Key Changes in Solar Efficiency Norms

Ministry of New and Renewable Energy (MNRE) Eases Solar panel Efficiency Norms for Off-grid Rural Project

  • Efficiency Standards Reduced –
    • Previous Standard (Off-grid <200W) – Crystalline silicon: 19% efficiency; Cadmium Telluride (CdTe): 18% efficiency
    • New Standard – Both technologies now set at 18% efficiency.
  • Scope of Change – Applies only to off-grid solar applications below 200W, including:
    • Solar lanterns
    • Micro solar grids
    • Streetlights
    • Small fans and appliances
    • Does not affect larger systems like rooftop solar or solar pumps.
  • Introduction of Distributed Renewable Energy (DRE) Category – Supports smaller manufacturers and rural electrification.
    • DRE Definition – Electricity generated from renewable sources (solar, wind) near the point of use.
  • Lower energy output per unit area due to reduced efficiency.
  • Faster degradation of panels may impact long-term reliability.
  • Need for strict quality enforcement to prevent market saturation with substandard modules.
  • Improved Accessibility & Affordability – Lower efficiency threshold reduces costs, making solar kits more affordable for rural consumers.
  • Support for Small Manufacturers – Encourages local and small-scale production, fostering rural solar enterprises.
  • Boost to Rural Electrification – Expands solar-powered lighting and appliances in remote areas where grid power is absent or unreliable.
  • Technology Implications – Enables wider use of:
    • Polycrystalline silicon (cheaper alternative).
    • CdTe thin-film modules (lower cost, effective in low-light conditions).

Source: DTE


Previous Year Question

With reference to technologies for solar power production, consider the following statements:
1. ‘Photovoltaics’ is a technology that generates electricity by direct conversion of light into electricity, while ‘Solar Thermal’ is a technology that utilizes the Sun’s rays to generate heat which is further used in the electricity generation process.
2. Photovoltaics generates Alternating Current (AC), while Solar Thermal generates Direct Current (DC).
3. India has a manufacturing base for Solar Thermal technology, but not for Photovoltaics.
Which of the statements given above is/are correct?

[UPSC Civil Services Exam – 2020 Prelims]

(a) 1 only
(b) 2 and 3 only
(c) 1, 2 and 3
(d) None

Answer: (a)
Explanation:
Statement 2 is not correct:

Solar energy can be converted directly into electrical energy (direct current, DC) by photovoltaic (PV) cells commonly called solar cells.
Statement 3 is not correct:
India has a manufacturing base for Solar Thermal technology as well as for Photovoltaics.


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