The year 2023 ended with roughly 134 GW of total installed renewable power capacity in the country and 8.7 GW of new installations between April to December 2023. In line with historic trends, solar power contributed the bulk of capacity additions with 6.5 GW and wind power following far behind with just 2 GW of new deployments.
While many policy interventions were seeded in the previous year, especially in the emerging segments of offshore wind, green hydrogen, pumped storage and domestic manufacturing of critical renewable energy equipment, the industry expects to see their actual fruits this year.
2024 brings with itself new expectations and also new challenges. While solar power installations have been growing, they need to increase at a faster pace in order for the country to meet its goals. Thus, approvals for not just utility-scale assets but also open access and rooftop solar projects need to be fast-tracked. Meanwhile, wind power capacity allocations through auctions needs to be implemented in the targeted manner. Further, as offshore wind development roadmap and strategy has been reviewed and revised and leasing rules also announced, competitive auctions need to be conducted to sustain industry confidence.
Fortunately, successful allocations have been conducted by SECI for both green hydrogen production and electrolyser manufacturing. However, these projects need to adhere to strict timelines in order for the country to have an advantage on the global green hydrogen stage.
As a lot rides on pumped storage projects to ensure sustainable integration of renewables into the Indian transmission grid, it is vital that these projects get quick clearances and are financially viable. Finally, the domestic manufacturing industry must expand for the country to be self-reliant and protected from global disruptions to some extent.
As the market evolves and matures, old challenges will be addressed and new ones will crop up, and like any infrastructure sector, the renewable energy industry will find a way to navigate these.
Net, net, 2024 is the year for more inclusive, sustainable and accelerated growth of renewables in India.
