The outcry on coal shortage, fuel price rise, and other scarcities across the world last month brought Renewable Energy into the limelight again.
Clean energy derived from natural resources that replenish constantly is Renewable energy. Though considered new-tech, humans have been using nature’s power for transportation, heating, lighting, and more for ages. Examples, wind-powered sailboats, windmills to grind grains, solar energy to cook food, etc. Only in the last 500 years have human beings turned to cheaper, dirtier energy sources like fossil fuels, coal, and fracked gas.
A few decades ago, capturing and retaining solar and wind energy was expensive and cumbersome. Over the years, innovations and cheaper options to capture energy have made renewables a significant power source globally. In the last few years, renewable energy has become popular, with more countries pledging higher investments in renewal sources. China, the United States, and Germany are the largest consumers of renewable energy.
Today, India is among the Top 3 attractive destinations for renewable energy. The biannual Renewable Energy Country Attractiveness Index (RECAI) ranks the top 40 countries on their renewable energy investments and deployment opportunities. The classifications reflect EY’s assessments of global market trends and market desirability.
The infographic below will give you an idea of the change in rankings since 10th May 2019.
India’s flourishing renewable energy market conditions, inclusive policy decisions, investment and technology improvements focusing on self-reliant supply chains have pushed the clean energy transition to new heights.
India can generate 1000 GW of solar power on 0.5 percent of the land. India’s renewable power generation capacity has increased with a CAGR of 17.33% from FY16-2020. The Center plans to install 227 GW of renewable energy capacity by 2022, more than its Paris Agreement target of 175 GW.
Top Billionaire Barons race to a Renewable finish line
Prominent business houses like Ambani’s, Tata’s, and Adani are betting big on renewable sources.
Last year, India’s richest man Mukesh Ambani, announced to make Reliance a carbon net-zero company by 2035. He also pledged to invest $10Bn in clean energy and hydrogen fuel in the next three years in June this year, presenting the 5000-acre Dhirubhai Ambani Green Energy Giga Complex in Jamnagar.
Not to be outdone; Gautam Adani, India’s second richest man, announced a $20Bn investment in the next decade. He promised to produce the world’s cheapest green electron, foray into green hydrogen production, use renewable energy to power its data centers, and turn carbon net-zero by 2025.
This week’s we talk of focused interest in the Renewable Energy Sector, the several green company acquisitions, FDI inflows, and more. While we write the next chapter, look at the recent developments in the sector:
- Smart Power India (SPI), Rockefeller Foundation’s subsidiary, and Deutsche Gesellschaft fur Internationale Zusammenarbeit (GIZ) joined hands with India’s Ministry of New and Renewable Energy to encourage decentralized renewable energy (DRE) for the country through Azadi Ka Amrut Mahotsav.
- Tata Power inks a three-year commercial contract with the World’s first renewable energy AI (Artificial Intelligence) firm Bluewave-ai. The company is also in talks with a large pension and sovereign asset managers to raise around $500 million ahead of its renewable energy arm’s IPO.
- State-owned power behemoth NTPC draws Rs. 15,000crore disinvestment plan. NTPC intends to list NTPC Renewable Energy, North Eastern Electric Power Corporation, and NTPC Vidyut Vyapar Nigam.
- India’s renewable energy generation capacity, excluding large-scale hydro projects, has crossed 100 GW. The country stands fourth in the globe in terms of installed renewable energy capacity.