SOLAR POWER STATUS IN INDIA – ENVIRONMENT

News: An energy conundrum: On India betting big on solar power

 

What's in the news?

       At the core of India’s energy transformation is its bet on solar power.

       Based on a commitment to address the global climate crisis, India has promised to source nearly half its energy from non-fossil fuel sources by 2030 and, in the shorter term, source at least 60% of its renewable energy from solar power.

 

Key takeaways:

       However, a disclosure in Parliament by the Minister for Power, New and Renewable Energy suggests that India faces a significant headwind in this quest.

       A key central policy to source solar power is facilitating the establishment of large solar parks as the small solar power projects usually translate to higher per-unit production costs.

       In 2014, the Centre announced the ‘Solar Parks and Ultra-Mega Solar Power Projects’ policy to facilitate the creation of large parks.

       The initial plan was to set up 25 parks capable of generating at least 20,000 MW by 2019. In 2017, the Government scaled this to 61 parks with a target of 40,000 MW.

       However, as of 2022, that only a fourth of the capacity has been achieved, that is, projects worth 10,000 MW have been commissioned. Four projects have been canceled, by the Centre’s own admission, due to tardy progress.

       Challenges:

       Acquiring land with a clear title.

       Setting up the infrastructure necessary to transmit power produced at these parks to the grid.

       Environmental issues in Rajasthan and Gujarat, where projects have been halted because their transmission lines encroach upon the habitat of the critically endangered Great Indian Bustard.

 

Solar Energy in India:

       Solar power as a source of renewable energy has gained new impetus owing to the threats of climate change and depletion of fossil fuels, in this respect.

       Location of industry is dependent on many factors such as latitude, those areas lying in the tropical regions such as in India, south east Asia, parts of Africa have more insolation hence greater potential for solar power generation.

 

Reasons for India’s Solar Energy Push:

       To ensure energy security as India’s energy demands are largely fulfilled by non-renewable sources of energy.

       To ensure environmental sustainability as solar energy is clean form of energy resource.

       There is an abundance of free solar energy in almost all parts of country as India is a tropical country.

       It can help India to be self-reliant in energy sector.

       It can promote green energy in rural area which is crucial for agri-business in farms for running irrigation, green-houses, and crop and hay dryers, making agriculture risk free.

 

Potential of Solar Energy:

1. A limitless source of energy:

       Unlike conventional sources of energy like fossil fuels, solar energy is limitless.

       Solar power is inexhaustible. In an energy deficient country like India, where power generation is costly, solar energy is the best alternate means of power generation.

2. Clean source of energy:

       Solar energy is a non-polluting source of energy.

       Solar energy is environmentally friendly. When in use, it does not release CO2 and other gases which pollute the air. Hence it is very suitable for India, India being one of the most polluted countries of the world.

3. No fuel required:

       Solar energy is itself the fuel. Once installed, solar energy becomes a cheap source of sustainable energy in the long run.

4. Combats Climate Change:

       Solar power can restrict climate change as it produces no carbon emissions.

5. Small and Decentralized Electricity Source:

       Electricity can be generated using photo - voltaic cells installed on roof - tops of individual buildings.

6. Green energy in rural area:

       This is crucial for agri-business in farms for running irrigation, greenhouses, and crop and hay dryers, making agriculture risk-free.

7. Cheap and Reliable Energy Source:

       The price of solar PV panels have decreased by 60% and the cost of the solar electricity system by 50%.

8. Employment Generation:

       It provides employment opportunities such as small businesses engaged in installations, followed by solar designers, sales person and service professionals.

 

Challenges:

1. Lack of Domestic Manufacturing of Solar Parts:

       The domestic manufacturing industry of solar PV cells and modules is severely lacking in India due to the lack of infrastructure, skilled workforce and high cost of production.

2. Space Scarcity:

       One of the major solar energy challenges in India is the scarcity of land to install large-scale ground-mount solar systems, solving which scope for greater R&D and innovation could be increased tenfold in terms of installation.

3. Financing Mechanism:

       The absence of innovative financing options for installing large-scale solar PV parks is another big part of solar energy challenges in India that could offer higher sums at lower interest with longer durations.

       However, some government initiatives like National Clean Energy and Environment Fund, Green Masala Bonds, etc., have slightly resolved this issue.

4. Low Tariffs:

       Since the Indian government enforces one of the lowest solar tariffs, it makes the prospect of purchasing solar parts unsustainable for some developers which further leads to compromise in the quality of solar panels.

5. Waste Management:

       India’s solar waste has been predicted to grow by 1.8 million tonnes by 2050. Currently, India’s e-waste rules are not mandatory on solar cell manufacturers which leads to a large generation of solar waste every year.

6. Evacuation of power:

       Many regions in some states don’t have a required power grid. It is responsible for very high Aggregate Technical and Commercial losses.

       There is no set up for exclusive transmission lines for evacuating energy from renewable energy sources.

7. Environmental concerns:

       Recently a capacity in Rajasthan was stalled after it was found that 40% of the land allotted was part of a lake which would get submerged when the water level rises during monsoon.

       That could have also resulted in a major ecological issue, as that lake is the second largest breeding ground for flamingos in India.

 

Government Initiatives:

1. 'One Sun One World One Grid’ (OSOWOG) is an initiative proposed by India to set up a framework for facilitating global cooperation which aims at building a global ecosystem of interconnected renewable energy resources that can be easily shared.

2. Solar mini-grids project by the Ministry for New and Renewable Energy (MNRE) to take renewable energy to remote areas It also aims to promote universal energy access by 2025 and reduce electricity costs and tariffs.

3. National Solar Mission, a major initiative of the Government of India and State Governments to promote ecologically sustainable growth while addressing India’s energy security challenge.

4. The Indian Renewable Energy Development Agency (IREDA) is a Non-Banking Financial Institution Under the administrative control of MNRE for providing term loans for renewable energy and energy efficiency projects.

5. National Institute of Solar Energy, an autonomous institution under MNRE which is the apex body for R&D.

6. Establishment of solar parks and ultra-major solar power projects and enhancing grid connectivity infrastructure.

7. The Central Government has announced the Kisan Urja Suraksha evam Utthaan Mahabhiyan (KUSUM) scheme, which aims to increase solar electricity output in India while also providing farmers with the benefits of solar farming.

8. The International Solar Alliance was developed in 2015 as a joint effort by India and France during the United Nations Climate Change Conference of Parties' 21st session with the goal of promoting solar energy in member nations and mobilising over $1 trillion in funding for solar energy installations at a low cost.

9. The National Solar Mission's goal is to make India a global leader in solar energy by establishing the policy circumstances that will allow it to spread as swiftly as possible across the country with the aim of developing 1,00,000 MW by 2022.

10. The Ministry of New and Renewable Energy launched a rooftop solar programme and is expected to generate a total capacity of 40,000 MW by 2022.

11. The Ministry of New and Renewable Energy adopted the National Wind-Solar Hybrid Policy intended to reduce renewable power generation unpredictability and improve grid stability.

 

WAY FORWARD:

1. Use of waste lands - Based on the assumption that 3% of wasteland in each state can be used for solar power projects.

2. Promoting decentralized plants - To promote the usage of rooftop solar power and other solar appliances schemes should be introduced, based on the existing schemes for LED distributions.

3. Manufacturing - The production of flat glass and its raw materials must expand to eliminate supply constraints or future imports

4. Hybrid solar plants - Solar panels can be located in the space between the towers of wind - power plants. This type of plants are already setup in Himalayan regions this can be extended to other terrains.

5. Financing mechanisms - Ministry of finance should come up with innovative financing measures to promote these capital - intensive renewable energy projects. Financing measures such as clean energy fund, generation based incentive linked loan repayment and green bonds are some of those.

6. Infrastructure - To support growing renewable energy, the expansion of transmission infrastructure, for both intra and inter-state should be strengthened.

7. Domestic content requirement - It should be carefully assessed to ensure that domestic content requirement does not hinder the growth of solar capacity.

8. R&D - Investment in R&D programs, as well as human resource development is necessary in addition to local content requirements

9. Institutional strengthening - Strengthen the institutional structure to facilitate effective flow of central financial assistance. It is also important to strengthen institutional structure to monitor implementation of Government policies and programs.

10. Capacity building - The government also needs to ensure that India’s distribution companies have the capacity to continue to purchase renewable electricity, especially if bid prices level off or rise.