Overall, the survey paints an optimistic picture for renewable energy sector growth in the country.
India is expected to add about 80 gigawatts (GW) of renewable energy capacity in the next five years, according to a survey.
About 47 GW will be from utility-scale solar, 21 GW from wind, 8 from rooftop solar and 3 GW from floating solar projects, the survey by consultancy Bridge To India, in which 41 companies from different countries participated, said.
An optimist industry
About 73 per cent of the respondents are optimistic about the growth prospects of the Indian renewable industry, it said. Around 78 per cent the respondents feel that the government has propelled industry growth by increasing the renewable target to 175 GW.
The government aims to achieve the renewable energy target of 175 GW by 2022 of which 100 GW would be solar energy and 60 GW through wind energy. However, the majority of respondents see “offtake risk, land acquisition and uncertain policy environment as the biggest concerns in the sector,” the survey further said.
About 90 per cent of the participants feel that the bidding environment in the solar sector is aggressive, but the ratio of “irrationally aggressive” responses is down from 70 per cent to 49 per cent, the survey pointed out.
Manufacturing – Still going slow?
The industry is also pessimistic about manufacturing prospects in India, the survey said, adding that this is “understandable as all the government initiatives to promote domestic manufacturing – manufacturing linked tenders, CPSU scheme, KUSUM safeguard duty – have failed to produce any positive results”.
Vinay Rustagi, managing director of Bridge to India, said to PTI that overall, the survey paints an optimistic picture for renewable energy sector growth in the country.