5. Renewable energy

Key IEA data

(2017*)

Renewable energy in TPES: 206.5 Mtoe, 23.4% of TPES (IEA total: 9.9%) Renewable electricity: 263.5 TWh, 17.2% of electricity generation (IEA total: 24.6%)

Bioenergy and renewable waste**: 186.8 Mtoe (21.2% of TPES) and 44.6 TWh (2.9% of electricity generation)

Hydro: 12.2 Mtoe (1.4% of TPES) and 141.8 TWh (9.3% of electricity generation) Wind: 4.4 Mtoe (0.5% of TPES) and 51.1 TWh (3.3% of electricity generation) Solar: 3.1 Mtoe (0.4% of TPES) and 26.0 TWh (1.7% of electricity generation)

*Bioenergy data are International Energy Agency (IEA) estimates.

**India collects data based on its fiscal year, which runs from 1 April to 31 March. To align with other countries, the IEA data on India in this report are presented as calendar years. So, the statement: “In 2017, renewable electricity was 263.5 TWh” refers to the data India has collected (and supplied to the IEA) from 1 April 2017 to

31 March 2018. IEA data do not distinguish between large and small hydropower.

Overview

The Government of India (GoI) has set ambitious renewable electricity targets for the short to medium term. By 2022 the country aims to have 175 GW of installed renewable electricity capacity. In 2018 the GoI announced an increased ambition of 227 GW renewable capacity by 2022 and 275 GW by 2027. At the United Nations’ Climate Summit in New York on 23 September 2019, the Prime Minister of India announced a new target of 450 GW of renewable electricity capacity, without specifying a date.

At the end of November 2019 grid-connected renewable electricity capacity reached 84 GW, with 32 GW coming from solar photovoltaic (PV), around 37 GW from onshore wind and the remainder from small hydro. Solar PV has been on a rapid rise in recent years.

To increase investment in renewable electricity in a cost-effective way, India has introduced national competitive auctions for wind and solar PV. Lessons have been learned following the abrupt change in the renewables support scheme from feed-in-tariffs to centrally run reverse auctions. Current auction volumes show that wind power has developed at a much slower pace than solar PV. The auctions complement other policy measures at state level, such as Renewable Purchase Obligations, and at a local level, such as further support for rooftop PV installations. To ensure continuous progress in the growth of renewables, auction design, grid connections and the financial health of the power distribution companies (DISCOMs) are critical elements for reform.

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