The renewable energy ministry has sought a 10-fold increase in fund
outlay for the next five years. The ministry estimates that Rs 40,000 crore will
be required to ramp up its capacity to 30,000 MW by 2017. India’s present
renewable energy capacity is over 20,000 MW, of which wind farms generate
14,000 MW, with the rest being contributed by biomass, small hydro, and
urban-industrial waste. Solar energy capacity currently stands at 35 MW. An
outlay of Rs 4,000 crore was earmarked for development of renewable energy in
the 11th Plan period of 2007″12.

 

‘The progress in the renewable energy sector is happening at a fast
pace but it’s not so impressive. Roadmap for the next five years is very
crucial for its growth,’ renewable secretary GB Pradhan said at the 11th
Sustainable Energy Summit organized by India Energy Forum in New Delhi on
November 23.

 

The ministry also has plans to achieve grid parity in the solar energy
sector by 2017. This means that electricity generated by solar plants will be
sold at the same rate as conventional (coal-based) electricity.

 

‘To achieve it, we need a strong domestic manufacturing base that can
absorb technology advancement,’ said Pradhan. The capacity of grid-connected
solar power has increased from 2 MW in 2009 to 35 MW in 2011. By the end of the
11th Plan, the ministry hopes it will reach 300 MW.

 

The government is also encouraging solar power with its Jawaharlal
Nehru National Solar Mission, which aims to tap solar power in India, estimated
to be around 5,000 trillion kWh per year energy. Prime Minister Dr Manmohan
Singh’s statement during the formal launch of the mission in January 2010 had reiterated
that the importance of the mission was not limited to providing large-scale
grid-connected power. To quote from the official note: ‘It has the potential to
provide significant multipliers in our efforts for transformation of India’s
rural economy. The rapid spread of solar lighting systems, solar water pumps,
and other solar power-based rural applications can change the face of India’s
rural economy.’

 

The Solar Mission’s targets include: (a) ramping up capacity of
grid-connected solar power generation to 1,000 MW by 2013; (b) creating an
enabling policy framework for the deployment of 20,000 MW of solar power by
2022; (c) promoting programmes for off-grid applications, reaching 1,000 MW by
2017 and 2,000 MW by 2022; (d) achieving 15 million sq. metres solar thermal
collector area by 2017 and 20 million by 2022; and (e) deploying 20 million
solar lighting systems for rural areas by 2022.

 

The Planning Commission in a recent presentation on its approach to the
12th Five-Year Plan has projected that commercial energy demand will increase
at seven per cent per annum for achieving nine per cent GDP growth. This will
require proactive response spanning the regulatory structure as well as sector-specific
policies. It has suggested that fillip be given to the nuclear power programme,
the Solar Mission, and wind power development, including offshore wind power.