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Indian State Of Uttar Pradesh Expects $6 Billion Renewable Energy Investment

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The northern Indian state of Uttar Pradesh has joined a long list of states that have signed agreements with project developers to set up large-scale renewable energy projects.

According to media reports, the Uttar Pradesh government has signed agreements with a number of companies to set up renewable energy projects. Through such agreements, the state government expects a total investment of over $6 billion.

Uttar Pradesh government targets adding around 10.6 GW of solar power, 3.5 GW of biomass-based power capacity and 25 MW of small hydropower capacity by 2022. In the near future, 500 MW of solar power capacity is expected to be added by 2017.

Despite being one of the largest states in terms of power consumption, Uttar Pradesh has lagged its peers in increased renewable energy infrastructure. The state agencies have auctioned and allocated some solar power projects, but the tariffs have been noticeably higher than those seen in other states like Rajasthan, Karnataka, Andhra Pradesh, and Madhya Pradesh.

In order to speed up the expansion of renewable energy assets in the states industrial association ASSOCHAM has given some suggestions to the state government. The association wants the introduction of net-metering in the state to encourage implementation of rooftop solar power systems. It also recommends that the state regulations on Renewable Purchase Obligation be restructured so as to encourage utilities to increase the procurement of power from renewable energy projects. Finally, the association has suggested that clear regulations on forecasting of power generation from renewable energy projects be implemented.

Being one of the largest states, both in terms of size and energy consumption, Uttar Pradesh is expected to make significant contributions to the huge renewable energy targets set by the central government.

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An avid follower of latest developments in the Indian renewable energy sector.

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