The state has a robust 5,000 kilometres of extensive canal network Punjab plans to harness the extensive canal network in the state for the generation of an estimated 1,000 Mega watt of solar power. Bikramjit Singh Majithia, Minister of New and Renewable Energy, Punjab, told Business Standard that the state has been allocated 20 MW of solar power generation by the government of India under the pilot project under which a grant of Rs 3 cr per Mw would be provided. The cost of canal top solar power generation is Rs 10 cr per mega watt. Projects worth 5 Mw are under the tendering process those would be allocated under BOO (Built-operate-own basis). Punjab has a robust 5,000 kilometres of extensive canal network and the PEDA (Punjab Energy Development Agency) is aggressively mobilising the investors to harness solar power. Punjab was also awarded as the best performing state by the Government of India for renewable capacity building for solar mission. The state leapfrogged from 9 Mw in March 2012 to 210 Mw in March 2014 and has a target to generate 541 Mw of solar power by March 2016. The construction of various projects is underway. “”As the land cost was a major hiccup for solar power projects, we amended existing policies and offered incentives to lure the investors. Solar projects in Punjab are exempted from pollution clearance, CLU charges, entry tax on equipment, registry and stamp duty charges on purchase and lease of land. Projects have been put up at the international border with Pakistan where industrial development is almost nil. This has increased the return on land to the farmers of the backward areas but has been backed by the state-of-the-art infrastructure in all parts of the state”, told the minister. The non-resident Indians from USA and Slovakia, having their roots in Punjab have also invested Rs 655 cr in 91 Mw projects, out of which 42 Mw has already been commissioned. "The state has mobilised Rs 4,000 cr of investment in solar energy and projects worth Rs 1,500 cr have been commissioned. The remaining Rs 2,500-crore worth projects are under various stages of completion and would be commissioned by March 2016," said Majithia. Essel Renewable Energy Limited, Azure Power, Welspun Solar Punjab Power Limited, Solairedirect Project India (a French company) are a few among 23 investors in solar power generation in the state. While the state has a huge potential for bio mass based power generation due to agrarian economy there is an ample scope for bio mass based power generation. The GOI, according to Majithia, should provide better incentives as the farmers burn the bio mass (wheat straw and paddy husk) that is an economical wastage and adds to global warming.