To improve India’s global competitiveness India can increase its exports by finding more prospective buyers of target products across the world. They are most likely to find these buyers in countries where the demand of target products is high.
Infrastructure, renewable energy, metro, ports, railways, metals and mining, automotive and automation power plants (nuclear & thermal), contributes to the growth of the Indian market.
Power exchanges have a much larger role to play in creating efficient transaction structures to meet the power demand and supply situation while helping sustain the capacity market in the country. That would also be a vindication of the role envisaged by the policy makers and regulators for development of the power markets through power exchanges.
“The Safeguard Duty Notification issued by The Ministry of Finance does not provide exemption to the projects which have already been auctioned out (approximately 20-25 GW ). This will completely derail the solar industry. To add on to that, the notification does not provide any relief to solar cells and modules manufactured in SEZ and cleared to DTA. Currently, 40 per cent of solar module manufacturing units and 60 per cent of the solar cells manufacturing units are located in SEZs.
India’s renewable energy target increased to 227 GW from 175 GW by 2022, echoes the government’s commitment to increase the share of renewables in India’s energy architecture and enable the transition to a low carbon economy. The additional 52 GW will also boost governments ‘Make in India’ vision apart from creating new jobs in the country.
Distribution franchisee (DF) model is neither a new concept nor is it popular with power companies! The idea behind DF was to encourage private participation in power distribution for improving electricity access to people. The motive behind its introduction in rural areas was to increase electricity access in view of the limited reach of power utilities. In urban areas like towns and cities, the idea was to reduce technical and commercial losses.
There is an urgent need to re-evaluate the model contours of private sector participation in the power distribution space. The existing IBDF (input-based distribution franchisee) model was conceptualized about 12 years back with the realities that were relevant then. The sector has undergone changes since then and current realities are different from the time when this model was conceptualized. “One size fits all” does not cater to today’s need, hence need of the hour is to work our multiple models of private sector participation to help discoms achieve their objectives within the specified time.
Over the years, the Indian electrical equipment industry has developed a diversified, mature and strong manufacturing base, with robust supply chain, and a rugged performance design of products. There is also an emerging global reputation of Indian electrical equipment for sourcing of base products and components and also of Indian transmission and other EPC contractors.
India’s private discoms have been at the forefront of recent smart grid development. Both wholly-owned and public-private discom consortiums, have invested in advanced metering infrastructure (AMI), IT, and automation solutions to reduce network losses and improve grid reliability. This has improved the commercial basis for the industry which has faced many challenges to due legacy pricing issues.
Year 2017 witnessed various developments in the renewable energy sector in terms of growth, which was fueled by policies, reforms and investments given that it is one of the focal areas. The continued government support and improved economics attracted more investments in the developmental growth of the sector.