#1 cleantech news, reviews, & analysis site in the world. Subscribe today. The future is now.

Clean Power Duke Navy Solar Indiana

Published on April 29th, 2016 | by Saurabh Mahapatra


India Attracted $14 Billion In Renewable Energy Investment In 3 Years

April 29th, 2016 by  

Investment trends in India’s renewable energy sector over the last few years have proven that the market remains of the most attractive and fastest growing clean energy markets in the world.

The Minister of New & Renewable Energy, Piyush Goyal, recently told the Indian Parliament that the country attracted Rs 90,841 crore (around $14 billion) over the last 3 financial years in renewable energy investments, that is, between FY2013–14 and FY2015–16.

The minister also reported that the government provided financial incentives worth Rs 6,541 crore (around $1 billion) during the same period. This financial support includes capital cost support for setting up projects, as well as generation-based incentives for power generation.

The wind energy sector remained the most attractive one for the investors who poured in Rs 46,831 crore (around $7 billion). This was followed by the solar power sector, which received investments worth Rs 30,440 crore ($4.5 billion). Bioenergy projects received Rs 7,382 crore ($1.1 billion) of investment while small hydropower projects attracted Rs 6,187 crore ($0.92 billion).

Over the last few years, investment in the wind energy sector has increased again after the government re-introduced financial incentives such as accelerated depreciation. Annual capacity addition in the wind energy sector has been up since then, increasing to 3.3 GW in FY2015–16. However, investments are likely to fall starting next financial year when the incentives are reduced or withdrawn.

Investment in the solar power sector is expected to increase significantly over the next few years and overtake wind energy as the most attractive sector. Over the next 6 years, India plans to add over 33 GW of wind energy capacity and more than 93 GW in solar power capacity.

Tags: , , , , , ,

About the Author

A young solar enthusiast from India keeping an eye on all regulatory, policy and market updates from one of the fastest emerging solar power markets in the world.

  • I m possible

    Are we talking about only about handful few cities ? How India’s GDP can grow when Northeast cities like Agartala continues to remain economically backward ? Left ruled Agartala has become 3rd Internet gateway and with a lameduck leadership unwilling and having poor understanding of Industry and technology, Tripura and its Youth’s future have been continuously ruined leaving a record 25.2% (highest in India) unemployment.

    It has been a long wait for Tripura and its youths who have been suffering everyday from chronic unemployment and concerned folks are just happy to mint Govt salary month after month with an excuse of unemployment is throughout country or no infrastructure. At whose cost please ?

    With a record (highest in India) 25.2% of unemployment Left ruled Tripura continues to bite dust of under-development and non-performance due to state’s outdated policies of being anti development and industry without realizing world and India’s economy driven by Business and technology.

    So far it has been about Govt job, salary, subsidy – on tax payers money and mediocre plastic industry for name sake being the focus – which still fails to show hope to lakhs of educated unemployed youths!

    Urgent need is to bring high end industry and jobs at Agartala having follow up with Industry leaders and setting up required infrastructure on a war footing.

    With high speed internet and 24/7 power, Can capital Agartala look forward in 2016 to being an IT hub with high end IT jobs for 7 lakh educated unemployed youths of Trpiura ?

  • Freddy D

    Thanks for covering these huge projects in India!

  • JamesWimberley

    Does India really need the concessional finance for which it fought so hard in Paris? It certainly looks as if the markets will supply whatever India needs for renewable energy projects. The difference in interest rates is significant and worth having, but not essential. From the POV of altruistic taxpayers in rich countries, the priority for the concessional finance they underwrite should be the poorest and most isolated countries, who can only borrow in the markets at high rates, or not at all.

    • vijay p

      It is only seen to be invested. There are many underlying problems before these projects reach the people. India Imports more than 90% of the energy it needs(I am speaking about fuels). India being the home to nearly 1/6th of world population and more than 70% people are living with bad living conditions in many parameters. we can`t compare poor in the west to poor in Asia and Africa. So it is difficult for the country to have energy security, food security,etc. If the existing situations continue, poor in India increase and many face deprivations. system gets breakdown. So there needs many things to be done to prevent this.

      • Bob_Wallace

        India can solve some of these problems on its own without outside assistance.

        Those who do not have grid access for electricity currently spend money for kerosene, candles, disposable batteries and cell phone charging. What they spend over a year or two would pay for a very basic solar system which would give them superior lighting to what they now have and save them the effort of taking their phones somewhere to charge.

        Many towns and villages now use diesel for electricity generation. Solar panels are now inexpensive enough so that the fuel saved when the Sun is shining would pay for solar arrays over a modest amount of time. And, after payoff, the saved money could be used for wind and/or battery storage in order to save even more fuel spending.

        The government needs to see that money is made available to finance these systems. It need not be government money, there is available capital in India. But the government does need to see that the programs are fair and do not take advantage of people and municipalities.

        Soon battery prices should be low enough for India to start building electric motorbikes, cars and buses. These can now be built by existing companies. As each electric vehicle comes online India saves some money on importing fuel. That money can be used to further cut imported fuel use.

        India, if it does not already have one, needs a “20 year” plan to rid itself of imported fuel. Start with micro-solar, village grid solar, and electric bikes/rickshaws. Expand over time to the point at which India imports no fuel and then on to the point at which India uses no fossil fuel.

        • vijay p

          I accept that ultimately A country has work hard and efficiently on its own foot to come up. At least maximum efforts by it. But the existing situations like most the population earning daily wage of around Rs 100, that is just more than a dollar. We all Know that problem of under nourishment, hygiene, diseases which is leading to 70% of the earning spent on health. This is out of Pocket. So the priorities are not like well off countries. The growth story of India is growth of some billionaires and millionaires. But I accept that There are countries which are on worse than India.
          I emphasized on India`s population and their financial literacy. Just about 27% percent of the lakhs of village have formal financial facility within vicinity of 5kms. This is difficult for the poor to get access and also on what guarantee banks will provide the loans to these people.
          your point of having individual solar panels is well. But in real situation it is difficult for poor to get it and even financial access. In India, govt prioritizes spending on infra, others industrial investment as otherwise be punished by less foreign investment and other industrial development.
          Further your solar plan- Govt is also thinking to implement it with modification. that is developing micro solar plants with less capacity, that is with capacity in Kw to provide electricity to villages.

          • Bob_Wallace

            Vijay, there’s a micro solar movement that started in Bangladesh and had installed over 3.8 million systems as of last August and is expecting to hit 6 million by the end of 2017.

            There are now similar programs around the world, including India.


          • vijay p

            Thanks for the information as it would help me. We will see in hope for these renewable energy progress across the world which is environmentally sustainable.

Back to Top ↑