Development Of Solar Energy In India: Policy, Regulation And Legal Challenges
Mohit Rajesh Bathija, D.E.S. Navalmal Firodia Law College (DES Law), Pune
I. INTRODUCTION
India possesses substantial solar-energy potential and has increasingly placed solar power at the centre of its renewable-energy transition. The development of solar energy has been driven by the need to strengthen energy security, reduce dependence on conventional fossil-fuel sources, address climate-change concerns, and expand access to cleaner electricity. The National Institute of Solar Energy has assessed India’s solar potential at approximately 748 GW, while the National Solar Mission has made solar energy a central component of the country’s renewable-energy policy.
The Government of India has, over the past decade, developed an extensive body of legislation, policies, regulations and schemes for promoting solar-energy generation and consumption. The Electricity Act, 2003 provides the principal statutory foundation for renewable-energy regulation, while the National Solar Mission, Renewable Purchase Obligations, tariff-based competitive bidding, rooftop-solar programmes and green- energy open-access mechanisms have progressively created a regulatory framework for the development of solar power. The National Solar Mission, launched on 11 January 2010, specifically sought to establish India as a global leader in solar energy by creating appropriate policy conditions for rapid diffusion of solar technology.
Despite substantial policy development, the expansion of solar energy continues to involve significant legal and regulatory challenges. These include land acquisition and land-use issues, grid connectivity and transmission constraints, intermittency and grid management, delays in regulatory approvals, disputes relating to power purchase agreements and tariffs, variations in State-level policies, and the financial position of distribution licensees. The fragmented allocation of regulatory responsibilities between central and State authorities further creates questions concerning consistency and coordination in the implementation of solar-energy policy.
This paper examines the development of solar energy in India from the perspective of policy, regulation and law. It analyses the evolution of the legal and institutional framework governing solar-energy development, examines the role of electricity regulatory authorities and evaluates the principal legal and regulatory challenges affecting the sector. The study further assesses whether the existing framework adequately facilitates sustainable solar-energy development and identifies areas requiring greater regulatory clarity, institutional coordination and legal reform.
