© Simply 3 Capital
© Simply 3 Capital
India intends to produce half the energy from renewable souces by 2030 as per PM Modi's commitment at COP26 Summit in Glasgow.
India's cumulative renewable energy capacity is 125 GW on March 31, 2023, of which solar was the largest with (66.7 GW), followed by wind (42.6 GW).In FY23, India added 12.7 GW solar, but only 2.27 GW wind.
There has been major Govt policy push which has been adding tailwinds for the Wind Energy.
The revival came after the government shifted to the 'closed bidding' method where bidders do not have to further outbid each other after initial offers are opened, as was the case with the earlier 'reverse bidding' method introduced in 2017.
The reverse bidding rule had badly hit the sector and led to just 1.6 GW per annum wind capacity addition per year in five fiscals till 2022 compared to 8.3 GW solar capacity addition. Prior to that, India was adding three-four GW wind capacity a year.
Now, new tendering norms, along with some policy initiatives, are setting the stage for eight GW bids a year from FY24 to FY30. With wind projects taking 20-24 months to get commissioned, India can expect addition of six-eight GW wind capacity every year starting FY26.
https://www.fortuneindia.com/long-reads/return-of-wind/113256
# Disclaimer- Please note that this Blog has been created with the primary goal of providing its readers with up-to-date information on the Financial Markets. Its purpose is to share knowledge about Financial products, insights from Market experts, recent developments in the financial industry, and business-related information about companies. It is important to emphasize that the Blog should not be interpreted as providing any form of advice. It does not intend to recommend or endorse the buying, selling, or trading of any financial product. The Blog is purely educational in nature.