Development of a solar-energy portfolio between 300 and 500 MW will be required so that farmers participating in cooperatives and farmers active in contract farming may establish PPAs offering electricity prices at least 30 percent lower than current levels over a ten-year period, the energy ministry has estimated.

Photovoltaic systems to be developed for this purpose will include batteries, thereby enabling part of their production to cover energy needs during nighttime hours for irrigation and other needs.

Sizeable state subsidies for integration of energy-storage systems into PVs are expected, ministry sources informed.

The extent of this subsidy support will be determined through a study to be conducted by the ministry in order to calculate the total energy-storage capacity required to secure electricity-cost cuts of at least 30 percent for farmers, the sourced noted.

According to an initial estimate, battery installations will need to represent roughly one-third of the total capacity of solar farms if this electricity-savings target is to be achieved.