With the new government, India is seen to have a new set of priorities and one of these is an aggressive push for renewable energy. With a planned expansion of the solar power capacity sixfold by 2030, the country is looking to become a hub for clean and green energy. It is also establishing itself as a role model to other emerging economies as it seeks to make a positive impact on climate change.
The Case For Solar Energy
India currently gets about 85% of its electricity from fossil fuels (mainly coal) and about 15% from renewable energy sources (mainly hydro and solar). However, it is estimated that only about 2.5 million of India’s 60 million homes have grid-connected solar power systems. India is also significantly underserved when it comes to energy storage, with only 300 – 500 million of the most basic watt hours available. This makes the country very vulnerable to power cuts and fluctuating energy prices.
With the right policy and financial incentives, India’s solar power potential is enormous. It suffers from lack of effective leadership and under-investment, though, which raises questions about whether it can meet its ambitious targets.
What’s Next For Solar Energy In India?
In a bid to address these issues, the Indian Government is taking a “Solar first” approach – prioritizing solar power systems over other forms of renewable energy. The result is that India has opened up a new market for solar power and system integrators that specialize in energy projects and solutions.
This is great news for companies that provide equipment for solar power plants or systems that incorporate solar power. It also presents a golden opportunity for new and existing companies that wish to get involved in the booming solar power sector. And considering that the country has a rapidly growing middle class, there is plenty of scope for consumer products and services related to solar energy too.
Key Takeaways
Overall, India holds a lot of promise for the solar power industry. It has the potential to not only meet, but surpass, its already-ambitious targets for solar power capacity, but it needs the support of the industry to make this happen. Companies that provide equipment for solar power plants, system integrators that specialize in energy projects, as well as solar products and services that feed into this market will benefit greatly from this new market opportunity.
Considering that India is a large and somewhat populated country, it is important that this energy revolution does not leave the developing world behind. This is especially important given that climate change is a global issue that demands a global response.