‘Waive VAT on renewable energy’ Social entrepreneur and Ramon Magsaysay award winner Harish Hande on Thursday called upon the State Government to waive VAT on renewable energy projects to drive sustainable alternative energy solutions in the State. While States like Andhra Pradesh, Maharashtra and Punjab have exempted renewable energy products from VAT, it is imposed at the rate of five per cent in Odisha. State needs to push alternative energy in a big way as majority of its people still do not have access to electricity. As per Census 2011, around 57 per cent of households in Odisha are still without electricity. Waiver of taxes will be a game-changer in promotion and acceptance of renewable energy like solar, small hydro and biogas among the people, the Managing Director of SELCO, a social enterprise developing sustainable energy entrepreneurs, stressed. Hande also underscored the necessity of decentralising alternative energy projects and products. At present, marketing of renewable energy products is carried out by Government undertakings only. The market should be opened up and Government should limit its role to policy making and programme implementation, he added. SELCO on Thursday announced an ambitious project to create entrepreneurs, who can reach out to the untouched populace addressing their needs of sustainable energy solutions, particularly in solar power. The social ventire has aims to develop at least 10 entrepreneurs in the rural areas of the State by the end of this year. Setting the plans in motion, SELCO has started organising workshops in the seven pilot districts of Nuapada, Kalahandi, Raygada, Koraput, Kandhamal, Gajapati and Mayurbhanj. The workshops would sensitise youths on opportunities in the field and give basic training on entrepreneurship. Selected youths will be provided elaborate training at the SELCO incubation centre in Bangalore and hand-holding support from facilitating capital to assisting in marketing of their products for a year. There are different models of service including establishing a composite solar energy unit and supplying power to the households for fees and installing solar energy system in individual households. The target audience would be villages which still do not have electricity, street vendors, tribal families and their livelihood linkages. The company has also decided to set up an incubation centre in the State. Energy Efficiency While States like Andhra Pradesh, Maharashtra and Punjab have exempted renewable energy products from VAT, it is imposed at the rate of five per cent in Odisha. As per Census 2011, at least 57 per cent of the households in Odisha are still without electricity. Waiver of taxes will be a game-changer in promotion and acceptance of renewable energy like solar, small hydro and biogas among the masses. Source: Indian Express
Posted on: Tue, 01 Oct 2013 09:09:07 +0000