SPOTLIGHT ON INDIAN ELECTRONICS Spotlight on Indian Electronics | Page 155

HIGH PRIORITY MARKET - POWER
Market Size
Indian power sector is undergoing a significant change
energy installed capacity totaled 42.6 GW and 37.4 GW ,
that has redefined the industry outlook . Sustained
respectively . At 5.8 GW , nuclear energy capacity
economic growth continues to drive electricity demand in
remained broadly constant compared with the previous
India . The Government of India ’ s focus on attaining
year . India ' s rooftop solar capacity addition grew 66 per
‘ Power For All ’ has accelerated capacity addition in the
cent from last year to reach 525 Mega Watts ( MW ), and
country . At the same time , the competitive intensity is
has the potential to grow up to 6.5 giga watts ( GW ) 1 .
increasing at both the market and supply sides ( fuel ,
India ’ s wind power capacity , installed in FY2016 , is
logistics , finances , and manpower ).
estimated to increase 20 per cent over last year to 2,800
The Planning Commission ’ s 12th Five-Year Plan estimates
Mega Watt ( MW ) 2 , led by favourable policy support that
total domestic energy production to reach 669.6 million
has encouraged both independent power producers ( IPP )
tonnes of oil equivalent ( MTOE ) by 2016 – 17 and 844
and non-IPPs .
MTOE by 2021 – 22 . By 2030 – 35 , energy demand in India
India ’ s wind energy market is expected to attract
is projected to be the highest among all countries
investments totaling Rs 1,00,000 crore ( US $ 15.7 billion )
according to the 2014 energy outlook report by British oil
by 2020 , and wind power capacity is estimated to almost
giant , BP .
double by 2020 from over 23,000 MW in June 2015 , with
As of November 2015 , total thermal installed capacity
an addition of about 4,000 MW per annum in the next
stood at 196.2 gigawatt ( GW ), while hydro and renewable
five years .
Investment Scenario
Around 293 global and domestic companies have
Between April 2000 and September 2015 , the industry committed to generate 266 GW of solar , wind , mini-hydel attracted US $ 9.97 billion in Foreign Direct Investment and biomass-based power in India over the next 5 – 10 ( FDI ). years . The initiative would entail an investment of about US $ 310 – 350 billion .
Some major investments and developments in the Indian power sector are as follows :
Ÿ
SunEdison , world ’ s largest renewable energy
Ÿ
The Dilip Shanghvi family , founders of Sun Pharma ,
company , plans to continue its focus on ‘ Make in
acquired 23 per cent stake in Suzlon Energy , with a
India ’ by further reducing the cost of renewable
preferential issue of fresh equity for Rs 1,800 crore
energy and developing over 15 gigawatts ( GW ) of
( US $ 284.8 million ).
wind and solar projects in the country by 2022 .
Ÿ
Reliance Power Ltd signed an accord with the
Ÿ
ThyssenKrupp India , the Indian arm of the German
Government of Rajasthan for developing 6,000 MW of
engineering conglomerate , plans to make high-grade
solar power projects in the state over the next 10
environment-friendly boilers which use less fuel , for
years .
the Indian power sector by collaborating with a
Ÿ
Hilliard Energy plans to invest Rs 3,600 crore ( US $
foreign company .
600 million ) in Ananthapur district of Andhra Pradesh
Ÿ
Aditya Birla Group has announced a partnership with
in the solar and wind power sector for the generation
the Abraaj Group , a leading investor in global growth
of 650 MW of power .
markets , to build a large-scale renewable energy
Ÿ
Solar technology provider SunEdison signed a
platform that will develop utility-scale solar power
definitive agreement to acquire Continuum Wind
plants in India .
Energy , Singapore , with assets in India . The company ,
Ÿ
Sterlite Grid , India ’ s largest private operator of
headquartered in Belmont , California , would take over
transmission systems , is joining hands with US major
242 MW of operating wind assets that Continuum
— Burn & McDonnell for its Rs 3,000-crore ( US $ 462.5
owns and operates in Maharashtra and Gujarat as
million ) power transmission project in the Kashmir
well as 170 MW of assets under construction .
valley .
Ÿ
Japanese internet and telecommunications giant
Ÿ
Inox Wind Ltd , a subsidiary of Gujarat
SoftBank , along with Bharti Enterprises ( of Sunil
Fluorochemicals , a wind energy solutions provider ,
Mittal ) and Taiwanese manufacturing giant Foxconn ,
plans to double its manufacturing capacity to 1,600
plan to invest US $ 20 billion in solar energy projects
MW at a total investment of Rs 200 crore ( US $ 31.6
in India .
million ) by the end of the next financial year .
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