India is likely to add an estimated 16 GW of renewable energy over FY23, standing agency ICRA said on January 10, adding that the country has a strong channel of 55 GW clean energy systems, PTI reported.
In a statement ICRA noted that the outlook for capacity addition “ remains strong” due to a large design channel and “ largely competitive tariffs offered by these systems”. Compared to12.5 GW anticipated in FY22 and7.4 GW in FY21, it expects 16 GW capacity addition in FY23.
It feels commitments made at the recent COP26 peak similar as addingnon-fossil energy power capacity to 500 GW and meeting 50 percent energy demand through renewables by 2030, strengthen prospects for the renewable energy sector.
It also noted that capacity addition made “ strong recovery” between April-November 2021 (FY22) – adding8.2 GW compared to3.4 GW during the same period in the antedating time.
Girishkumar Kadam, Senior Vice President &Co-Group Head – Corporate conditions at ICRA also expects the backlog of systems, awarded by central nodal agencies and state distribution serviceability, to push capacity addition.
“ (There) remains large with under- development solar, wind and mongrel capacities of further than 55 GW. Base this, ICRA expects the Shaft capacity addition to increase from7.4 GW reported in FY2021 to12.5 GW in FY2022 and farther to 16 GW in FY2023,” Kadam said.
To support this Kadam refocused out that the Solar Energy Corporation of India (SECI) showed progress in subscribing power purchase agreements (PPAs) over the once six months, followed by wind and mongrel.
Near term challenges include prosecution headwinds and force chain challenges for earning modules and wind turbine creators.
ICRA also noted that the average price of imported solar PV modules (Mono PERC) has increased by over 35 percent over the once 12 months, putting upward pressure on capital costs for solar power systems. Besides this, there was also a hike in Goods and Services Tax (GST) rate for solar power outfit.
Vikram V, Vice President & Sector Head-Corporate Conditions at ICRA editorialized that the vacuity of acceptable backing avenues at cost competitive rates remains critical to achieve these capacity targets.
Meanwhile, a Ground to India report estimates India country will add 10 GW of renewable capacity within this time itself (2022). This is down 10 percent time-on- time (YoY), The Economic Times reported.
It added that capacity addition prospects would “ depend greatly on the timeline for clarity on transmission lines in Rajasthan and Gujarat”, adding that numerous systems have formerly got relief due to module force dislocations.
It expects rooftop and open access solar systems to take an “ immediate megahit” if the introductory customs duty (BCD) is assessed as anticipated starting from April 2022. The final advertisement on BCD is anticipated in the Union Budget 2022.
On the cons, it said clarity on BCD in Budget and expansion of the product- linked incitement (PLI) scheme to cover stab would boost domestic manufacturing.
