We have tracked and reported on the Indian renewable energy sector for 14 years. And it has been a marvellous journey to see the sector grow from less than 20 GW of capacity then to over 150 GW now. It has transformed from a utility-scale wind and solar-centred landscape to a more inclusive sector with a myriad of technologies and business models catering to all consumer segments.
There has been a seismic shift in the perception of renewables. Once considered an expensive and inaccessible resource, renewable energy has now become much more affordable and accessible, primarily driven by the phenomenal price declines in the solar power segment. The consumers of today – be they utilities or corporates or even residential owners – are much more aware of the various offerings in the market, as well as government schemes and programmes. Developers have become more mindful of customer demands and are offering tailored solutions based on those requirements.
The industry seems to be shifting slowly away from plain vanilla solar and wind power projects towards hybrids and the blending of two or more sources, for round-the-clock and firm and despatchable renewable energy (FDRE). This is true of not just corporate customers but also utilities, which are ready to pay a higher price for quality and firm renewable power supported by energy storage systems. This trend was clearly visible this year, when a greater number and capacity of auctions took place in the hybrid and FDRE spaces, compared to even the popular solar power.
This year also witnessed some landmark developments that have significantly boosted emerging segments. Successive large tenders were announced and rounds of auctions were held for green hydrogen and electrolyser production, supported by incentives from the government. The offshore wind space got a kickstart with the much-awaited approval for viability gap funding (VGF) for the initial 1,000 MW of projects. VGF guidelines were also announced for 4,000 MWh of battery energy storage systems. A pumped storage policy has, moreover, been proposed and is being worked on. These timely developments will encourage private sector participation in developing large projects in the country across these segments, helping create a competitive industry.
Perhaps the biggest development of the year was the launch of the PM Surya Ghar: Muft Bijli Yojana, which is promoting the uptake of rooftop solar in the residential segment through attractive incentives. This programme can have a transformative impact on the renewable energy sector, taking solar to the household level and helping tap the vast potential of residential solar in the country.
As the country moves ahead on its energy transition journey and ramps up non-fossil fuel energy installations to meet the 500 GW target by 2030, there should be a focus on inclusive and sustainable development of infrastructure. Further, with energy security becoming vital for the country’s economic development, diversification and localisation of energy production – as well as equipment and raw material supply chains – should continue to be the topmost priorities for the country.
Khushboo Goyal, Editorial Lead and Associate Director
P.S.: With this edition, we celebrate our 14th anniversary. We take this opportunity to present a detailed review of the renewable energy sector’s progress over the year, highlighting the growth trends, policy developments, technology deployments and financing trends. The issue includes insights and updates on various renewable energy segments as well as perspectives of policymakers and industry leaders, and also has a comprehensive data and statistics section. We hope that we have done well in this regard. We are always grateful to our contributors, readers and advertisers, who have continued to support and motivate us through all these years.
