Propulsion in Renewable Power Sector (Wind and Solar) in India

Abstract

Purpose :

1. To study the Headwinds of momentous change in the Renewable Energy (RE) Sector in India since 2017 and Adaptive Suggestions for Speedy Policy changes in the RE Sector.


2. India’s renewable energy progress to date has been that of marginal propulsion owing to the — two steps forward, one step back behavior.Identifying the Friction in new policies and their implementation for better understanding of the rising trends in Clean energy markets.

Domestic solar, wind and hydro energy PPA ( Power Purchase Agreement) tariffs are now 30-40% lesser than the price of domestic thermal tariffs, and 50-60% less than that of imported coal sourced thermal power costs. A majority of the factors affecting the Solar tariffs are Solar Photovoltaic (PV) module costs, interest rates, Capacity utilization Factor (CUF)’s (differ across states in India, given drastically different solar resource attributes), and cost of financing. Despite all these factors, CUF has the most impact on the Returns from Projects. A 5% drop in CUF can cause a 12% drop in project returns.

1. The speedy growth of native renewable energy can help ameliorate and addressIndia’s urgency for Energy security, reduce carbon footprints by decreasing pollution, and issue electricity deflation to help uplift the power distribution companies from bad debts