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2008-06-18

Sun rising in Indian power sector!

With the power bill hitting the roof, Indian homes are looking for alternative energy sources in a big way. This is evident from the increase in sale of Solar photovoltaics (PV), which convert sunlight into electrical power, in the country and across the world.Soaring oil prices have also added to the race for solar power now. If you visit Kerala nowadays, you can see every newly-built house in the state has a solar panel, which is used to heat water and for other purposes. This was not the case in Kerala a few years ago.


Come to Gujarat, the state is using solar energy in a big way. Industries are also depending on solar energy now so that they can earn carbon credits.


In a recent solar industry trade fair in Munich, there was growing confidence that the “grid parity” — whereby electricity from the sun can be produced as cheaply as it can be bought from the grid — is now just a few years away.


Solar photovoltaics (PV) have long been dismissed as too expensive to make a meaningful contribution to the battle against climate change.


But costs are falling as PV production booms, and with electricity prices rising rapidly in line with soaring oil and gas prices, demand for solar panels is increasing sharply.


Germany, the world leader in PV thanks to its “feed-in tariff” support, installed 1.1 gigawatts of capacity last year — the equivalent of a large power station. It now has nearly half a million houses fitted with PV panels. The feed-in tariff pays people with solar panels above-market rates for selling power back to the grid.


In India, the ministry of new and renewable energy has launched new schemes to encourage large scale use of solar energy in the country during the 11th Plan period.


The new schemes include ‘Development of Solar Cities’ and ‘Demonstration Programme on MW size Grid Solar Power Generation’


Around Rs 600 crore has been tentatively allocated for research, design and development in the energy sector for the 11th Plan. During the last Five Year Plan period, Rs 72.65 crore was spent for the same activities. The ministry has financially sported about 600 RD&D Projects particularly in Solar Energy Sector.


New schemes have been launched by the ministry in addition to implementation of ongoing schemes to encourage large-scale use of solar energy in the country during the 11th Plan period. The new schemes include ‘Development of Solar Cities’ and ‘Demonstration Programme on MW size Grid Solar Power Generation’.


The Ministry of New & Renewable Energy promoted deployment of nine Solar Energy Plants during 2007-08 in six states of the country. Out of this, Maharashtra tops the list with three plants whereas Jammu & Kashmir got two such plants. Chhattisgarh, Haryana, Orissa and West Bengal each got one power plant during this period. The total capacity sanctioned for these plants is less than 2000 kwp. The capacity under implementation is more than 800 kwp

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Disclaimer

Ours is an advisory role. The final decision and consequences based on our Information is solely yours. Moreover, in keeping with regulatory guidelines, we do not guarantee any returns on investments. Prospective investors and others are cautioned that any forward-looking statements are not predictions and may be subject to change without notice.