Energy demand has been increasing steadily along with the development of the state. In view of limited conventional energy sources and their limited exploitation and increasing environmental pollution production of energy based on new and renewable energy sources and is being given high priority and promotion. New and greater chances are becoming apparent to participate in the mainstream of energy production. Along-with biomass and small hydro-electricity the ways are being paved for the establishment of major projects based on MW solar energy. Work in the State is being carried out towards grid connected Solar Power Generation and rooftop power generation. Undoubtedly, now we are moving towards the goal which was envisaged at the time of formation of the agency.
In April 1983 Uttar Pradesh Government created Institute of Alternative Energy Development under the department of additional energy sources as an autonomous institution. The institute has been renamed as "Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA)". From the beginning, the agency is also functioning as nodal agency for implementation of various schemes in the state .
Efforts are being made to develop the capacity in renewable energy sources such as solar energy, small-scale hydro electricity and biomass-based electricity production in the state. Various capacity solar power plants are being installed for electricity generation from solar energy. Biomass-based co-generation in the state sugar mills and rice husk based-electricity generation projects are being encouraged. In addition to this, small-scale hydro electric projects are being implemented in collaboration with private entrepreneurs.
Particularly in view of the wide possibilities for the use of solar energy in rural areas various schemes are being implemented. Remote rural village electrification or mini-grid solar power plant plans are being conducted in Unelectrified villeages or in villages having problematic electricity supply. Under Dr. Ram Manohar Lohia samagra gram vikas yojana for the benefit of the community street light solar street light plants are being set up in selected villages. Under the Lohia housing scheme solar power packs are being arranged in Lohia accommodations. In the field of agriculture small and marginal farmers in the terai and purvanchal region are getting benefited through installation of grant based solar pumps. Scheme for establishing solar plants is being implemented to provide with clean potable to the students learning in the primary schools in rural areas along with the facility of fans in their classes. Schemes has been proposed to provide subsidized solar packs to benefit poor rural families and to provide 8 solar street lights at public places in panchayats.
Training centers has been set up in Lucknow and Mau to develop efficiency regarding installation, operation, maintenance and servicing of projects based on renewable energy sources. In view of the growing need of training for servicing / repairing of renewable energy plants a training center is being established in Kannauj district.