A move to accelerate Delhi’s march towards becoming India’s solar capital, Delhi Power Minister Ashish Sood on Monday announced the simplification of rules for setting up solar plants on agricultural land. In an important policy clarification, the government stated that the installation of elevated solar systems does not amount to a violation of the Delhi Land Reforms Act, 1954, effectively doing away with the longpending requirement of obtaining ‘Change in Land Use’ (CLU) permission for such renewable energy projects.
Explaining the decision, Sood said the step would remove decades-old regulatory bottlenecks that had hampered the growth of solar energy in the national capital. He pointed out that the new directive will allow farmers to earn additional income by generating solar power while continuing farming activities beneath the elevated solar structures.
“For years, Delhi’s vast solar potential remained trapped behind outdated laws and endless approval processes,” Sood said. “While the world steadily moved towards decentralised and renewable energy solutions, our farmers were left navigating a complex legislative maze. Today, we have put an end to that.”
Under the revised framework, farmers will now be permitted to install elevated solar plants on agricultural land without altering its land-use status. Instead of a lengthy approval process, the Revenue Department will accept a simple, standardised undertaking from landholders, replacing the monthslong CLU procedure that frequently delayed projects.
The minister said the reform reflects the clear vision of the Rekha Gupta-led Delhi government to seamlessly integrate clean energy generation with agriculture. “Our vision is that every farm in Delhi should not only produce crops but also generate clean energy to power the city’s future,” he said, adding that the initiative will enable farmers to earn “double income” by harvesting solar energy while continuing traditional cultivation.
Key elements of the reform include the continuation of agricultural activities under solar installations to safeguard food security, alignment with India’s national renewable energy and Net Zero commitments, and the application of Group Net Metering (GNM) and Virtual Net Metering (VNM) regulations framed by the Delhi Electricity Regulatory Commission (DERC). These provisions will help farmers monetise the electricity generated and supplied to the grid.
Sood said Delhi cannot afford to fall behind as India moves rapidly towards ambitious renewable energy targets. Criticising previous administrations, he said that while earlier governments spent years in consultations without delivering results, the current government has implemented a practical, farmer-centric solution that protects land rights while embracing modern technology.
