With these reforms, Punjab could emerge as a renewable energy leader in North India,” Sharma said.

(KNN Bureau)

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