CB Bureau ‘Clean energy’ and ‘energy efficiency’ are
as yet elite terms for the majority of Indians. The ‘India Renewable Energy
Awareness Survey’ conducted by clean energy communications and consulting firm Mercom
Capital Group has found that only 56 per cent of Indian consumers have heard of
‘renewable energy’ or ‘clean energy’, and that only 27 per cent of consumers
have heard of ‘energy efficiency’. At the same time, of the aware lot, 71 per
cent of those surveyed are willing to pay higher rates for electricity from
renewable energy sources.
There is a common misconception in India
that consumers will not pay more for power, which has been cited as the
rationale behind state government policies that have been reluctant to raise
power prices to reflect rising costs. This has led to decreased revenue among
the power utilities, huge losses, continued power cuts, and lack of financial
resources to invest in power projects and infrastructure. The Mercom findings
debunk the existing rationale as it emerges that 65 per cent of consumers in
India are willing to pay more for uninterrupted power. The survey, which
covered more than 500 commercial, residential, and rural consumers in and
around Bangalore and Mysore, suggests that consumers are willing to pay more
for uninterrupted power and the opportunity to use renewable energy.
With policies like Jawaharlal Nehru
National Solar Mission being implemented and renewable energy gaining
importance as a future energy source in India, understanding the perceptions of
consumers about renewable energy is a vital factor for these policies to
succeed. As Raj Prabhu, managing partner of Mercom Capital Group, points out, ‘Policies
are implemented from the top down without any input or buy-in from consumers.
There seems to be a general lack of education and awareness among consumers on
these issues. How do you expect consumers to support and adopt renewable energy
if they don’t understand what it is? Energy efficiency tends to cost a fraction
compared to new supply but unless consumers are educated about these programmes,
the adoption will be slow and ineffective.’
Here is a sample of Mercom’s survey
findings: When asked about benefits of renewable energy, 81 per cent pointed
out ‘good for environment’; 54 per cent said ‘no power cuts’; and 47 per cent
said ‘lower energy bills’. Solar was the most identified form of renewable
energy with 92 per cent of the consumers having heard of it, mainly due to the
prevalence of solar water heaters. Only 49 per cent of consumers had heard of
wind energy. Eighty-two per cent of survey respondents support renewable energy
projects.