Solar power is soon going to play an unprecedented role in India’s energy environment and the economy as a whole. Government is giving a huge push to renewable energy, especially solar energy and facilitating its adoption and use. Municipal corporations in many big cities have made it mandatory for high rise buildings to have solar rooftop installations. The judicial authorities are also showing serious concerns and coming down heavily on industries and businesses that are flouting the norms and contributing to environment degradation. Solar power has become the buzzword and apart from being environment friendly is also showing a great business potential. Many of the private power companies have taken a cue from all the latest development in India’s energy policy and are queuing up to make big in the solar power sector.
Solar Replacing Coal Power
Private power sector companies are dumping coal based power projects in favor of solar energy. Recently, power conglomerate Adani Group has made a huge move into solar energy sector by temporarily freezing their investment in Australia’s coalmine. The group has an ambitious plan to set up 10,000 MW solar power plants by 2022. Apart from this they are also venturing into manufacturing of photovoltaic equipment which will power the solar revolution in India.
Other big players like Reliance Power have also shown keen interest in solar projects and have declared that their future projects would be focusing more on renewables and solar rather than coal power.
Many other big names in power sector like Coal India, ReNew Power, RattanIndia Power have all announced setting up solar power plants to harness solar energy.
Foreign Investors Capitalizing on India’s shift to Solar
In 2015, Japan’s SoftBank along with Bharti Enterprises and Taiwan's Foxconn, pledged to invest about $20 billion in solar projects in India. This was one of the biggest investment pledges for renewable energy sector in India and shows global business community’s keenness and faith in the growth potential of solar power projects in India.
Boom in Solar Manufacturing
To overcome the acute power crisis in India, the government has set a target of generating 100,000 MW of electricity from solar panels by 2022. The government has also allocated 50 billion rupees that will go for solar rooftop installations over the next 5 years. Government is also encouraging households, government offices, hospitals, educational institutions, commercial and residential buildings to adopt solar panel installations. This is going to create a huge market for solar services and solar products in coming 5 years. This decision has benefitted many local solar based manufacturing units in the last 6-8 months. Foreign manufacturers like Trina and SunEdison have tied up with Indian power firms to set up solar manufacturing facility in India.
Great Employment Potential
Solar power is going to open up huge employment opportunities in India. With more solar plants and manufacturing units coming into existence there would be increased demand for laborers, technicians, vendors, and skilled professionals exclusively for this industry. With the amount of investment and targeted solar power generation, this industry alone is capable of generating lakhs of new jobs each year. Add to this the other sectors like transportation, logistics, ecommerce which will benefit directly from increased demand of solar products and services and would thus generate additional employment.