Cost and availability challenges in the renewable energy business

In 2010, the Government of India launched the ambitious Jawaharlal Nehru National Solar Mission to pivot away from fossil fuels and embrace sustainable and environmentally friendly energy sources while addressing India’s energy security challenges. Under this mission, the total installed capacity target was 20 gigawatts (GW) by 2022. Later, in 2015, the target was revised to 100 GW, with no change in the timeline. Once again, in August 2021, the government increased the target to 300 GW for 2030— in line with India’s Intended Nationally Determined Contributions (INDCs) target to achieve about 40 percent cumulative electric power installed capacity from non-fossil fuel-based energy resources.

Challenges in achieving renewable energy targets
Barriers to achieving this target include regulatory roadblocks, net metering limits, the twin burdens of basic customs duty (BCD) on imported cells and modules, issues with the Approved List of Models and Manufacturers (ALMM), unsigned power supply agreements (PSAs) and restrictions on the banking of renewable energy; an increase in GST; financing issues; delays in or rejection of open access approval grants; and the unpredictability of future open access charges.

Measures to mitigate challenges
Some short- and long-term measures that could help India get back on track to meet its solar targets include: implementing uniform and consistent regulations for
net metering and banking facilities; lifting restrictions on renewable energy banking until rooftop and open access state targets are met; stricter enforcement of the renewable purchase obligation (RPO); improving the financial health of distribution companies
(DISCOMs); and considering potential buyers.

Initiatives from SunPower Renewables
India has set aggressive but achievable future energy demand and sustainability targets, and there needs to be a systematic. A sustained effort from the government is required to reduce fossil fuel consumption while adding renewable options with energy storage in all three segments—utility-scale projects, industrial production, and captive consumer consumption. With our innovative and smart era portable solar generators, we aim to contribute to this change in the Indian energy landscape by replacing diesel generators with a cleaner, greener, and cheaper alternative. Also, this replaces lead-acid batteries with a more efficient, portable, and technically superior alternative that will increase the adoption of renewable energy in the country.

Expertise shared by Rahul Kale,Founder & CEO, Nitasha Badhwar,Co-Founder & Head of Strategy at SunPower Renewables