Renewable Energy: Opportunities, Regulatory Environment & Forthcoming Initiatives S.P. Gon Chaudhuri Managing Director West Bengal Green Energy Development Corporation Ltd. (WBGEDCL)

Outlook in South Asia In South Asia, largely dependency on biomass energy Biomass energy is the most reliable and cheap source The relative share of traditional sources vary from one third (India) to 90 percent (Nepal) It is estimated that fuel-wood availability would continue without any shortage up to 2020

Outlook in South Asia… There is huge potential of other renewable sources as well. sBangladesh, India and Sri Lanka are rich in solar and Biomass potential. Being the Sun Belt, Pakistan is ideally located to take advantage of Solar Energy Technology. However, most of the potential remained untapped

Wind power potential of India is about 50,000 MW excluding off-shore

Bhutan, Nepal and also part of India are rich in small hydro resources. (50,000MW)

Besides there is a potential of 15 million cattle dung and night soil based biogas plants and over150 million improved chulhas (stove) in the region

Major issues and barriers Poor policy and planning are major barriers in making proper utilization of available resources. Lack of Local level policy (since the potential of each renewable resources is highly dependent on local conditions) RE technologies need higher budgetary support to meet the initial capital cost: but governments are not able to support fully The high cost of these sources does not attract the market on demand side

Effective Policy Instruments Renewable plants provide a range of environmental and social benefits They also contribute significantly to local employment (green job) and add to nation’s energy security. Hence support to renewable is a must Support for Renewable Energy is needed as long as technologies are still developing and market prices for non renewable energy do not reflect their full costs to society due to subsidies and external costs.

Example of Support Policies:- A tax on conventional power to create “Green Energy Funds” as has been implemented in Maharashtra should be replicated in other states. Soft Loans for Renewable Energy Infrastructure creation may be given from the “Green Energy Funds”. Declaration of RPO (Renewable Energy Portfolio) obligation by all the states. Special incentives for certified green buildings. Implementation of all Renewable Energy Programme in Mission Mode. Declaration of appropriate “Feed in Tariff” for Solar and Wind power. Setting high, long-term targets for wind and solar power- 150,000 MW by Present energy pricing and other measures do not support growth of renewable.