According to EY’s 58th edition of the Renewable Energy Country Attractiveness Index (RECAI), India remains in 3rd place. The index ranks the markets of the top 40 countries in responding to renewable energy investment and deployment opportunities.
The United States, mainland China and India remain in the top three. France is in 4th position, followed by Britain, Germany and Australia.
Somesh Kumar, Partner and National Leader, Power & Utilities, EY India, says, “India has moved one position above (3rd) from the previous index (4th), this is primarily because of the exceptional performance on the solar PV front.
Installed solar PV capacity in India has skyrocketed to 39 GW marginally overtaking the wind capacity for the first time.
The economic attractiveness of solar PV and intense competition from the private sector has led to record low tariff bids. India also committed to set up 450 GW for renewable energy power capacity (installed) by 2030 in the recent climate summit hosted by US.
This will likely increase the share of renewable energy in the overall power generation installed capacity to 54%, vis-à-vis share in overall gross generation to 36%.”
Other markets have climbed the Index, as numerous governments take tentative steps toward launching new offshore wind projects.
Introduced in this edition of RECAI, the new PPA index focuses on the attractiveness of renewable energy sourcing and ranks the growth potential of the country’s corporate PPA market. India is ranked 6th in the top 30 of the PPA market.
RECAI 57 finds that environment, sustainability and governance (ESG) goals are increasingly being prioritized on the investor agenda while institutional investors’ interest in renewables continues to grow, says the statement.