Renewable Energy in India

India's renewable energy (RE) sector has been making significant progress in recent years, as highlighted by a 165% growth in capacity over the last decade. Renewable energy, which comes from naturally replenishing sources like solar, wind, geothermal, and hydro power, is a key element in India's energy transition. Here's a breakdown of the current status and challenges:

Current Status of Renewable Energy in India:

• Installed Capacity: RE now represents 43.12% of India's total installed power generation capacity, ranking the country 4th globally.
• Wind Power: 46.65 GW (4th globally)
• Solar Power: 85.47 GW (5th globally)
• Other RE sources: Large hydro (46.93 GW), Biopower (10.95 GW), Small hydro (5.00 GW), Waste to Energy (0.60 GW)
• First time crossing 200 GW: India's non-fossil fuel capacity crossed 200 GW, showcasing a significant shift towards greener energy sources.
• Targets: India aims to have 500 GW of non-fossil fuel energy capacity by 2030 and plans to meet at least 50% of its energy needs from RE by then.

Challenges Facing the RE Sector:

• High Costs: Renewable energy generation remains more expensive due to the high material and installation costs, as well as the diffuse nature of RE requiring large-scale infrastructure.
• Land Acquisition: Finding land suitable for RE projects and getting the necessary clearances can be slow and complex.
• Poor DISCOM Performance: Power Distribution Companies (DISCOMs) are often bound by long-term contracts with fossil-fuel-based power providers, limiting their ability to procure renewable energy.
• Energy Storage: The intermittent nature of RE sources, such as solar and wind, creates challenges for grid stability and storage.
• Environmental Impact: Wind turbines, for instance, can pose risks to wildlife, and large amounts of water are required for hydrogen production.

Key Initiatives:

• Foreign Direct Investment (FDI): India allows 100% FDI under the automatic route for RE generation, encouraging international investment.
• PM Surya Ghar: Muft Bijli Yojana: A large-scale rooftop solar initiative aimed at one crore households with a financial outlay of ₹75,021 crore.
• Green Energy Corridor: This project facilitates the integration of renewable energy into the grid, helping to transport clean energy across the country.
• Solar Parks Scheme: Supports developers by providing ready infrastructure and necessary clearances for solar power generation.
• National Green Hydrogen Mission: Launched in 2023, this initiative targets 5 million metric tonnes of annual green hydrogen production by 2030.

The significance of renewable energy (RE) lies in its broad benefits across environmental, economic, and social dimensions, particularly as countries like India aim for sustainability and energy security. Here are key reasons why renewable energy is crucial:

1. Environmental Benefits:

• Reduces Greenhouse Gas Emissions: Unlike fossil fuels, renewable energy sources such as solar, wind, and hydropower generate little to no greenhouse gases. This helps combat climate change and global warming.
• Lowers Air Pollution: Renewable energy reduces harmful emissions, such as sulfur dioxide and nitrogen oxides, improving air quality and reducing respiratory diseases.
• Conserves Natural Resources: Unlike coal, oil, and natural gas, renewable energy is derived from inexhaustible sources, helping preserve finite fossil fuel reserves for future generations.

2. Energy Security and Independence:

• Reduces Dependence on Fossil Fuels: Countries that invest in RE reduce their reliance on imported fossil fuels, enhancing national energy security. In India’s case, this reduces its vulnerability to global energy price fluctuations.
• Decentralized Energy Production: RE technologies, such as rooftop solar panels, enable localized energy generation, reducing strain on the centralized grid and lowering transmission losses.

3. Economic Growth and Job Creation:

• Boosts Economic Development: The renewable energy sector attracts substantial investments and creates new industries, contributing to economic growth.
• Job Creation: The renewable energy sector is labor-intensive compared to fossil fuel industries. Solar and wind power projects, for instance, create jobs in manufacturing, installation, and maintenance. In India, initiatives like rooftop solar can generate numerous employment opportunities.

4. Energy Access for All:

• Brings Electricity to Remote Areas: Renewable energy, especially solar, provides off-grid solutions to rural and remote regions that are hard to connect to conventional electricity grids. This is essential for countries like India, where large populations still lack reliable access to electricity.
• Promotes Energy Equity: Renewables make clean energy more accessible to a broader population, offering cheaper and more sustainable energy sources over time.

5. Mitigates Energy Price Volatility:

• Stable Energy Prices: Unlike fossil fuel prices, which are subject to market fluctuations, renewable energy costs are more stable since they rely on free natural resources like sunlight and wind. This can lead to lower and more predictable energy costs for consumers.

6. Supports International Climate Commitments:

• Achieving Climate Goals: Increasing the share of renewable energy is crucial for countries like India to meet international climate commitments, such as the Paris Agreement. It helps in reducing carbon emissions and mitigating climate change.
• Green Hydrogen for Decarbonization: The development of green hydrogen through RE sources can aid the decarbonization of hard-to-abate sectors such as heavy industries and transportation.

7. Long-Term Sustainability:

• Future-Proof Energy System: Renewable energy is a cornerstone of building sustainable energy systems that can endure indefinitely. This ensures that future generations have access to clean and reliable energy without depleting natural resources or causing environmental harm.

To address the challenges facing India's renewable energy (RE) sector and achieve its ambitious targets, the following strategies can be implemented as a way forward:

1. Increase Energy Storage Capacity:

• Energy Storage Systems: Technologies such as pump-storage hydroelectricity and battery storage can store excess energy generated from RE sources. This stored energy can then be used during periods of low generation or peak demand.
• Benefits: These systems reduce the variability in RE generation, enhance grid stability, and enable energy shifting, ensuring consistent power supply from intermittent sources like wind and solar.

2. Centre-State Coordination:

• Land Identification: Collaboration between the central and state governments is essential for identifying exclusive land for RE projects, such as designated RE zones. Clear land policies and swift approvals can expedite project implementation.
• 'Must Run' Status: States should ensure that renewable power plants, which have 'must run' status, are prioritized in the grid under all circumstances. This helps reduce curtailment of renewable power and encourages higher utilization of RE capacity.

3. Financing Innovations:

• Streamlining Contracting: Simplifying and standardizing contracts in the RE sector can lower transaction costs and improve investor confidence. Expanding the use of green bonds can also attract investments by providing a dedicated funding mechanism for clean energy projects.
• Improving Information Availability: Transparency in project opportunities, risks, and returns can further stimulate private sector participation.

4. Upgrade Grid Technology:

• Real-Time Grid Visibility: System operators at the state, regional, and national levels should have visibility into the status of neighboring grids to coordinate power flows and ensure efficient grid management.
• Centralized RE Forecasting: Integrating RE forecasting with system operations can help manage the intermittent nature of renewable energy more effectively, improving demand-supply matching and grid stability.

5. Optimize Land Use:

• Wasteland and Rooftop Solar: Encouraging the use of wasteland, marginal land, and rooftops for solar projects can help avoid conflicts with agricultural and forest lands. This strategy ensures that renewable energy projects do not compromise the availability of productive land for other essential activities like farming