SHIMLA, September 20 — The Himachal Pradesh government on Friday notified the Green Panchayat Scheme, under which 500 kW (AC) ground-mounted solar plants will be installed on waste or barren government land in 100 panchayats. The initiative aims to make Himachal a ‘green energy state’ by 2026 while generating revenue for local development and green initiatives.
Income from these solar projects will be shared between the state and local bodies. Panchayats will receive 30 percent of the revenue, which is to be used for initiatives such as rooftop solar installations on government buildings, solar-powered agricultural pumps, afforestation drives, waterbody rejuvenation, and waste management. The state government will receive 20 percent of the proceeds, while HIMURJA will retain 20 percent for operations and another 10 percent as its share of income. An additional 20 percent will be allocated to panchayats for financial assistance to widows and orphans in their jurisdiction.
The scheme is designed to promote decentralized power generation close to consumption points, reducing transmission and distribution losses while strengthening energy access in remote areas. The selection of sites for the solar plants will follow specific criteria, including south-facing orientation, at least one hectare of land, minimal tree cover, and proximity (within 500 meters) to an 11 kV transmission line.
Gram panchayats will issue no-objection certificates for lands under their control, after which HIMURJA will prepare detailed project reports (DPRs) and invite contractors for construction. Upon completion, HIMURJA will operate the plants for five years, after which it will continue management for the next 20 years. Power generated will be sold to the Himachal Pradesh State Electricity Board (HPSEB) under tariffs approved by the HP Electricity Regulatory Authority, with connectivity agreements handled by HIMURJA.
Himachal has been assigned a target of generating 1,995 MW of solar energy by 2030, supporting the Central Government’s renewable energy objectives. By placing solar power plants at the village level, the state government hopes to not only harness abundant solar potential but also create a sustainable funding model for local development projects and environmentally friendly initiatives.
