The second most desirable renewable energy market in the world is the one in India. Following the Paris Agreement, the Indian government is concentrating on clean energy. The sector is appealing to investors because of the government’s growing backing. India also placed second in the 2017 Renewable Energy Attractive Index. India will need to use a lot of renewable energy to meet its energy needs.
India had a total installed capacity of 62.846 GW for renewable energy in December 2017. Additionally, it represents about 18.8% of the nation’s overall energy capacity (333.5 GW).
Additionally, 17.05 GW of solar energy was produced (27.13 percent). By 2035, India’s total solar capacity might account for 8% of the world’s solar capacity.
Major Investments In Solar Sector
The following are some significant investments and advances in the Indian solar sector:
- In 2017, private equity (PE) investments in India’s wind and solar energy rose by 47%.
- In January 2018, the Indian company Adani Group ranked as the world’s 12th-largest utility solar power developer.
- In January 2018, NLC India Ltd. began operating its 130 MW solar energy facility in Tamil Nadu.
- Additionally, a finance loan worth Rs 650 crore has been agreed upon by the Asian Development Bank (ADB) and Punjab National Bank (PNB), which will be used to fund solar rooftop projects on commercial and industrial buildings throughout India.
- Additionally, the Indian government and the Asian Development Bank (ADB) have agreed to lend Power Grid Corporation of India Limited (PGCIL) Rs 1100 crore for the development of interstate transmission systems for solar power projects that will allow surplus solar energy to be transferred to power-deficient states.
Role of Government
The government of India has taken the following significant actions in the solar industry:
- In its Dhule district, the Maharashtra State Government intends to build a 500 MW solar park.
- The solar rooftop industry will receive benefits from customs and excise duty from the Ministry of New and Renewable Energy (MNRE). Growth will be accelerated since it will generate power more cheaply and lower setup costs.
- The Indian Renewable Energy Development Agency (IREDA) will raise bonds for the Union Cabinet for Rs 2,360 crore ($366.2 million), which will be utilised for a number of renewable energy projects in FY 2017–18.
- Mr. Narendra Modi, the Indian Prime Minister, has suggested creating model cities where all energy needs are satisfied by solar electricity.
The Indian government wants to make significant progress in the solar industry. In fact, India’s future energy source will be the sun. Solar energy will not only be a source of power but also a major source of income for many investors.