The Ministry of New and Renewable Energy (MNRE), through the National Institute of Solar Energy (NISE), has issued a call for proposals for innovative project components under PM Surya Ghar: Muft Bijli Yojana.

The initiative aims to promote innovation in rooftop solar technology and business models.

Proposals must be submitted by July 29.

MNRE had introduced a ₹5 billion (~$59.7 million) innovative projects component as part of the PM Surya Ghar program.

The program focuses on showcasing and demonstrating innovative solar technologies, with objectives that include proof-of-concept pilots, deployment of cutting-edge solar integration tools, and the adoption of advanced tools for grid management by distribution companies (DISCOMs).

Eligible applicants include government-accredited research and development and academic institutions, public and private industries, registered societies, trusts, non-governmental organizations, students, startups (both unregistered and Department for Promotion of Industry and Internal Trade-recognized), and organizations involved in renewable energy research and development.

Proposals must focus on innovation in one or more of the identified thrust areas, including blockchain-based peer-to-peer real-time settlement (RTS) trading, smart building materials, RTS integration with electric vehicle charging, grid-responsive systems with battery storage, special financing models, community solar models, hybrid renewable solutions, AI-based energy management systems, disaster-resilient RTS infrastructure, and urban housing collaboration models.

The projects will be evaluated based on their relevance, cost-effectiveness, novelty, quantified deliverables, technical feasibility, societal value, organizational capacity, DISCOM support, and technological readiness level. The maximum financial support available is 60% of the project cost or ₹300 million (~$3.5 million), whichever is lower.

An initial release of up to 50% of the grant (excluding institutional overheads) may be disbursed based on the equipment cost. The remaining funds will be released according to milestone achievements. The initial grant must be utilized within six months.

Overhead charges are capped at 8% of the total project cost or ₹1.5 million (~$17,525), whichever is lower. Upon project completion, a completion report (in duplicate and soft copy), an audited utilization certificate, and unutilized funds with interest must be submitted.

The maximum project duration is 18 months from the letter of award, with changes subject to the selection committee’s discretion.

MNRE’s Mission Directorate will oversee the projects’ implementation and monitoring. Monitoring responsibilities include reviewing progress, verifying fund utilization, and overseeing phase-wise fund releases. NISE will be the implementation agency.

The program was launched on February 29, 2024, with a total outlay of ₹750.21 billion (~$8.77 billion), targeting 10 million rooftop installations on households by 2027.