Renewable energy expansion must be supported by better grid infra, says industry
India’s clean energy story should not only be anchored around renewable capacity addition but also on revitalising grid infrastructure and maximising the utilisation of existing renewable assets, according to industry leaders speaking at CII’s Green Power conference here on Tuesday.
The flagship annual conference and expo, organised by the CII-Sohrabji Godrej Green Business Centre (CII-GBC), saw experts and industry executives discuss the policy frameworks needed to effectively power India’s renewable energy sector.
Ramesh Kymal, Chairman, Renewable Energy Council, CII–Sohrabji Godrej GBC, said that though India has seen encouraging renewable additions in recent years, with non-fossil power capacity having reached 288 GigaWatt, greater emphasis is needed on plant performance and generation efficiency.
“While it is important to focus on capacity addition, it is equally important to evaluate actual electricity generation from the installed assets to ensure maximum capacity utilisation. For instance, even a 2 per cent increase in energy output of existing solar plants will result in avoiding 3 GW of additional solar capacity requiring an investment of ₹12,000 crore,” he said.
Ravichandran Purushothaman, Chairman, CII Southern Region and President, Danfoss India, added that energy competitiveness, especially driven by renewable sources, will be central to the growth of MSMEs and manufacturing in India.
Meanwhile, on the demand side, Purushothaman urged policymakers to consider a dynamic tariff structure to better utilise solar power during the daytime and manage load during peak evening hours, which can lead to better utilisation of renewable assets.
“A 40 per cent discount for the industry during daytime and a 40 per cent premium during evening will help us manage power during peak hours more efficiently,” he said.
The event also saw the presence of CTR Nirmal Kumar, Minister for Energy Resources & Law, Government of Tamil Nadu, who reiterated the newly elected TVK government's focus on creating a transparent ecosystem for the power sector.
He added that the government will review applications for new renewable energy projects in a calibrated manner.
“We are developing a transparent online system for renewable energy applications and will open solar and wind projects after reviewing renewable energy policies and completing load flow studies across the state. We will assess transmission capacity, remove third-party blockages, and create a transparent system for genuine investors.”
Kumar also stressed that the government plans to add 10–15 GW of renewable energy capacity in the state over the next four to five years.
Jamshyd N. Godrej, Chairman, CII–Sohrabji Godrej GBC and Chairman & Managing Director, Godrej & Boyce, in his special address, suggested that if India can build appropriate transmission infrastructure to complement renewable capacity addition, the country can expect a national grid with 80 per cent renewable power by 2050.