304.5.3Benchmarking of Costs for Renewable Energy Systems suitable for Remote Village Electrification ProgrammeA fast track mechanism for determinig the benchmark costs of renewable energy systems/devices to be deployed under the programmehas now been instituted.4.6VILLAGE ENERGY SECURITY TEST PROJECTSUnder the Remote Village Electrification, Village Energy Security Test Projects have been sanctioned.4.6.2The Village Energy Security Test Projects aim at meeting the energy requirements of a village for cooking, lighting andmotive power through locally available renewable sources with full participation of the local communities, including women. Testprojects aim at demonstrating technological approaches, financial viability and ownership and operational arrangements.4.6.3The Energy production system would comprise improved chulhas; biogas plants based on dung or leafy biomass; biomassgasifier coupled to 100% producer gas engines; and biofuels- run pumpsets. Energy plantations are an integral part of these projects.4.6.4Implementation and Financing ModalitiesTest projects are being undertaken by Gram Panchayats and facilitated by implementing agencies such as the District Rural DevelopmentAgencies (DRDAs), Forest Departments or NGOs. State Nodal Agencies have been asked to constitute State Level CoordinationCommittees for overall coordination and monitoring purposes. Guidelines for implementation of the Test Projects were revisedduring the year in consultation with the Ministry of Panchayati Raj. A Village Energy Committee (VEC) is to be constituted by theGram Sabha and duly notified by the Gram Panchayat as a Sub-Committee or a Standing Committee of the Gram Panchayat. Testprojects involve village-level planning and implementation in order to meet the energy requirements of the village mainly throughlocal biomass resources. The energy services are to be owned and maintained by the village community. The projects involve activecommunity participation and have considerable potential for local employment generation. A total of up to 25 direct and indirect jobsare likely to get created in every village where the project is taken up.4.6.4.290% of the capital cost of the test projects is met through a Central grant, subject to a benchmark of Rs.20,000/- perbeneficiary household for meeting the total domestic and community energy requirements. The balance 10% towards the capital costis to be mobilized by the community / implementing agency / State Nodal Agency. An amount of about Rs.8.00 lakh per project isprovided towards professional, service charges and towards O&M for a limited period. The funds released by the Ministry are placedin a bank account specifically opened for this purpose. A Village Energy Fund is also created with initial contribution from thevillagers.4.6.5Progress made during 2005-06A total of 210 preliminary proposals for the test projects were received from 12 States, namely, Andhra Pradesh, Chhattisgarh,Gujarat, Jharkhand, Karnataka, Madhya Pradesh, Maharashtra, Orissa, Rajasthan, Tamil Nadu, Uttaranchal and West Bengal.Ofthese, 92 proposals that were found to be in accordance with the Guidelines were short-listed for preparing detailed proposalsincluding Village Energy Plansfor setting up the test projects. Of the 26 detailed proposals received from the States of West Bengal,Madhya Pradesh, and Rajasthan, 24 test projects were sanctioned during 2004-05, with eleven projectscovering eight districts inMadhya Pradesh and seven projects in four districts in West Bengal to be implemented by the Forest Department; and, six projectsin six districts in Rajasthan to be implemented through Zila Parishads.4.6.5.2 76 new test projects are planned to be taken up during the current year. 36 more preliminary proposals have been receivedtaking the total to 246 proposals received, and the total proposals shortlisted to 105. Thirty seven more test projects have been clearedin nine more States. Of these 32 projects have been approved in eight States, viz., Andhra Pradesh (2), Chhattisgarh (8), Gujarat (2),Madhya Pradesh (2), Maharashtra (4), Orissa (7), Tamil Nadu (4), Uttaranchal (3). Another 45 projects are under finalization forbeing taken up during this year. Thus, a total of 56 test projects have so far been taken up.4.6.5.3 In all these projects, electricity is being provided through biomass gasifiers or biofuel based generators; the cooking energyneeds are being met through improved cook stoves and cattle dung-based or leafy biomass-based biogas plants; and, expellers arebeing provided for biofuel production. Plantations of fast growing and oil bearing tree species are also being taken up. Village EnergyCommittees have been set up and a Village Energy Fund has been created.4.6.5.4Depending on the outcome of the Test Projects, a scheme could be formulated covering remote census villages.4.6.5.5The Kasai Village Energy Security Test Project was inaugurated by the Minister of Non-conventional Energy Sources, ShriVilas Muttemwar on 29 October 2005. Another Test Project in Dewrabandi village in Harda district of Madhya Pradesh has beencommissioned in December 2005. All 11 Test Projects in the State are likely to be commissioned during the year.
