Markets & Policy

The Production-Linked Incentive (PLI) scheme in batteries and solar will help India graduate from a passive recipient to an active driver in the global clean-tech story.

The Finnish clean energy company, which works primarily on a build-operate-transfer model in India, has signed the agreement to divest its 250 MW solar plant in Karnataka and 250 MW in Rajasthan to UK investor Actis. The transaction is valued at approximately EUR 280 million and will enable Fortum to invest in building new projects.

Jinchen Machinery has landed module production equipment orders from leading Indian solar manufacturers. It has already installed 2 GW of production lines and plans to supply the balance within three months. The company will open an India office in Surat, Gujarat. 

JSW Steel will bring industry majors and the government together for hydrogen commercialization in the steel and cement sectors. CSIR-National Chemical Lab would work closely with the private sector on hydrogen development projects. Scottish Development International (SDI) brings the expertise from the implementation of large-scale hydrogen projects in Scotland.

With the draft National Electricity Policy (NEP) 2021, India is providing the right policy direction for this decade of the energy transition. Yet, there is room for further improvement. 

Solar module prices have increased by about 15-20% over the last 4-5 months to around 22-23 cents/watt as of date. As PV modules comprise about 50-55% of the overall project cost, such an increase in the module price level, if sustained, may moderate the debt service coverage metrics for developers by about 12-14 basis points. 

The Indian lead-acid battery major would form a new strategic business unit for lithium cells and battery packs, electric vehicle (EV) chargers, energy storage systems, and other related products and services as it looks to reposition itself as an energy and mobility player.

Amit Jain has been instrumental in developing the US and Australia as key markets for the Company in his previous role as Country Head for US and Australia. 

India’s solar-powered irrigation mission has had a sluggish run despite the PM-KUSUM scheme providing ample flexibility and budgetary support for the system implementation. An IEEFA report highlights the need to address the challenges of coordination, affordability, business models, technology and awareness creation at State level to increase the uptake.

An Institute for Energy Economics and Financial Analysis (IEEFA) report says the sale of power in the futures market will benefit renewable energy developers and distribution companies alike.