A variant of the captive model is the group captive model. Under the group captive model, a project is developed for the collective usage of one or many corporate buyers. NeoClean Power  sets up a Special Purpose Vehicle (SPV) for group captive wherein the corporate buyer(s) holds only 26 percent of equity in a project and needs to collectively consume at least 51% of the power with the PPA. Here too, NeoClean Power will take complete responsibility for building, operating, and maintaining the project.


Group captive solar farm is MW scale solar power plant developed on Capex Model in a remote location by SPV company. SPV is project special purpose vehicle company. All electricity consumer which is as an investor in this model will have equity share in SPV company.

Advantages of Group Captive

Lowest Cost: Industries and Commercial establishments tend to have a higher tariff which directly affects their profits. A Group Captive scheme helps reduce their power costs considerably. Besides getting regular, reliable and cheap power, the transmission and distribution losses also come down through group captive power plants because the power is produced locally and consumed locally.

Cross subsidy: By section 42 of the Electricity Act, 2003 the consumers of captive power scheme are exempt from paying cross subsidy charges. The same is applicable for Group Captive consumers.

Power Cuts: In case of a power cut, industrial consumers face heavy productivity losses leading to financial losses. Group captive scheme circumvents this frustrating problem entirely.