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Journal of African Earth Sciences xxx (2015) xxxxxx

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Journal of African Earth Sciences


journal homepage: www.elsevier.com/locate/jafrearsci

Renewable energy scenario in India: Opportunities and challenges


Souvik Sen a,, Sourav Ganguly b, Ayanangshu Das b, Joyjeet Sen b, Sourav Dey b
a
Geologix Limited, Dynasty Building, Andheri Kurla Road, Andheri East, Mumbai 400059, Maharashtra, India
b
Department of Geological Sciences, Jadavpur University, Kolkata 700032, West Bengal, India

a r t i c l e i n f o a b s t r a c t

Article history: Majority of the power generation in India is carried out by conventional energy sources, coal and fossil
Received 2 March 2015 fuels being the primary ones, which contribute heavily to greenhouse gas emission and global warming.
Received in revised form 29 May 2015 The Indian power sector is witnessing a revolution as excitement grips the nation about harnessing elec-
Accepted 2 June 2015
tricity from various renewable energy sources. Electricity generation from renewable sources is increas-
Available online xxxx
ingly recognized to play an important role for the achievement of a variety of primary and secondary
energy policy goals, such as improved diversity and security of energy supply, reduction of local pollutant
Keywords:
and global greenhouse gas emissions, regional and rural development, and exploitation of opportunities
Energy security
Renewable energy
for fostering social cohesion, value addition and employment generation at the local and regional level.
Solar This focuses the solution of the energy crisis on judicious utilization of abundant the renewable energy
Wind resources, such as biomass, solar, wind, geothermal and ocean tidal energy. This paper reviews the
renewable energy scenario of India as well as extrapolates the future developments keeping in view
the consumption, production and supply of power.
Research, development, production and demonstration have been carried out enthusiastically in India
to nd a feasible solution to the perennial problem of power shortage for the past three decades. India has
obtained application of a variety of renewable energy technologies for use in different sectors too. There
are ample opportunities with favorable geology and geography with huge customer base and widening
gap between demand and supply. Technological advancement, suitable regulatory policies, tax rebates,
efciency improvement in consequence to R&D efforts are the few pathways to energy and environment
conservation and it will ensure that these large, clean resource bases are exploited as quickly and cost
effectively as possible. This paper gives an overview of the potential renewable energy resources in
Indian context while evaluating the present status, the energy demand of the country and forecast con-
sumption and production, with the objective to evaluate and assess whether India can sustain its growth
and its society with renewable resources.
2015 Elsevier Ltd. All rights reserved.

1. Introduction the third-largest by purchasing power parity (PPP) behind China


and United States, as per International Monetary Fund World
Energy has come to be known as a strategic commodity and Economic Outlook (IMF-WEO), April 2015. As per the real GDP
any uncertainty about its supply can threaten the functioning of growth (%change) India ranks at 9. According to IMF-WEO Indian
the economy, particularly in developing economies. Achieving economy has enjoyed a real GDP growth of to 7.5% in 20142015
energy security in this strategic sense is of fundamental impor- as compared with 7.2% in the last.
tance not only to Indias economic growth but also for the human Most of the commercial energy demand in India is met largely
development objectives that aim at alleviation of poverty, unem- by imported fossil fuels. In 2013, India was the 4th biggest con-
ployment and meeting the Millennium Development Goals sumer and net importer of crude and petroleum products in the
(MDGs). The Indian economy has experienced unprecedented eco- world (Barpatragohain, 2015). As the country is essentially depen-
nomic growth over the last decade. The economy of India is the dent on energy import, any shortfall due to unforeseen geopolitical
seventh-largest in the world by nominal GDP (behind United situation may cause acute energy scarcities which will consecu-
States, China, Japan, Germany, United Kingdom and France) and tively impede the industrial growth and economic progress.
In order to achieve energy independence, the dependency on
imported oil has to be reduced by developing alternate energy
Corresponding author.
sources. The average per capita consumption of energy in India is
E-mail address: souvikseniitb@gmail.com (S. Sen).

http://dx.doi.org/10.1016/j.jafrearsci.2015.06.002
1464-343X/ 2015 Elsevier Ltd. All rights reserved.

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
2 S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx

still much lower than that of developed countries. However, the analysis on the data collected from these 700 plus wind monitoring
same is expected to rise sharply due to high economic growth stations, it has been found that 237 stations have economically
and scope for rapid industrialization. The sustainable renewable preferable wind power potential greater than 200 W/sq m.
energy can be a vital link in industrialization and development of In India, winds are inuenced by the strong south-west summer
nation. In the near-term, total fossil energy demand will likely monsoon, which starts in MayJune, the weaker north-east winter
increase even faster because of steady industrial and economic monsoon, which starts in October and during the period March to
growth. Apart from augmenting the energy supply, renewable August, the winds get stronger over the whole Indian peninsula
resources will help India in mitigating the climate change. The except the eastern coast (Hossain, 2011). Wind speeds during
competitiveness of alternate energy source is further enhanced November to March are comparatively weak, though higher winds
due to rise in oil price and the added yields from carbon emission are available in the Tamil Nadu coastline (Hossain, 2011). Wind
reduction credits under clean development management. The turbines are mounted on tower to capture the most energy with
alternate energy technologies will create of sustainable energy less turbulent wind. Wind turbine converts kinetic energy from
sources for independence from politically sensitive fossil fuel the wind into electrical power. The combination of lift force (which
imports and also reduce hazardous greenhouse gas emissions. pulls the blades toward it) and drag force (which acts against front
The uctuation of oil price due to increased geopolitical turmoil side of blades) causes the rotor to spin like a propeller and spins
demands a transparent integrated energy policy for accelerated the generator to make electricity. Wind turbines can be used as
growth of domestic energy resources. stand-alone applications, or connected to a utility power grid or
even combined with a hybrid system. Wind farms, the arrays of
large turbines are becoming signicant source of renewable energy
2. Current scenario: technology and economics
as part of a strategy to reduce dependency on fossil fuels.
The economics of wind energy is more encouraging than many
India has seen an annual growth rate of about 22% for renew-
other alternate energy sources. Unlike solar, the wind energy is
able energy in the last decade. The production from
available continuously and cost of power generation is cheaper at
non-conventional sources in India during 20132014 is about
site. The wind power has emerged as a highly commercially viable
53.22 billion units and the major contributors are wind and solar
and competitive energy source due to increased R&D activities and
with 31.26 billion units and 3.35 billion units respectively
intrinsic strengths like non-polluting and sustainability. The gener-
(Barpatragohain, 2015). Alternate energy also payback to invest-
ation cost of wind energy is mainly determined by the parameters
ment in the form of carbon credit for clean development mecha-
like investment cost (production, transportation and erection cost),
nism. Wind and solar power do not produce waste and so no
land-cost, operation and maintenance cost, average wind speed,
investment for waste management is needed during the lifecycle
and hub height and nancial parameters like interest rate. (Lu
in such power facilities. Other potential resources are hydropower,
et al., 2009). With new technology innovation and economies of
tidal energy, geothermal energy and biomass/bio-waste.
scale production, the wind turbines (which inuence the major
investment cost) are becoming cheaper and more powerful. Thus,
3. Wind energy the cost of wind power generation per kW h shows a decreasing
trend with time.
Wind energy is a clean alternative energy source as compared
to conventional fuel and has the advantage of being harnessed in
rural and remote areas. In order to tap the potential of wind energy
sources, the scientic wind mapping has been done extensively. 4. Solar energy
Presently, India has an installed power generation capacity of a lit-
tle over 207.8 GW, of which renewable resources account for about Theoretically, solar might seem an ideal energy source, as it is
25 GW and wind makes up a majority of this installed capacity free and virtually limitless. The solar radiation reaching the earths
(Barpatragohain, 2015; MNRE, 2009). There is huge activity in surface in one year provides more than 10,000 times the worlds
wind power, pan-India with the installed capacity increasing to yearly energy needs. Furthermore, harnessing just one-quarter of
10,000 MW. India today has the fth largest installed capacity of the solar energy that falls on the worlds paved areas could
wind power in the world with 11087 MW installed capacity and meet all current global energy needs comfortably. India is densely
potential for on-shore capabilities of 65,000 MW. High quality populated and has high solar insolation, an ideal combination for
wind energy sites, at 80 m hub-height with a minimum capacity using solar power. Because of its location between the Tropic of
factor of 25%, have a potential between 253 GW (no farmland Cancer and the Equator, India has an average annual temperature
included) and 306 GW (all farmland included). However the plant ranging from 25 C to 27.5 C. Therefore India has huge solar
load factor (PLF) in wind power generation is very low, often in the potential (Khanna et al., 2008). Driven by an increasing demand
single digits (Hossain, 2011). for electricity and widening gap between demand and supply,
Ministry of New and Renewable Resources (MNRE) has declared India has targeted 20 GW of Solar Power by 2022. With about
in its ofcial website that under National Wind Resource 300 clear, sunny days in a year, Indias theoretical solar power
Assessment programme, Ministry through National Institute of reception, on only its land area is about 5000 PW h/year or about
Wind Energy, Chennai (erstwhile Centre for Wind Energy 600,000 GW (Sharma, 2011). The daily average solar energy inci-
Technology (C-WET)) and State Nodal Agencies had installed and dent over India varies 47 kW h/m2 with about 15002000 sun-
monitored 794 dedicated Wind Monitoring Stations (WMS) of shine hours per year (depending upon location), which is far
height ranging from 20 m to 120 m (20 m, 25 m, 50 m, 80 m, more than current total energy consumption. India has an expand-
100 m, and 120 m) throughout the country as on 31.12.2014 ing solar energy sector: 9 solar cell manufactures, 22 PV module
(MNRE Website www.mnre.gov.in). Initially the wind monitoring manufactures, and 50 PV systems manufacturers. India has been
was carried out only in known windy areas. Now it is extended to ranked 7th worldwide for solar photovoltaic cell production and
new/uncovered areas which are not explored in earlier projects to secure 9th rank in solar thermal power generation (Parikh and
complete the Indian Wind resource mapping. Further hundreds of Ghosh, 2009). This capacity is growing rapidly due to the entry of
private winds monitoring stations are also operational in the coun- various private players in manufacturing of solar energy
try. In its ofcial website, MNRE has declared that based on the equipment.

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx 3

Solar power systems can only use direct beam radiation and declining trend of solar energy cost due to innovation of
need to be positioned in regions with high direct solar radiation. thin-lm technology, mass production of solar panels and
The feasibility solar energy system at any location depends on improved conversion efciencies, automatic trackers for panel ori-
meteorological data on sunlight conditions for that region. It also entation will make it on par with conventional energy. Also, utility
depends on the summer highs & winter lows and variable local rebates and government tax incentives, consideration of cost for
weather conditions. Solar thermal technology use solar energy to carbon emissions will formulate a level playing eld for solar
generate heat energy and is used in residential and manufacturing energy.
applications. A basic system consists of a solar thermal collectors
and circulation uid and pump. Whereas, in solar PV system, typ-
ical silicon based solar photovoltaic cells are grouped together into 5. Small hydropower
a solar module which converts the sunlight into electricity directly
(Khanna et al., 2008). Technological development has opened up a Energy from small hydro is the oldest. It is most reliable of all
huge new market for solar power as vast numbers of people in renewable energy sources. The development of small scale
remote areas dont have access to grid electricity. In reality, people hydropower in India started almost in the pace with the worlds
have to pay more for lighting due to inefcient kerosene lamps. rst hydroelectric installation in 1882 at Appleton USA (Dhillon
Although solar power usually costs more than electricity from con- and Sastry, 1992). The 130 KW installations in Sidrapong
ventional power plants, but it makes economic sense as the cost of (Darjeeling) in the year 1897 was the rst installation in India.
lighting is half in comparison to kerosene. Also, the declining cost The other installations were Shivasamundram at Mysore
of LED-based lighting, storage batteries, and solar panels have (2000 kW), and Bhoorisingh in Chamba (40 kW) in 1902, Galogi
made it possible for millions of households to switch from crude at Mussoorie (3000 kW) in 1907, Jubbal (50 kW) in 1911 and
kerosene lamps to cleaner and safer electric lighting. A low cost Chhaba (1750 kW) at Shimla in 1913 (Palit, 2003). These plants
and lightweight polymer solar cell was invented to substitute the were used primarily for lighting in important towns and are still
costly silicon made PV cells, but the conversion efciency of poly- working.
mer cell was less than the silicon cells (McKinsey, 2008). Recently, Ministry of New and Renewable Energy (MNRE), 2009 has been
another innovative polymer solar cell developed by researchers at vested with the responsibility of developing Small Hydro Power
the University of California which has higher energy conversion (SHP) projects up to 25 MW station capacities. The estimated
ratio and is compatible with large-area printing techniques. A potential for power generation in the country from such plants is
modied process for printing polymer solar cells could further about 20,000 MW (MNRE ofcial website). Most of the potential
reduce the cost of making the plastic photovoltaic. Large-scale is in Himalayan States as river-based projects and in other States
solar installations presently use either central inverter or a on irrigation canals. The SHP programme is now essentially private
sequence of inverters for power conversion. The system output is investment driven. Projects are normally economically viable and
diminished if any panel gets damaged or shaded from the sun. private sector is showing lot of interest in investing in SHP projects.
M/s Array Power, California has invented a new Sequence The viability of these projects improves with increase in the project
Inverter technology, designed for commercial-scale solar installa- capacity. The Ministrys aim is that at least 50% of the potential in
tions that can be integrated during module production the country is harnessed in the next 10 years. It has been recog-
(Barpatragohain, 2015). These inverters reduce the number of crit- nized that small hydropower projects can play a critical role in
ical components, decrease the productions costs and increase in improving the overall energy scenario of the country and in partic-
overall reliability. A new technology for converting scraped car ular for remote and inaccessible areas (Kumar, 2008). The Ministry
batteries which are major cause of lead pollution into solar cells is encouraging development of small hydro projects both in the
(Perovskite compound) has been developed with efciency compa- public as well as private sector. Equal attention is being paid to
rable to conventional solar cells. The initial demonstrations have grid-interactive and decentralized projects. Hydro power projects
been conducted at MIT, USA. The recycle production of such solar are generally categorized in two segments i.e. small and large
cells from junk batteries will not only benet in increase of renew- hydro. In India, hydro projects up to 25 MW station capacities have
able energy, but also to reduce toxic stockpiles of lead causing been categorized as Small Hydro Power (SHP) projects. While
environmental hazard. Researchers in Michigan State University Ministry of Power, Government of India is responsible for large
have developed new transparent solar panels which exploit the hydro projects, the mandate for the subject small hydro power
techniques of absorbing specic non-visible wavelengths that can (up to 25 MW) is given to Ministry of New and Renewable
be extensively used from buildings to cell phones or on any object Energy (MNRE), 2009. Small hydro power projects are further clas-
with a clear surface. sied as Micro hydro up to 100 kW plant capacities, Mini hydro
From economic point of view, the tapping of solar energy is still from 101 kW to 2000 kW and Small hydro up to 25,000 kW plant
considered as expensive due to high initial investments, difculties capacities. The Ministrys aim is that the SHP installed capacity
to integrate with grid due to intermittent nature, storage problem, should be about 7000 MW by the end of 12th Plan. The focus of
conversion efciency, component price sensitivity, limitations in the SHP programme is to lower the cost of equipment, increase
power evacuation and transmission and lack of public awareness, its reliability and setup projects in areas which give the maximum
etc. Solar power also suffers in those areas which remain often advantage in terms of capacity utilization. An estimated potential
cloudy and sunlight is available only for a small part of the year. of about 20,000 MW of small hydro power projects exists in
Besides, solar power installations require large area. Gujarat came India. Ministry of New and Renewable Energy (MNRE), 2009 has
up with an innovative way to put PV arrays up on canals and created a database of potential sites of small hydro and 6474
waterways to reduce space (Sharma, 2011). The solar power gener- potential sites with an aggregate capacity of 19,749.44 MW for
ation system has intrinsic advantages like free & abundant, inex- projects up to 25 MW capacity have been identied (MNRE ofcial
haustible and free from geopolitical risks. As the international website). The Administrative Approval for the year 20142015 and
consensus on climatic change has been growing toward a clean remaining period of 12th Plan for Small Hydro Power Programme
energy system, the solar power turns out to be a major choice as (up to 25 MW Capacity) has already been circulated vide letter
an affordable and feasible global energy source in the sun belts. No. 14(03)2014-SHP dated 2nd July 2014 (MNRE ofcial website).
Although, the cost of solar energy is signicantly higher in compar- Under the SHP Programme Central Financial Assistance is provided
ison to conventional fuels used for generating electricity, the for:

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
4 S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx

(A) Resource Assessment and Support for Identication of new Tidal power has traditionally suffered from relatively high cost
sites. and limited availability of sites with sufciently high tidal ranges
(B) Setting up new SHP Projects in the private/co- or ow velocities, thus restricting its total availability (Ravindran
operative/Joint sector, etc. and Raju, 1997). However, many recent technological develop-
(C) Setting up new SHP Projects in the Government sector. ments and improvements, both in design (e.g. dynamic tidal
(D) Renovation and Modernization of existing SHP projects in power, tidal lagoons) and turbine technology (e.g. new axial tur-
the Government sector. bines, triple-helix turbines cross ow turbines), indicate that the
(E) Development/upgradation of Water Mills (mechanical/elec- total availability of tidal power may be much higher than previ-
trical output) and setting up Micro Hydel Projects (up to ously assumed and that economic and environmental costs may
100 KW capacity). be brought down to competitive levels. There is signicant room
(F) Research and development. for innovation and more routine engineering development in
energy harvesting and conversion devices as well as in the entire
Hydroelectricity enjoys several advantages over most other infrastructure required to support the construction, installation,
sources of electrical power. These include a high level of reliability, maintenance and decommissioning of these systems.
proven technology, high efciency, very low operating and mainte-
nance costs, and the ability to easily adjust to load changes. Because
7. Geothermal energy
many hydropower plants are located in conjunction with reservoirs,
hydropower projects often provide water, ood control, and recre-
A number of geothermal power plants, which generate more than
ation benets. In addition, hydropower does not produce waste
10,000 MW power are operational in 24 countries of the world.
products that contribute to air quality problems, acid rain, and
Besides, geothermal energy is being used directly for heating in at
greenhouse gases. Disadvantages of hydroelectricity include high
least 78 countries (Axelsson et al., 2005). The largest producer of this
initial costs of facilities; dependence on precipitation (no control
energy is USA generating about 3086 MW of electricity (Monastero,
over amount of water available); changes in stream regimens (can
2002). India has huge potential to become a leading contributor in
affect sh, plants, and wildlife by changing stream levels, ow pat-
generating geothermal power. But, the power generation through
terns, and temperature); inundation of land and wildlife habitat
geothermal resources is still in nascent stages in India. 340 geother-
(creation of reservoir); and displacement of people living in the
mal hot springs have been identied in India. Most of them are in the
reservoir area.
low surface temperature range from 37 C to 90 C which is suitable
for direct heat applications (Parikh and Ghosh, 2009). These springs
are grouped into seven geothermal provinces Himalayan (Puga,
6. Tidal energy
Chhumathang), Sahara Valley, and Cambay Basin,
Son-Narmada-Tapi lineament belt, West Coast, Godavari basin and
India has a great potential for uncapping this huge renewable
Mahanadi basin. Some of the prominent geothermal resources
and sustainable resource for power generation. India has a long
include Puga Valley and Chhumathang in Jammu and Kashmir,
coastline of about 7500 km and about 336 islands in Bay of
Manikaran in Himachal Pradesh, Jalgaon in Maharashtra and
Bengal and Arabian Sea with the estuaries and gulfs where tides
Tapovan in Uttarakhand. A new location of geothermal power
are strong enough to move turbines for electrical power genera-
energy has also been found in Tattapani in Chhattisgarh.
tion. The Gulf of Cambay and the Gulf of Kutch in Gujarat on the
For harnessing Geothermal energy in the country the Ministry
west coast have the maximum tidal range of 11 m and 8 m with
of New & Renewable Energy (MNRE) has been supporting R&D
average tidal range of 6.77 m and 5.23 m respectively
on exploration activities and Resource Assessment during last
(Barpatragohain, 2015; Ravindran and Raju, 1997). The Ganges
25 years. This includes formation of expert groups, working group,
Delta in the Sundarbans is approximately 5 m with an average tidal
core group and committees in addition to providing nancial sup-
range of 2.97 m. The identied economic power potential is about
port for such projects and for resource assessment. MNRE is target-
of 8000 MW with nearly 7000 MW in the Gulf of Cambay,
ing for deployment of Geo-thermal capacity of 1000 MW in the
1200 MW in the Gulf of Kutch in Gujarat and about 100 MW in
initial phase till 2022. Resource Assessment is being planned in
the Gangetic delta in the Sunderbans region of West Bengal.
20162017 for public domain.
The total available potential of wave energy in India is esti-
But yet geothermal power projects has not been exploited at
mated to be about 40,000 MW these are preliminary estimates.
mass scale, owing to a variety of reasons, the chief being the avail-
This energy is however less intensive than what is available in
ability of plentiful coal at cheap costs. If harnessed incorrectly,
more northern and southern latitudes. In 2000 NIOT Goa, launched
geothermal energy can sometime produce pollutants resulting in
a programme to conduct study on technologies for producing high
environmental hazards. Deep drilling is another issue. However,
quality clean drinking water and energy from the ocean. The objec-
with technological development, better understanding of reservoir
tive was to generate 23 lakh litres per day freshwater using the
characteristics, increasing environmental problems and widening
Low Temperature Thermal Desalination technology by 1 MW
gap between energy demand and supply India will need to start
OTEC Power Plant. But it was dropped due to difculties in instal-
depending on clean and eco-friendly energy sources in future;
lations. In 2010 Kalpasar Tidal Power Project at The Gulf of
one of which could be geothermal.
Khambhat was identied as a promising site for tidal power gener-
ation by UNDP Expert (MNRE ofcial website). In Jan 2011, the
state of Gujarat announced plans to install Asias rst 8. Biomass and biogas energy
commercial-scale tidal current power plant; the state government
approved the construction of a 50 MW project in the Gulf of Kutch. India is predominantly an agricultural economy, having huge
None at the moment, but Indias Ministry of New and Renewable quantity of biomass available in the form of husk, straw, jute, cot-
Energy (MNRE), 2009 said in Feb 2011 that it may provide nancial ton, shells of coconuts wild bushes, etc. Biomass is produced in
incentives for as much as 50% of the cost for projects seeking to nature through photosynthesis achieved by solar energy conver-
demonstrate tidal power. In 2014 Atlantis Energy proposed to sion. Biomass fuels used in India account for about one third of
install and develop 50200 MW Tidal stream based power plant the total fuel used in the country, being the most important fuel
at Gulf of Chambey. used in over 90% of the rural households and about 15% of the

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx 5

urban households. Despite advancements in biomass energy tech- decentralized solar applications scheme, the Ministry provides
nologies, most bioenergy consumption in India still remains con- 30% capital subsidy for installation of solar water heaters in general
ned to traditional domestic uses. The modern technologies offer category States and 60% capital subsidy in special category states
possibilities to convert biomass into synthetic gaseous or liquid (North Eastern States, Sikkim, Jammu & Kashmir, Himachal
fuels (like ethanol and methanol) and electricity. Pradesh, Uttarakhand, Lakshadweep and Andaman and Nicobar
An estimated production of 350 million tons of agricultural Islands). For installation of solar photovoltaic lighting systems,
waste every year, biomass is capable of supplementing coal to the 30% capital subsidy (Max Rs.135/- per watt peak) is granted
tune of about 200 million tons producing of power. The large quan- depending upon capacity and conguration. Government has also
tities of cattle dung can be used in bio energy technologies viz., bio- approved 48 cities to develop as of Solar City for reduction of
gas, gasier, biomass combustion, cogeneration, etc., to produce minimum 10% of projected demand in conventional energy within
energy thermal or electrical energy. Biomass energy co-generation ve years by exploiting additional renewable energy sources and
program is being implemented with the main objective of promot- energy efciency measures (Barpatragohain, 2015).
ing technologies for optimum use of biomass resources of India. The schemes under RVE program for cost effective solar power
The biomass power generation potential in India is estimated at lighting solutions for rural population have signicant impact on
30,000 MW. It results in a saving of about Rs. 20,000 crores every kerosene subsidy bill and lighting up about 47% of the country pop-
year. Uttar Pradesh, Punjab, Karnataka, Bihar, Gujarat, Tamil Nadu, ulation will depend on such fund availability. Under the off-grid and
Andhra Pradesh are the states with very high biomass/bioenergy decentralized solar applications scheme, MNRE provides 30% capital
potential. Land supply, development of cheap and reliable combus- subsidy for installation of solar power plants and 90% for govern-
tion techniques, enhanced biomass productivity; economic opera- ment organizations of special category states. The government has
tions of plantations and logistics infrastructure are critical areas launched a scheme to encourage installation of solar water heaters
which shall determine future of biomass in India. by setting targets in phased manner (Barpatragohain, 2015). The
phase-I of the Mission has been completed and achievement is
100%. The cumulative target for phase-II (20132017) and
9. Government endeavor and achievement phase-III (20172022) are set as 15 Million sq m and
20 Million sq m respectively. The government has proposed a pro-
The government has taken several measures to spread aware- gram for installation of one lakh solar pumps for irrigation and
ness for solar and wind energy systems. These include publication drinking water purposes across the country. A total number of
of book, magazine, organizing workshop and seminar, etc. Global 11,626 solar pumps have already been installed in the country till
Wind Day has been celebrating since, 2007 to create awareness 31/03/2014 and a total of 14,788.45 lakh rupees have been sanc-
and achievements in wind energy sectors. Ministry of New and tioned for solar pumps under Off grid and Decentralized Solar
Renewable Energy (MNRE), 2009 is the rst ministry of its kind, Applications scheme in 12 states (Barpatragohain, 2015; MNRE,
completely dedicated toward renewable energy. MNRE is imple- 2009). The government is encouraging installation of solar street
menting Remote Village Electrication (RVE) Program to provide lights under off-grid and decentralized solar applications scheme
nancial assistance using renewable energy sources including solar with 30% capital subsidy. The Ministry provides 90% capital subsidy
energy in remote areas villages where electricity grid extension is for government organizations for installation of solar street lights in
not found feasible by the state governments (MNRE, 2009). The special category states. A total of 274,679 solar street-lights have
planned install capacity during 12th plan period was initially xed been installed in various locations of the country. Grid connected
at 18,500 MW. However, the new government has decided for solar power plants of 2596 MW aggregate capacity has been com-
capacity addition with ambitious wind energy generation of missioned during the last three years across the country
10,000 MW every year to reduce dependence on imported fuels (Barpatragohain, 2015). The capacity of plants commissioned under
(Barpatragohain, 2015). In view of that, MNRE, manufacturers of central schemes and states initiatives is 896 MW in 20112012,
wind turbine (IWTMA) and other stakeholders will jointly study 754 MW in 20122013 and 946 MW in 20132014. A goal for
the grid availability in six states for additional installation of wind exploitation of grid connected solar power capacity of 20,000 MW
power annually. The existing manufacturing capacity of wind tur- by 2022 in three phases has been set under the National Solar
bines in India is 9500 MW with provision of further expansion Mission (NSM) with capacities of 1000 MW in phase-I (till 2013),
(Barpatragohain, 2015). Also, India can attract more investments 9000 MW in phase-II (20132017), and 10,000 MW in phase-III
in wind sector by resolving issues like power evacuation and pur- (20172022) (Barpatragohain, 2015). As per MNRE, an total capacity
chase obligations with the state utilities. C-WET has initiated a of 1686 MW of grid connected solar power plants was commis-
pilot project for off-shore wind power generation in collaboration sioned at the end of NSM phase-I, and a further capacity of
with ONGC and the European Union Consortium (MNRE, 2009). 1000 MW has been added during NSM phase-II till 30.06.2014.
The Ministry is providing nancial incentives for the installa- Some of the common policy and regulatory obstacles like land
tion of both off-grid and grid connected solar power plants through acquisition and resettlement, obtaining environment and forest
various schemes. These include preferential tariff, generation clearances have delayed major projects in energy sector (Palit,
based incentives, accelerated depreciation, concessional/zero 2003; McKinsey, 2008). The Ministry of Environment has eased
excise and customs duties, etc. MNRE is also implementing the Green Rules through notications in Aug, 2014, for mining,
off-grid and decentralized solar applications scheme under roads, power and irrigation projects and other industrial sectors
JNNSM for installation of solar power plants in various parts of (Barpatragohain, 2015). It has relaxed a few regulations related
the country. Ministry of Power is implementing Decentralized to environment, forest and tribal rights. Review of the powers to
Distributed Generation (DDG) scheme for both conventional and the National Green Tribunal is under consideration within the
renewable energy sources for villages where electrication of grid Ministry of Environment and the Prime Ministers Ofce.
connectivity is not feasible. Both under the DDG scheme and RVE Recently, the government has announced a few urgent measures
program, the government provides 90% subsidy of the project cost. to achieve the planned target for renewable energy production
Under the DDG scheme, the balance 10% projects cost can be (MNRE, 2009). These are as follows:
arranged by the implementing agency or from any nancial insti-
tutions and for RVE projects the balance 10% can be nanced from  Provision of Renewable Purchase Obligation (RPO) for solar
the state governments (MNRE, 2009). Under off-grid and power in the National Tariff Policy.

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
6 S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx

 Grant of subsidy on off-grid applications and Generation Based devices like solar cookers and solar lamps (Rai, 2002). The govern-
Incentive (GBI), facility for bundled power & Viability Gap ment have brought some effective regulation in terms of providing
Funding (VGF) for grid connected solar power projects. incentives and capital subsidy for small and medium size enter-
 Setting up ultra-mega solar power projects & solar parks, 1 MW prises for investment in alternative energy (Palit, 2003). There
solar parks on the banks of canals and solar power driven agri- has been no import duty for import of solar cell during the last
cultural pump sets for energizing. three years and the solar power developers are free to procure
 Concession on import duty/excise duty exemption, accelerated from foreign and indigenous sources.
depreciation and tax holiday for setting up of solar power The government is promoting wind power projects through pri-
plants. vate sector investment by providing scal incentives, concessional
import duty on certain components of wind electric generators,
excise duty exemption to manufacturers, tax holiday for 10 years
10. Public sectors initiatives
on income generated from wind power projects, etc. (MNRE,
2009). Indian Renewable Energy Development Agency (IREDA)
The public sector undertakings in India have been contributing
and other nancial institutions are arranging loans for installation
substantially in economic and social development for the nation
of windmill. Centre for Wind Energy Technology (C-WET), Chennai
since inception. A MoU between Ministry of New & Renewable
is providing technical support including wind resource assessment.
Energy and Ministry of Petroleum & Natural Gas (MoPNG) has been
The MNRE has announced a Generation Based Incentive (GBI).
signed to improve energy security along with clean energy devel-
Under GBI, 0.50/unit generated from wind power projects is pro-
opment through investments in large solar, wind and other renew-
vided to the projects with a ceiling of 1.00 Crore per MW
able energy projects by developing two special purpose vehicles
(Barpatragohain, 2015; MNRE, 2009).
(SPV) (MNRE, 2009). The SPVs will be formed with participation
As on 31.3.2014, out of the total installed generation capacity of
from PSUs under MoPNG and under MNRE which are ONGCL,
243,030 MW, the private sector has contributed 82,715 MW
IOCL, OIL, GAIL, BPCL & HPCL and EIL (Engineers India Ltd), SECI
(Barpatragohain, 2015). The Government is encouraging privatiza-
(Solar Energy Corporation of India) and IREDA (Indian Renewable
tion through combined efforts of public and private sectors for the
Energy Development Agency). In an initiative of Ministry of
development of power generation from renewable sources so as to
Heavy Industries and Public Industries, Ministry of New &
meet the increasing demand of electricity and to reduce the emis-
Renewable Energy and Ministry of Power, BHEL, SECI, Sambhar
sion of greenhouse gases (MNRE, 2009). The Electricity Act, 2003
Salts Limited, Power Grid Corporation, Sutlej Jalvidyut Nigam
promotes competition and creates a responsive environment for
Limited and Rajasthan Electronics & Instruments Limited have
investment in the electricity industry for public and private sector
signed a MoU in Jan, 2014 for setting up of a ultra-mega solar
(Palit, 2003). Arka Ignou College of Renewable Energy will setup a
power project with total capacity of 4000 MW at Sambhar in
15 KW solar power generating panel on a water body near Eco Park
Rajasthan on BOO basis (Barpatragohain, 2015). OIL had installed
in Kolkata by Nov, 2014 under central government funding
a 54 MW wind farm and another 13.6 MW in Rajasthan which
(Barpatragohain, 2015). This will be the countrys rst oating
were effectively connected to the state electricity grid. OIL has
solar power generation facility. M/S Solar Town, a Chennai-based
setup two 100 kW solar power plants in Rajasthan and Assam
startup has been providing power to residential with innovative
(Barpatragohain, 2015). Additionally, OIL has also taken up a
business model using solar energy systems. Solar Town has so far
5 MW solar power plant in Rajasthan. ONGC has setup the ONGC
covered 70 houses to install 100 KW and is targeting 1 MW by
Energy Centre (OEC) for research in alternate energy sources to
March, 2015 (Barpatragohain, 2015).
develop affordable clean energy solutions for commercialization
and is currently working on performance of solar thermal
dish-stirling engine system in the Solar Energy Centre at Gurgaon
12. International cooperation
(Barpatragohain, 2015). ONGC is to setup a solar power plant of
1 MW to cater power to its ofce and colony in Rajahmundry.
It is worth to mention that, during the 1st half of 2014,
IOCL has installed a 5 MW solar power project in Rajasthan and a
Germany has generated 31% of its electricity from renewable
21 MW wind power project in Gujarat and another 48.3 MW wind
energy sources to reduce its dependency on gas import and a huge
power project is under implementation in Andhra Pradesh. IOCL
17% of this power generation was contributed by solar and wind
has setup a JV company with NPCIL to put up a 1400 MW nuclear
sectors alone (Barpatragohain, 2015).
power plants at in Rajasthan with Pressurized Heavy Water Based
The Indian Renewable Energy Programme has received
Reactor (PHWR) technology and is expected to be completed by
increased recognition internationally in recent years. Many coun-
2017. NPCIL has signed joint venture agreement with National
tries evinced interest in cooperation with India for promotion of
Thermal Power Corporation Limited, National Aluminium
new and renewable energy. The Ministry of New and Renewable
Company Limited, to setup a JVC for nuclear power project to har-
Energy (MNRE), 2009 has been interacting with developed and
ness and develop nuclear energy for generating electricity on a
developing countries for cooperation in New and Renewable
commercial basis. ONGC is exploring investment opportunities in
Energy. The focus of the interaction for cooperation has been to
the nuclear power generation sector in association with the
explore opportunities for exchange of scientists to share experi-
NPCIL. Also, ONGC has undertaken a comprehensive program for
ence and for taking up joint research, design, development, demon-
exploration for uranium in the sedimentary basins of India.
stration and manufacture of new and renewable energy
systems/devices by R&D institutions/organizations of both coun-
11. Participation of private sector tries and thereby establishing institutional linkages between insti-
tutions of India and other countries. Bilateral/multilateral
To promote the growth of renewable energy sources, several cooperation frameworks have been established for cooperation
strategies have been formulated and implemented jointly by gov- (Barpatragohain, 2015).
ernments, local institutions, NGOs and private sectors. Although, India recognizes the importance of international collaboration
the manufacturer of solar and wind sectors are by and large dom- and interchange of technical expertise for exploitation of alternate
inated by large players, there is a signicant presence of small and energy resources. India has undertaken some effective measures
medium enterprises, particularly in manufacturing of rural energy like foreign direct investment, acquisition of modern technologies,

Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002
S. Sen et al. / Journal of African Earth Sciences xxx (2015) xxxxxx 7

promotion of import/export of products associated with alternate renewable energy technologies for use in different sectors. There
energy. Recently, Norway has supported an electrication project are ample opportunities with favorable geology and geography
for solar mini-grid plants covering 28 villages in Madhya with huge customer base and widening gap between demand
Pradesh, Uttar Pradesh, Jharkhand and Jammu & Kashmir and supply. Technological advancement, suitable regulatory poli-
(Barpatragohain, 2015). M/S First Solar, a US based PV module cies, tax rebates, efciency improvement in consequence to R&D
manufacturer has planned to install a 45 MW solar power project efforts are the few pathways to energy and environment conserva-
in Telangana through Indian subsidiary and an bout 75 million tion and it will ensure that these large, clean resource bases are
kW h of electricity from this plant would be sold to the local utility exploited as quickly and cost effectively as possible.
at 6.49/kW h for a period of 20 years (Barpatragohain, 2015).
Interaction with USA and Japan for cooperation in New and Acknowledgements
Renewable Energy is pursued under IndiaUS Energy Dialogue
and IndiaJapan Energy Dialogue, respectively. Interaction with Authors are grateful to Arka Rudra and an anonymous reviewer
EU for cooperation in New and Renewable Energy is pursued under for their detail reviews and suggestions which helped the manu-
India-EU Energy Panel. A multilateral cooperation framework script in its betterment. Authors express their sincere gratitude
called AsiaPacic Partnership on Clean Development and and thanks to YES network for giving the young geoscientists a
Climate (APPCDC) enables interaction for cooperation with USA, great platform to showcase their works. Jennifer Miranda from
China, South Korea, Japan, Canada and Australia (MNRE ofcial Journal of African Earth Sciences is thanked for all her cooperation
website). and communication with the authors.

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Please cite this article in press as: Sen, S., et al. Renewable energy scenario in India: Opportunities and challenges. J. Afr. Earth Sci. (2015), http://dx.doi.org/
10.1016/j.jafrearsci.2015.06.002

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