Uttar Pradesh Global Investors Summit 2023: Renewable Energy Dominates as Investment Hub with Proposals Worth Over INR 4.47 Lakh Crore

The state’s renewable ambitions align with national renewable goals as the country hopes to achieve carbon neutrality by the year 2070. The accelerated efforts for green transition will require mammoth investments, and the Global Investors Summit came just at the right moment.

February 14, 2023. By News Bureau

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The state of Uttar Pradesh is riding on the wave of transition to renewable energy. The state has set a target to generate 22 GW of solar power over the next five years, comprising 14 GW from solar parks and 6 GW coming from rooftop solar. In addition, the government is also keen to explore other renewable options, such as green hydrogen. Notably, the UP government issued the draft Green Hydrogen Policy-2022 to turn Uttar Pradesh into a leading green hydrogen/ammonia producer and make it a 100 per cent green hydrogen/ammonia consuming state by 2035 - in line with India’s Green Hydrogen Mission.

The state’s renewable ambitions align with national renewable goals as the country hopes to achieve carbon neutrality by the year 2070. The accelerated efforts for green transition will require mammoth investments, and the Global Investors Summit came just at the right moment.

The Global Investors Summit 2023

The Uttar Pradesh Global Investors Summit (UPGIS) 2023, the premier investment gathering organized by the state government of Uttar Pradesh, was held from February 10th to 12th, 2023 in Lucknow. Over three days, the summit brought together a diverse range of participants including global policymakers, corporate executives, business delegations, scholars, think-tank representatives, and political and government leaders, all to identify business prospects and build partnerships. The summit is aligned with the state government's aim to transform Uttar Pradesh into a trillion-dollar economy within the next five years.

The Summit was opened by Prime Minister Narendra Modi on February 10 and saw the participation of over 10,000 delegates from over 20 countries, including attendees from fellow International Solar Alliance partner countries like the United Kingdom, Japan, Netherlands, Mauritius, Denmark, Italy, UAE, and Australia. Discussions at the summit focused on investment opportunities in many areas including renewable energy, semiconductor manufacturing, and electric vehicles.

“There has been improvement in every field in the state in 5-6 years from electricity to connectivity,” the PM said. The President also noted that the government is striving to strike a balance between development and environmental sustainability, through initiatives such as renewable energy development and green energy corridors. These efforts will help India achieve its goal of net zero emissions.

The investment proposals worth ₹33.5 lakh crore were received at the summit through 19,058 MoUs, holding the potential of generating more than 93 lakh jobs, CM Yogi Adityanath said, promising a safe investor destination to investors.

Renewables Prevailed

Renewable energy turned out to be an upcoming area attracting maximum investment intents, leaving behind even electronics manufacturing – the area which has always been the top sector of investment in the state.

The renewables fetched around ₹4.47 lakh crore worth of investment, which is over 15.4 per cent of the total investment proposals received. Energy Minister AK Sharma, the chief guest of the ‘Sustainable Development Through Renewable Energy’ session, apprised the investors of the Yogi government’s plans to reduce carbon emissions.

“I call upon investors to be partners in the state’s development. The entire journey of human development is linked to energy,” Sharma added.

Five of the top 10 investment proposals were in the renewable energy sector. These included By RG Strategies i.e. about Rs 1.73 lakh crore, which along with renewable energy also included electronic vehicle manufacturing. ABC Cleantech expressed interest in renewable energy by promising an investment of Rs 50,000 crore in the Mirzapur district of Purvanchal. The NTPC followed next with a promise to invest Rs 42,280 crore in Jhansi, Sonbhadra and Prayagraj. Unicorn Energy of Germany promised to invest Rs 41,500 crore in Lucknow and Jaunpur; and GMR Group R 40,000 crore.

EV Mood

Uttar Pradesh has been pushing for Electric Vehicles for green mobility for a while now. The New Electric Vehicle Manufacturing & Mobility Policy, 2022, was launched to promote the faster adoption of clean mobility solutions and create a conducive ecosystem for EVs in the state. The policy aimed to attract Rs 30,000 crore in investment.

It was revealed during the mobility session on the second day of the Global Investors Summit that the Uttar Pradesh government will set up at least four EV hubs in the state. Notably, the state had one of the highest numbers of Electric Vehicles registered in India in 2022 - over 4 lakh - sharing around 22 per cent of the total number of EVs registered in the country in 2022. All thanks to the state government’s electronic vehicle manufacturing policy.

“The state is poised to create at least four EV hubs. Noida, Lucknow, Kanpur and Meerut are some locations around which EV manufacturing hubs have been conceived,” said ParameswaramIyer, Chief executive officer of the NITI Aayog.

Manufacturing semiconductors, an essential component of an electric vehicle, was also discussed. In the summit's first session, the challenges and opportunities being provided by the state government to make the country and Uttar Pradesh a manufacturing hub for semiconductors were highlighted. Sanjeet Singh, the senior advisor to NITI Aayog, listed the points which could accelerate the state's growth on this front while also suggesting that UP policies are more lucrative than the policies of the Union government itself.

"UP government policies have a lot more to offer than what is being provided by the Union government. In another good sign, manufacturing of semiconductors is not just limited to western UP (primarily Noida and Greater Noida) but is also spreading to other parts," Singh said.

Addressing a session on ‘E Mobility, Vehicle and Future Mobility’ on the second day of the Summit, Minister for Road Transport & Highways Nitin Gadkari praised the state.

“Uttar Pradesh is the best destination for investment. Investment opportunities in the field of e-mobility are enormous due to the abundance of water, energy, human resources, and excellent connectivity,” he suggested.

He rooted for EVs to bring down pollution, stating, “electric vehicles (EVs) can change this scenario completely.” He continued, “Road work, valued at Rs 1,000 Cr, ends up consuming fuel (diesel) worth Rs 100 Cr. But if we start using EVs in the construction business, we can bring down pollution levels and also input cost”. He further noted that construction and civil work vehicles constitute Rs 50,000 Cr worth of business that could be taken over by the EV companies.

The Global Investors Summit comes at a time when the state of UP is looking for energy transition and sustainable development. The State organized the first-of-its-kind, Conference of Panchayats (CoP) in 2022, in which the highest leadership of the State gave a clarion call to over 58,000 Gram Panchayats (GPs) to enhance localized climate actions in the State. Further, the District Action Plans on Climate Change (DAPCC) and Climate Smart Village Plans are also being developed for enabling local climate actions. The UPGIS 2023 brings the most crucial component, investments, that the state needs to realize its goals and contribute to countries' net-zero emissions goals. Despite its high population, the State contributes only 9 per cent of India’s GHG emissions with a per capita GHG emission (2018) of 1.32 t CO2e against India’s 2.24 t CO2e. The state is on its way to becoming one of the most important contributors in India’s renewable efforts and the investments proposed in the sector through the summit will play a major role.

- Energetica India Magazine