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Energética India | September / October 2015

MR. TULSI R. TANTI CHAIRMAN & MANAGING DIRECTOR, SUZLON GROUP Policy Amendments in India: A must to boost the Renewable Energy sector Mr. Tulsi R. Tanti, Chairman & Managing Director, Suzlon Group, believes that the government needs to create a more favourable regulatory environment to support the growth of renewable energy in India The renewable energy (RE) in general and wind energy in particular require significant impetus on infrastructure to have a successful outcome. Considering that India is not blessed with quality fossil fuel resource, RE has the potential to act as a great catalyst to the ‘ Make in India’ initiative. Also, the fact that the Indian renewable industry offers immense potential and opportunities for saving forex reserves, ensuring both energy & environmental security and sustained employment creation in far and remote areas. The Indian Government has also recognized renewable energy as the perfect alternative to the depleting energy supplies which earlier looked more like a part of one’s corporate social responsibility. Over the years, due to massive uncertainty in coal procurement (production in domestic and cost implication in imported one), future supply may not be able to keep pace with the rising demand. This has led to increased focus on renewable energy- the resource that is available within the country. This will help the Government drive the growing demand with zero environmental impact. Also with technical advancements that has lead to cost stabilization & optimization, the sector is bound to witness big investments from across the globe in comparison to thermal based electricity generation, where costs are constantly rising. This has led to price parity in the wind energy segment. This year, the Indian Government has set an ambitious target to quadruple its renewable power capacity to 175 gigawatts by 2022. This includes 100 GW of solar energy, 60 GW of wind energy, 10 GW of biomass and remaining in hydro projects. This target set by the Ministry of New and Renewable Energy (MNRE) will certainly fuel the growth of the renewable sector and assist in resolving India’s biggest challenge – electricity for all by 2022. The government’s target of 175GW from renewables by 2022 can only be achieved if some of the key issues are addressed: 1. Availability of grid and land infrastructure at state level needs to be adequate, for which Government needs to invest and accord reforms 2. Important that long term FiT( Feed in Tariff) are in place as that would bring regulatory certainty and steady flow of investments both from domestic and international markets required for setting up wind energy projects 3. Stronger programs need to be designed that will attract investments, essentially to scale the wind power generation to reach 60 GW and breathe new life into India’s wind energy market 4. Important to have a long term national uniform policy & regulatory framework for both investments & implementation 5. Advance planning & investments in transmission grid infrastructure both at national and state level for seamless transfer of electricity 6. Financial Institutions/Banks should finance RE projects with a longer amortization schedule (viz. 20 years) and a Over the years, due to massive uncertainty in coal procurement (production in domestic and cost implication in imported one), future supply may not be able to keep pace with the rising demand RENEWABLE ENERGY 56 energética INDIA · SEP | OCT15


Energética India | September / October 2015
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