India has launched the statewide targets for attaining the newly-revised Renewable Purchase Obligations (RPOs) of 17 per cent by 2022.
Further, the Ministry of New and Renewable Energy’s (MNRE) joint secretary, Tarun Kapoor stated in his letter regarding the setting out of a long-term growth trajectory of the RPO including an 8 per cent minimum provision for solar energy. The state-specific targets comprise of tentative calculations of the installed capacity requirement for each state for meeting their RPOs. The calculations did not include hydro power and were based on assumptions regarding rooftop solar installations and growth in total energy consumption by each state.
Mr Kapoor also stated in his letter that “As setting up of capacity takes time and solar power is now available at very competitive price, we request all the states to impress upon the distribution companies (Discoms) to procure solar power immediately in order to achieve the solar RPO well in advance each year.”
The heavily populated state of Uttar Pradesh comprises of the largest solar RPO requirement of 13,248 MW which has to be achieved by 2022. Till date, the government has failed to enforce the RPO and the move has been criticised largely. The discoms that are heavily under the burden of debt are hesitant to take on solar power projects. Moreover, the recent sharp decline in the solar tariffs should help in easing the issue.
As per Amit Kumar, partner at PricewaterhouseCoopers India, India is facing major challenges in attaining its renewable obligation targets. He stated that “We are struggling just like anywhere else in the world. It is difficult to achieve, but there is a movement. This was one of the initial drivers for the renewable energy in the country.”
