1. The Dual Engine of Commercial Solar: Energy Savings + Tax Shield
For manufacturing plants, hospitals, hotels, cold storages, and commercial real estate in Central India, electricity represents 15% to 35% of total operating overheads. Commercial and industrial (C&I) tariffs across MPMKVVCL and MPPKVVCL range between ₹7.80 and ₹9.50 per unit, plus demand charges and electricity duty.
On-site rooftop solar generates clean power at a levelized cost (LCOE) of ₹2.00 to ₹2.40 per unit over 25 years. When combined with Section 32 Accelerated Depreciation, the financial case is unbeatable.
2. Understanding 40% Accelerated Depreciation (Section 32)
Under Section 32 of the Indian Income Tax Act, solar power equipment is classified as renewable energy devices eligible for 40% Accelerated Depreciation on Written Down Value (WDV) basis.
If the solar plant is commissioned before September 30th (operating for >180 days in the financial year), the full 40% depreciation can be claimed in Year 1. If commissioned after September 30th, 20% is claimed in Year 1 and the remaining 20% is carried forward to Year 2.
3. 100 kW Rooftop Solar Case Study: Mandideep Industrial Area, Bhopal
Maxira Solar engineered and commissioned a 100 kWp rooftop solar plant for an engineering components factory in Mandideep Industrial Area (Bhopal). Here are the audited financial metrics: