How the Indian Government is Encouraging the Renewable Energy Sector

India too is embarking on a journey to boost its renewable energy capacity and aims to produce 500 GW by 2030. Driven by the need to meet growing energy demands and combat climate change, renewable power in India has made significant progress. As of May 2024, our installed RE capacity stood at 191 GW. In this article, we aim to explore the government initiatives that have fueled this growth.

1. National Solar Mission (NSM)

Launched in 2010, NSM was formulated to encourage the development and use of solar energy for both grid-connected and off-grid applications. The mission aims to establish India as a global leader in solar power. To boost solar energy adoption across the country, various financial incentives, subsidies, and policy support have been announced. These initiatives have been key to scaling solar cell and module manufacturing for Jindal India Renewable Energy. In fact, the country’s current solar power stands at 85 GW as of May 2024.

2. Green Hydrogen Mission

The Green Hydrogen Mission aims to reduce dependence on fossil fuel imports, lower carbon emissions, and make India a global exporter of green hydrogen and its derivatives. Green hydrogen can be harnessed to decarbonise sectors like steel, cement, and chemicals. For this, the government has allocated Rs. 19,700 crore to facilitate technology development and market leadership. It targets to produce 5 MMT of green hydrogen annually by 2030.

3. Development of Battery Energy Storage Systems

A key enabler of renewable energy generation, battery energy storage systems (BESS) allow for seamless integration of renewable energy into the grid even when natural conditions are unfavourable. The government has allocated viability gap funding for 4,000 MWh BESS and formulation of a detailed framework for pump storage projects.

As a part of Jindal India Ltd., Jindal India Renewable Energy is also committed to developing energy storage systems. In fact, we aim to become an end-to-end player in Energy Storage Systems by 2027 with a 5 GWh capacity.

4. Wind Energy Promotion

Having one of the world’s largest wind energy capacities, India is well-poised to generate sufficient wind power to meet the country’s energy needs. With benefits such as generation-based incentives (GBIs), renewable purchase obligations (RPO), and accelerated depreciation, the government of India aims to encourage wind power development in the country. Additionally, the identification of Wind Energy Zones, implementation of the Wind-Solar Hybrid Policy, and offshore wind energy development are further augmenting the country’s wind energy capacity.

5. Geothermal and Ocean Energy Development

While there are several thermal plants in India and companies like Jindal Power Ltd. play a significant role in the thermal energy mix, geothermal energy is still in its infancy. The country has identified over 300 geothermal sites, and projects are underway in areas like Puga Valley and Tattapani. When it comes to ocean energy, India is blessed with a vast coastline that gives it a substantial potential for generating ocean energy. The Gulf of Khambhat and Kutch have already been identified as potential tidal energy sites, and wave energy projects are being explored along the coasts of Kerala and Gujarat.

6. Green Energy Corridor Scheme

Launched in 2013, the Green Energy Corridor Scheme aims to build a dedicated network of transmission lines to evacuate renewable power from energy-rich states to other parts of the country. This initiative strives to seamlessly integrate solar, wind, and other green energy sources into the national grid. The government has developed a transmission plan for the integration of 500 GW of renewable energy capacity by 2030.

Key Takeaways

As the world grapples with climate change and seeks to chart a cleaner, greener energy path, renewable energy offers a sustainable alternative to fossil fuels. With policies like the National Solar Mission, Green Hydrogen Mission, Green Energy Corridor Scheme, and initiatives to develop battery energy storage systems, wind energy, and geothermal and ocean energy, the government seeks to boost renewable power in India.

Jindal India Renewable Energy is committed to driving renewable energy generation in the country with the development of solar and wind energy, hybrid renewable and energy storage systems, and solar cell and module manufacturing.