Energy Policy Watch


Energy security and access to clean energy have been at the forefront of the India’s development agenda.

India is administering market friendly power policies and regulations, pioneering power sector reforms in transmission and distribution networks, strengthening state utilities, empowering regulatory commissions and, most importantly, promoting renewable energy through integrated energy policy.

Energy reforms and policy changes in recent years have not only opened up avenues for investments in the sector, but have also resulted in private participation across its various segments.

To attract foreign investment, Government of India has allowed 100 per cent FDI in the energy sector and also amended previous norms and practices to provide a climate conducive to investment. Renewable energy has great potential to contribute to improving energy security of the country and reducing green-house gas emissions and hence investments flowing under the enabling policy regime.

With respect to renewables, the wind energy installed capacity is already over 20 GW. The National Solar Mission (NSM) with an ambition to add 20 GW of solar power by 2022, has swiftly enlarged the solar footprint in the country from nowhere to over 2 GW grid connected at present. Large, small-hydro and biomass are traditionally contributing to Indian renewable energy capacity installations.
Riding on the success of 30 GW installed RES so far (Jan, 2014), the Indian Ministry of New and Renewable Energy (MNRE) has formulated an energy roadmap to install an additional 30 GW of renewable energy capacity by 2017 (India’s 12th five year plan period) totalling an installed capacity of 55 GW of Renewable Energy.
Overall India is positioned towards realising the goal of 15 per cent of renewable power in the country’s energy mix by 2020 under the National Action Plan on Climate Change (NAPCC).

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