BMI View: The sizeable rewards on offer in India's rapidly expanding renewables industry have attracted significant investor interest and strengthened the renewables project pipeline, particularly in the solar segment. Risks remain pertinent and widespread - including land acquisition issues, financing availability, bottlenecks in the T&D network and a challenging business environment - but government efforts to mitigate these risks are beginning to bear fruit, albeit slowly.
India has rapidly emerged as a key investment destination for renewable energy developers, resulting in a strengthening renewables project pipeline and surging installation rates across the country. Although China is the clear renewables outperformer in Asia, given the sheer size of the industry, India will firmly remain in second spot over the coming decade, with non-hydro renewables capacity totalling just over 78GW by 2024.
Key Trends And Developments
The Ministry of New Renewable Energy recently scaled up the country's renewable energy targets for 2022. The government now hopes to install 175 gigawatts (GW) of capacity by 2022 (up from an original 33.8GW), consisting of 100GW of solar power, 60GW of wind, 10GW of biomass and 500 megawatt (MW) of small-scale hydropower.
In July 2015, Sarus Solar, a joint venture (JV) comprising Canadian firms Canadian Solar, Guycan Solar and Mackie Research Capital Corp, plans to invest INR65bn (USD1.02bn) building a 500MW solar farm in Thane district, Maharashtra. Agarwal said Sarus will develop the second 500MW project, which has already been approved, in Jharkhand state. The JV is awaiting government approval for the Maharashtra project and is working on signing power purchase agreements with local power distribution firms.
India's Tamil Nadu state government officially signed a 25-year power purchase agreement (PPA) with local firm Adani Power for 648MW of solar capacity on July 4 2015. As part of the agreement, state-run utility...
The India Renewables Report researched at source contains BMI Research's assessment of the current renewables market in India. The report also contains historical data together with forecasts to end-2018 covering electricity generation (TWh) and electricity capacity (MW).
The renewables sectors covered in the report include Wind, Solar, Geothermal, Tidal and Wave, and Biomass (See Table of Contents for exact coverage). The report also features details on government green energy agendas and funding opportunities, as well as presenting a detailed list of key renewables projects currently being planned or undertaken in India, their capacity, the timeframe of construction and their current status.
The report discusses the various energy policies currently in force, including targets, subsidies and the relevant infrastructure developments or limitations which might impact on renewables growth, analysing the potential effects of regulatory changes in conjunction with the background macroeconomic outlook. Finally, there is a general overview of the competitive landscape in India, together with a detailed summary of the main utilities and manufacturers present and their business operations.
BMI's India Renewables Report provides industry professionals and strategists, sector analysts, investors, trade associations and regulatory bodies with unique independent forecasts and competitive intelligence on the India renewables industry.
- Benchmark BMI's independent renewables industry forecasts for India to test other views - a key input for successful budgeting and planning in the renewables market.
- Target business opportunities and risks in the India renewables sector through our reviews of latest industry trends, regulatory changes and major deals, projects and investments in the country.
BMI Industry View
Summary of BMI's key industry forecasts, views and trend analysis covering the renewables market in India, regulatory changes, major investments and projects and significant multinational and national company developments.
Industry SWOT Analysis
Analysis of the major Strengths, Weaknesses, Opportunities and Threats within the renewables sector and within the broader political, economic and business environment.
BMI Industry Forecasts
Historic data series (2010-2012) and forecasts to end-2018 for electricity generation (TWh) and electricity generating capacity (MW) for each individual renewables sector present in the country.
These in turn are broken down into:
Electricity Generation: Overall capacity (TWh), growth % change year-on-year, KWh per capita, % of Total Non-Hydropower renewables generation, % of total electricity generation.
Electricity Capacity: Overall capacity (MW), growth % change year-on-year, % of non-hydroelectric renewables capacity and % of total capacity.
These forecasts are in turn supported by explicit assumptions, in conjunction with analysis of the key risks to the main forecast.
Business Environment Rankings
BMI's Renewables Business Environment Rankings provide fully comparable Risk-Reward Rankings aimed at investors in the regional renewables market.
The rankings methodology makes sophisticated use of various industry, economic and demographic data point.