Grid infrastructure, policy framework key to India’s renewables target, IRENA says

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India currently has installed renewable power capacity of about 60 GW, is one of the world’s most important growth markets for renewable energy and great future ahead, and as it aims to generate more renewable power, the more it needs to have a robust grid infrastructure.

“I think the main constraint in India is not going to be the investment for renewables. The main constraint in India right now is whether they can strengthen their grid,” Amin said on the sidelines of the launch of Singapore International Energy Week 2018, the Reuters has reported.

Admitting the vast potential of renewable future in India, Amin said the currency and policy-related risks priced into the cost of capital tends to be a problem.

“If investors can be given a very clear sense of reliable policy framework, and hedging mechanisms that allow them to draw down the cost of capital, I think that’ll make a big impact,” he added.

India is aiming for renewable energy to make up 40% of installed power capacity by 2030, more than double the current level.