Renewable Energy Development in India Dr. P C Maithani Adviser Ministry of New and Renewable Energy

India has low per capita energy and electricity consumption, and also CO2 emission Source: IEA 2017

India’s commercial energy demand is on the rise Non-hydro renewables share, although will increase in absolute terms but is likely to remain unchanged in % terms Source: IEA, World Energy Outlook 2017

Bright future for Renewables Non-hydro renewables share, although will increase in absolute terms but is likely to remain unchanged in % terms Source: IEA, World Energy Outlook 2017

Creating pan-India market for renewables Growing electricity demand India’s Energy Challenge Creating pan-India market for renewables Growing electricity demand Mainstreaming renewables Access Security Climate Change Demand India’s INDCs under Climate Change seeks 40% of electric installed capacity by non-fossil fuel by 2030 India is yet to achieve universal electricity Access A general introduction to Indian Energy Scenario. Self explanatory in nature.   Introduce the viewer to the energy gap prevalent in India, all areas of Shortage, Access, Security, Need for action for Climate Change and also Demand Management India is dependent on oil imports for 80% of its demand

Share of Renewable Energy Installed capacity : 332 GW as on 31 October 2017

Inter–se share of Renewables as on 31 October 2017 Installed capacity : 61 GW

Share of Renewable Energy in Electricity Mix

Renewable Energy in the legal Context India has a bicameral parliamentary system - Parliament has supreme law- making powers The Concurrent list which contains subjects under the shared purview of the Union and State governments Electricity is a concurrent subject (Entry 38 in concurrent list) The sub-State level, i.e. Municipal Corporations, Municipalities or Panchayats.

Policy Framework for Renewables Public Private Partnerships - Framework for Participation Fiscal and other support for Investors to keep the tariffs affordable Move towards competitively determined tariffs in Solar and wind Develop eco-system for decentralized and off-grid solutions for improved energy access Strengthen and incentivise Intra State and Inter State transmission infrastructure Progressive focus on improving generation efficiencies Strengthen Institutional framework

Institutional Structure Renewable Energy Development in India Ministry of New and Renewable Energy State nodal agencies for renewable energy development National Institutes for Solar, Wind, and Bio Energy Solar Energy Corporation of India Ltd Alternate Hydro Energy Centre (AHEC) for small hydro Central & State Electricity Regulatory Commissions Other Partners Educational Institutions Non Profit Organizations & NGOs Surya Mitra, Renewable Energy Service Companies (RESCO) -Developers, Aggregators etc. The Ministry has been facilitating the implementation of broad spectrum of renewable energy programmes through an elaborate implementation mechanism   Large number of institutions, NGOs, service companies, financing institutions etc are involved We have established specialized institutions to provide technical support to different renewable energy areas Indian Renewable Energy Development Agency (IREDA) Research & Development Institutions Banking & Financial Institutions

Role of Policy and Regulation in Renewables Growth Preferential Tariffs by SERCs/Price discovery Renewable Energy development in India has been aided by strong policy and regulatory backing State Renewable Energy Policies

Mission 175 GW by 2022 India made a commitment in Paris Climate Agreement to reduce emission intensity of the economy and for having at least 40 % electric power installed capacity from clean energy sources by the year 2030

National Solar Mission (NSM) National Solar Mission (NSM) was launched on 11th January, 2010. Mission targets : 20GW grid connected solar power by 2022; 2GW off-grid solar applications including 20 million solar lights by 2022; 20 million sq. m. solar thermal collector area; to create favourable conditions for developing solar manufacturing capability in the country; and support R&D and capacity building activities to achieve grid parity by 2022. In June 2015 the targets were scaled up to 100 GW by 2022 Broadly consists of 40 GW Grid connected Rooftop and 60 GW large and medium size land based solar power projects.

Growth of Solar Capacity in India The sector has been registering exponential growth

Year-wise lowest solar tariff in (Rs./kWh)

Factors leading to reduction in solar tariffs De-risked Bidding - Payment security with NTPC and SECI as the power off-takers in most bids - Three month payment guarantee in case of delays from the distribution company Guarantee by Off-takers - Enables developers to lower their bids in real time - Promotes competition with transparent lower tariffs Online reverse bidding - Large scale projects being bid result in economies of scale - Faster and easier implementation of projects - Common pool of resources and better network utilisation Scale of projects and Solar Parks Reduction in EPC costs Entry of major foreign players Reduced technology costs Strong competition with lower margins for EPC’s Larger pool of investors Concessional financing

Wind Power Increased competitiveness Strong manufacturing base in India Wind turbines becoming stronger, higher and with better CUF Forecasting and Scheduling Regulations getting in shape

Small Hydro Power Less than 25 MW Potential : 21 GW from 7100 sites Achievement 4.4 GW

Tasks in Hand Handling Intermittency Integration of renewables in Grid Domestic Manufacturing Innovation & Research and Development Ensure stability of the grid infrastructure Development of Smart Grid for renewable power

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