ODISHA RENEWABLE ENERGY DEVELOPMENT AGENCY Empanelment of Channel Partners for implementing off-grid, decentralized solar PV and thermal application projects on behalf of OREDA under first phase (2009-2013) of Jawaharlal Nehru National Solar Mission S-59, Mancheswar Industrial Estate, Bhubaneswar – 751010, Odisha Phone: (0674) 2580554 Fax: (0674) 2586368 Email:ceoreda@oredaorissa.com Website: www. Oredaorissa.com 1. Background: The Jawaharlal Nehru National Solar Mission (JnNSM), is a major initiative of Government of India and State Governments to promote ecologically sustainable growth while addressing India's energy security challenges. It will also constitute a major contribution by India to the global effort to meet the challenges of climate change. The immediate aim of the Mission is to focus on setting up an enabling environment for solar technology penetration in the country both at centralized and decentralized levels. The first phase (upto March 2013) will, inter alia, focus on promoting off-grid systems including hybrid systems to meet /supplement power, heating and cooling energy requirements. Odisha has huge potential for deployment of both off-grid and decentralized solar PV and thermal systems. Odisha also has large numbers of remote un-electrified villages and partially electrified villages which are potential pockets for deployment of these technologies. Besides, in view of the rising power prices a large market for off-grid applications is also coming up in semi urban and urban areas where people are becoming increasingly conscious about energy conservation. However, it is observed that much is not happening on ground due to lack of organized efforts. MNRE, GOI has already appointed several channel partners both in solar PV and thermal areas but the said partners have not yet been able to put any major effort to ground projects in Odisha. In this context it is felt that, a larger team consisting of manufacturers, system integrators, entrepreneurs, etc. is needed to carry these technologies to their real users within the broad framework of the program. Keeping this in view OREDA intends to empanel channel partners who would work hand in hand with OREDA to promote various off-grid solar energy technologies in Odisha within the boundary conditions of the scheme. 2. Objectives: 2.1 To promote off-grid applications of solar energy (both SPV and Solar Thermal) for meeting the targets set in the Jawaharlal Nehru National Solar Mission for Phase-I. 2.2 To create awareness and demonstrate effective and innovative use of Solar systems for individual/ community/ institutional/ industrial applications. 2.3 To encourage innovation in addressing market needs and promoting sustainable business models. 2.4 To provide support to channel partners and potential beneficiaries, within the framework of boundary conditions and in a flexible demand driven mode. 2.5 To create a paradigm shift needed for commoditization of off-grid decentralized solar applications. 2.6 To encourage replacement of kerosene& diesel, wherever possible. 3 Channel Partner: A channel partner under these arrangements is defined as a manufacturer/system integrator/Dealer of solar PV /Thermal systems/devices or an independent Entrepreneur/NGO duly registered by Government under relevant Act that would partner with OREDA as well as one or more manufacturers (in case the company itself is not a manufacturer) of different solar PV and thermal systems covered under the scope of this arrangement to promote sale of such systems as well as render various services within the broad framework and boundary conditions of the JnNSM. 3.1 Role and responsibility of Channel Partner Sensitization and awareness generation about different off-grid and decentralized solar PV, thermal and hybrid systems. Identification of prospective customers. Assessment of the needs of the customers. Preparation of Detail Project Report (DPR) as per the guidelines of JnNSM Submission and presentation of the DPRs before the designated technical committee of OREDA. Supply, installation and commissioning of the systems upon getting due approval from OREDA. Entering in to such Annual/ Cumulative maintenance services with the customers as may be approved by OREDA. In case of necessity, arranging bank finance for the customers at interest rates as spelt out under the JnNSM. 3.2 Eligibility Criteria The intending channel partner should be either a company registered in India under the company’s registration act 1956 or an NGO registered under the Socities Registration Act 1856. The intending channel partner should either be an approved manufacturer of MNRE or have a proper tie –up with one or more MNRE approved manufacturer(s) of Solar PV/Thermal/ Hybrid systems. The intending channel partner should have minimum turnover of INR 50Lakhs during last three years. The intending channel partner should have the work experience of at least 3 years in the field of supply, installation, commissioning and maintenance of Renewable Energy Systems. The intending channel partner should have in-house capability or tie up with appropriate consultants for preparing DPRs that would inter-alia include resource assessment, drawing design, financial calculations etc. The intending channel partner should have or upon selection should be willing to open (prior to taking up any project) sale and service centers in their respective areas of operation within Odisha. 3.3 Selection Criteria: Channel partners will be selected basing on the following major criteria a) Fulfillment of all eligibility conditions b) Business Plan (to be submitted by the applicant) which should inter-alia indicate the forecast of annual business volume in terms of money. c) Securitizing the forecast by depositing 5% of the forecasted amount of annual business in shape of bank draft from any schedule bank in favour of chief Executive OREDA payable at Bhubaneswar valid for a period of one year. 4 Implementation Arrangements: The selected channel partners after duly convincing a customer or customers shall prepare a DPR for the intended project within the boundary condition of JnNSM and present the same before the designated technical committee of OREDA. The designated Technical Committee of OREDA shall within 15 days of receipt of the DPR scrutinize the same and send their comments, if any, to channel partner for necessary incorporation. The channel partner after due incorporation of the comments of the technical committee shall resubmit the DPR to OREDA as early as possible. The Technical Committee shall send the DPR along with its recommendations to MNRE within 15 days of receipt of the final DPR. Following sanction of the project by MNRE, OREDA would intimate the same in writing to the channel partner who has to execute the project within the timeframe mentioned in the approved DPR. OREDA would also review the progress of the project on a monthly basis. The committee would also frame rules and prescribe formats etc, for project approval, implementation within the overall framework of this scheme, so as to make the process transparent. 5 Fee structure: 5.1 Registration fee: Each selected channel partner has to deposit a one-time non refundable registration fee of Rs one lakh with OREDA. 5.2 Processing fee: While submitting a DPR, the channel partner must deposit a processing fee of Rs 5000/- per kw and 500/- per sqm in respect of PV/Thermal respectively in shape of bank draft from any scheduled bank in favor of Chief Executive, OREDA, payable at Bhubaneswar. Performance Security Upon communication of sanction, the channel partner must deposit 10% of the total project cost towards performance security in shape of irrevocable bank guarantee initially for a period of 6 months in favor of Chief Executive OREDA . The said Bank Guarantee will be returned to the channel partner within 15 days of successful completion of the project and submission of reports thereof. 5.3 6. Release of subsidy: Release of subsidy will be back-ended and will be released within two weeks of completion of the project and submission of documents thereon as prescribed by OREDA along with the verification report of the concerned Asst. Director (Tech.) of OREDA or any other officer designated by OREDA. All the Channel Partners appointed by OREDA for participation in Off-grid Scheme on Solar Energy Systems and applications under JnNSM are instructed not to use the Government/OREDA/MNRE logo on any of their pamphlets/ advertisements/publications /websites etc. It can, however, be used in workshops and training banners/ hoardings with prior permission form Government/OREDA/MNRE. In case, any of them is found using the logo on his own/company’s documents, he may be debarred from the Programme without any intimation. This may strictly be followed by all the Channel Partners. 7. Selection criteria Subject to fulfillment of all eligibility conditions selection of channel partners will inter-alia base on the following major criteria Financial capability Tie –up with manufacturers Experience in executing off-grid , decentralized RE projects Establishment of Sale and Service infrastructure in Odisha . Turn over during last three years. Projection of business volumes ( Each applicant has to submit a Business Plan that should inter-alia indicate the projection of annual business volume in terms of money and the applicant must securitize the projection by depositing 5% of the forecast amount in shape of bank draft from any schedule bank in favour of chief Executive OREDA payable at Bhubaneswar valid for a period of one year. 8. Application procedure Applications should be submitted in prescribed format only ( Annex I). All testimonies those have been asked for must be attached to the application. . A well thought out business plan must be submitted along with the application. A bank draft in favor of CE, OREDA from any scheduled bank payable at Bhubaneswar amounting to Rs 11050/- ( Rs 1050/- towards cost of application form in including VAT and Rs 10000/- towards processing fee) must be submitted along with the application.. 9. Evaluation Procedure The applications will be evaluated inter-alia basing on the following Responsiveness to various documents asked for. Correctness of the documents submitted . Fulfillment of the prescribed eligibility conditions. Quality of the business plan. Projection of business volumes 10. Empanelment of Channel partner Selected applicants will be empanelled as channel partners and a certificate to that effect will be issued in their favor. The list of channel partners will be hosted on the website of OREDA and will also be intimated to all concerned. 11. Validity of empanelment The empanelment will remain valid for a period of one year from the date of empanelment. 12. Cancellation of empanelment: Chief Executive, OREDA reserves the right to cancel the empanelment of any of the Chanel Partner at any point of time if the said channel partner is found to violate any of the clauses mentioned in the EoI. If any of the activities of the channel partner is found to be detrimental to the aims and objective of the scheme. If the channel partner is found to be engaged in any fraudulent practices while executing the scheme. If any report is received from customers against the conduct of the channel partner and if the same is also proved against them in subsequent enquiry ordered by Chief Executive, OREDA. 13.Renewal of Empanelment Under normal conditions the empanelment will be renewed every year subject to review of performance of the Channel Partner during the year under consideration. Renewal is the sole discretion of Chief Executive, OREDA. 15. Central Financial Assistance BOUNDARY CONDITIONS FOR SUPPORT TO OFF-GRID SOLAR PVAPPLICATIONS 1 A B 2 A B 3 A B Individuals All Application except 1B Pumps for irrigation and community drinking water Non-Commercial entities All applications except 2B Mini-grids for rural electrification Industrial/Commercial entities All applications except 3B Mini-grid for rural electrification Scale of capital Subsidy Based on benchmarking annually Scale of Interest Subsidy: 1 kWp 5 kWp Capital Subsidy & Interest Subsidy 100 kWp per site 250 kWp per site site Capital Subsidy & Interest Subsidy 100 kWp per site 250 kWp per site Capital Subsidy Or Interest Subsidy . Rs. 81/- per Wp Rs. 57/- per Wp With battery storage Without battery storage Soft loan @ 5% p.a. On the amount of project Cost Less promoter’s Contribution Less capital subsidy amount The best/competitive and innovative technologies available globally would be allowed, subject to standards and technical parameters, laid down by MNRE. BOUNDARY CONDITIONS FOR SUPPORT TO OFF-GRID SOLAR THERMAL APPLICATION S. No. Solar Collector type Capital subsidy/ Collector area (Rs./sq.m.) 1 2 Evacuated Tube Collectors (ETCs) Flat Plate Collectors (FPC) with liquid as the working fluid Flat Plate Collectors with air as the working fluid Solar collector system for direct heating applications Concentrator with manual tracking Non- imaging concentrators Concentrator with single axis tracking Concentrator with double axis tracking 3000 3300 3 4 5 6 7 8 2400 3600 2100 3600 5400 6000 The capital subsidy/ unit collector area, as given above, is based on 30% of the benchmark costs, which would be reviewed annually. Capital subsidy would be computed based on the applicable type of solar collector multiplied by the collector area involved in a given solar thermal application/project. MINIMAL TECHNICAL REQUIREMENTS/ STANDARDS FOR OFF-GRID/ STANDALONE SOLAR PHOTOVOLTAIC (PV) POWER PLANTS/ SYSTEMS TO BE DEPLOYED UNDER THE NATIONAL SOLAR MISSION ARE AS PER MNRE NOTIFICATION. Annexure-I 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 Name of the applicant/firm/company Address of the applicant Name of the Contact person to whom all references shall be made regarding this application. Designation of the Contact person to whom all references shall be made regarding this application. Address of the Contact person to whom all references shall be made regarding this application. Telephone No with STD code E-mail of the contact person Mobile No of contact person Fax No of contact person Registered power of attorney (copy enclosed) PAN/TIN no Copy of audited statement for last three years Registration No /under Act………………. Proof of RE business Proof of partnership with manufacturing firm(s) Proof of having Service center in Odisha or undertaking thereof Proof of experience (attach copies of purchase orders VAT/STC clearance certificate.