Own a solar plant with 25 years of guaranteed government income — and no auction to win.
Build a 0.5–5 MW solar plant with a fixed 25-year PPA — no competitive bidding.
DREBP is a Gujarat scheme (introduced under the Renewable Energy Policy 2023) that lets investors and developers set up small solar plants (up to 5 MW) and sell power to the discom under a fixed-tariff, 25-year Power Purchase Agreement. Registration is first-come-first-served — there is no reverse auction — which makes it the most accessible route for a ₹5–10 crore investor to own a grid-connected solar asset in Gujarat.
Why this matters now
DREBP capacity is allotted first-come-first-served against limited substation slots. Every month a nearby substation fills up, the projects that waited are simply turned away. The best sites go first.
The scheme at a glance
The terms and numbers that matter, sourced.
Investors and developers who want a hands-off, government-backed solar asset with predictable 25-year cash flows and a ₹2–25 crore budget.
- Any developer, company, firm, HNI or investor — no requirement to be a discom or large IPP.
- Land (owned or leased) for the plant, ideally within ~5 km of a 11 kV / 66 kV substation with spare capacity.
- Ability to furnish the ₹10 lakh/MW performance bank guarantee.
- Project capacity of 0.5 MW up to 5 MW (solar).
How it works
From land to 25 years of income — we handle every step.
Land & substation check
Identify land near a substation with evacuation capacity. We run a feasibility and substation-distance check first.
Online registration with GUVNL
Register the project on a first-come-first-served basis — no competitive auction.
Capacity allotment & LOA
On confirmation of substation capacity, GUVNL issues a Letter of Award.
Sign the 25-year PPA
Execute the bilateral PPA at the fixed GERC tariff and submit the performance bank guarantee.
Build & commission (≤18 months)
EPC, grid connectivity and commissioning within the 18-month window.
Earn for 25 years
Monthly payments from the discom for every unit exported, for the full PPA tenure.
Why it’s worth it
- Assured, fixed revenue for 25 years — bankable cash flows from a government counterparty.
- No competitive bidding or tariff race; first-come-first-served keeps it accessible to smaller investors.
- 40% accelerated depreciation gives a large year-1 tax shield on top of the tariff.
- Small ticket size (0.5–5 MW) fits a ₹5–10 crore equity cheque, with project debt available.
Honestly, watch out for
- Substation capacity is limited and allotted first-come-first-served — speed matters.
- Underperformance below the declared CUF attracts penalties; generation above 120% is unpaid.
- The 18-month commissioning deadline requires a reliable EPC partner.
- Returns at the DREBP PPA tariff are steady but lower than open-access/C&I sale — model both.
Every one of these is a reason to have someone independent on your side.
What do the returns look like under DREBP?
Pick your capacity and get an indicative cost, revenue and payback in seconds.
Frequently Asked Questions
Compare with other schemes
Ready to move on DREBP before the capacity fills?
Book a free consultation — we’ll check your eligibility and model the returns.