Glossary
Every term in your proposal, in plain English.
Solar proposals are dense with abbreviations, and a buyer who doesn't challenge a term they half-understand is a buyer who can be sold something. Here is the vocabulary, defined without spin. If a vendor uses a word that isn't here and can't explain it simply, that tells you something.
A to Z
32 terms.
- Accelerated depreciation (AD)
- A tax provision letting eligible businesses write down a solar asset faster than normal, claiming a larger share of its cost against taxable income in the first year. A timing benefit on an asset you bought — not a subsidy or a cash grant.
- ALMM
- Approved List of Models and Manufacturers. A government-maintained list of solar modules and manufacturers meeting specified criteria. Certain project categories are required to use listed products.
- AMC (annual maintenance contract)
- The Indian term for a yearly service agreement covering inspection, cleaning, monitoring and repair. Functionally the same scope people elsewhere call O&M — check what is actually included and what is billed extra, because that is where these contracts differ.
- Azimuth
- The compass direction a solar array faces. In India, south-facing generally maximises annual generation; east or west facing shifts output earlier or later in the day, which can suit some load profiles better.
- BESS
- Battery Energy Storage System. Stores electrical energy for later use — to supply load after sunset, to shave a demand peak, or to carry critical equipment through an outage.
- CAPEX model
- You buy and own the solar system outright. You carry the capital cost and keep every unit it generates, along with the asset and any depreciation benefit.
- Captive and group captive
- Arrangements where a consumer owns a qualifying share of the generating plant and consumes its output, rather than buying power from the DISCOM. Group captive lets several consumers share one plant. They apply to larger procurement than rooftop and carry their own eligibility conditions.
- CEIG / Electrical Inspectorate
- The statutory authority that inspects and certifies electrical installations before energisation. Required for higher-voltage and larger installations.
- Connected load
- The total rated capacity of all the equipment connected at your premises. Distinct from what you actually draw at any moment.
- Curtailment
- Deliberately reducing a system's output below what conditions would allow — typically because generation exceeds what can be consumed or exported at that moment.
- DCR
- Domestic Content Requirement. A condition in certain schemes requiring cells and modules to be manufactured in India.
- DISCOM
- Distribution company — the licensee that supplies electricity to your premises and administers connection and metering. MSEDCL covers most of Maharashtra.
- EPC
- Engineering, Procurement and Construction — the standard Indian term for a contractor who designs the plant, buys the equipment and builds it, handing over a working system. If a vendor calls themselves an EPC, ask which of the three they actually do in-house and which they subcontract.
- Gross metering
- All generation is exported to the grid at a set rate, while you separately buy all your consumption at your normal tariff. Two independent transactions.
- Inverter
- Converts the direct current produced by solar modules into the alternating current your facility and the grid use. String inverters serve groups of modules; central inverters serve larger blocks.
- kW, kWp and kVA
- kW is real power. kWp is the peak DC rating of a solar array under standard test conditions — a nameplate figure, not what you will see on a given day. kVA is apparent power, and is often the unit your demand charge is billed in.
- Maximum demand
- The highest sustained power draw recorded in a billing period. Commercial tariffs bill this separately from the units you consume, which is why a brief spike can cost you all month.
- MERC
- Maharashtra Electricity Regulatory Commission. Sets tariffs and the regulations governing distribution, net metering and open access in the state.
- Net billing
- Surplus you export is credited at a rate that differs from — usually below — the rate at which you buy imported units.
- Net metering
- A bidirectional meter records import and export, and you are billed on the net. Exported units offset imported units, making this generally the most favourable arrangement for a self-consuming site.
- O&M
- Operations and maintenance. The ongoing cleaning, inspection, monitoring and repair a system needs to keep performing across a 25-year life. Solar is low-maintenance, not no-maintenance.
- On-grid, off-grid and hybrid
- On-grid (also grid-tied) works alongside the utility supply and shuts down during an outage. Off-grid runs independently with storage and no utility connection. Hybrid combines a grid connection with storage so some load can continue when supply fails.
- Open access
- A mechanism allowing large consumers to buy power from a generator other than their DISCOM, using the distribution network for a charge.
- Performance ratio (PR)
- The ratio of a system's actual output to its theoretical output under the irradiance it received. A measure of how well the installation converts available sun into delivered units, accounting for losses.
- Power factor
- The ratio of real power doing useful work to apparent power drawn. Poor power factor means drawing more current than your work requires; utilities penalise it and reward correction.
- PPA / OPEX model
- Power Purchase Agreement. A third party funds, owns and operates the system on your roof, and you buy the power it generates at a contracted rate per unit, with no capital outlay.
- Sanctioned load
- The capacity your DISCOM has formally agreed to supply to your premises. Rooftop systems are typically sized in relation to it, which makes it a common binding constraint.
- Shading analysis
- Assessment of how surrounding structures, trees, parapets and rooftop equipment cast shadows across the year. Partial shading disproportionately affects output, so this drives layout.
- Solar plant
- The common Indian term for the complete installation — modules, mounting structure, inverters, cabling, protection and metering — as opposed to just the panels. Sizes are usually quoted in kW or MW of DC capacity.
- Tilt
- The angle at which modules are mounted relative to horizontal. Affects annual yield, seasonal distribution of output, and how readily dust and rain clear the surface.
- Time of Day (ToD) tariff
- A tariff structure charging different rates by time of day, typically penalising peak hours and discounting off-peak. It determines which of your units are the expensive ones.
- Turnkey
- A contract where one party delivers the whole plant ready to operate, including approvals and commissioning, so the customer takes over a working asset rather than coordinating trades. Worth confirming in writing whether DISCOM liaison and net-metering approval are inside the turnkey scope.
Still not clear?
Ask us to explain anything in your proposal — ours or a competitor's. We'll give you a straight answer either way.