India’s RE & EV

Missions for the

Next Decade

1
 Global installed power capacity (2017) 6,516GW
Installed capacity

APAC

Americas 3,043GW
1,611GW
EMEA

Source: BNEF capacity & generation; IEA – global energy & Co2 report
1,862GW 2
 Global electricity demand increased by 4% in 2018
Change in electricity generation by source 2017-2018 (in Twh)

449

Renewables met half of the

increased demand (993 Twh)
258
236

87

Renewables Coal Gas Nuclear Oil

-37
Source: IEA – global energy & Co2 report
https://www.iea.org/sdg/electricity/ 3
 Still ~860m people dream access
to electricity (2018)

India achieved 100% village

electrification in 2018
Source: IEA 4
 Fossils dominated electricity generation (2018)

Gas – 23% Nuclear – 10%

Oil – 4% 26,700 Twh

Electricity Hydro – 16%
produced

Coal – 38% Renewables (all) – 9%

Source: IEA – global energy & Co2 report 5
 But burning fossils
impacted adversely…

6
 2019 global Co2 emission 33.3Gt

Power sector of advanced economies

constitutes 36% of Energy related
emissions

1.7% emission growth in 2018, highest

since 2013
Source: IEA - emissions 7
This is leading to……

Polluted Global
environment warming
8
 India has 6 of 10 most polluted cities (2019)
Ghaziabad, India 110.2
Hotan, China 110.1
Gujaranwala, Pakistan 105.3
Faisalabad, Pakistan 104.6
Delhi, India 98.6
Noida, India 97.7
Gurugram, India 93.1
Raiwind, Pakistan 92.2
Greater Noida, India 91.3
Bandhwari, India 90.5
Source: IQAir Average PM2.5 in µ.g/m 3 9
 Global warming implications

19 of hottest 20 years occurred in last 2

decades

$ 320b global loss (2017)

140m climate migrants (2050)

Source: New climate economy 2018 report; NASA data 10
What is the solution?

11
Transformation to
cleaner tomorrow

12
By implementing renewables………

13
 Global installed RE (2019) 2,537GW
Installed capacity

APAC

Americas 1,159GW
628GW
EMEA

Source: IRENA – Renewable capacity highlights

750GW 14
 RE tariff surpassed conventional energy globally
LCOE Global Average
US $/MWh

359

155 Nuclear
135
123
111 109 Coal

Combined
83
cycle gas
turbine
56
41 Wind
40 Solar
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
Source: Lazard LCOE Analysis 15
India’s Paris commitment -2030

40% non fossil fuel share in electricity

generation

35% reduction in emission intensity from

2005 level

16
 Vision of Hon’ble Prime Minister of India

450GW by 2030
Sri Narendra Modi

“We must accept that if we

have to overcome a serious
320 challenge like climate
change, then what we are
doing at the moment is just
120 not enough….. The time for
10 talking is over. The world
needs to act now…..”
In GW addressing the Climate Action
Source: various articles, reports, industry information; assumptions 17
 International Solar Alliance “We have a dream One World, One
Sun One Grid. We generate round the
Collaborative platform of 122 Sun belt clock electricity from Sun as it sets in
countries promoting solar energy for: one part of the world but rises in
➢ enhanced energy security another part. Sun never sets for entire
➢ Achieve sustainable development earth,”
Source: ISA Sri Narendra Modi at first assembly of ISA 18
India’s has ~87GW of installed RE capacity
In GW

RE accounts for 23.5% of

230 installed capacity
34.6

45 7 15
38 34

Source: National power portal 19

$ 315b expected investment in RE sector by 2030

$ 290b $ 25b
Source: Estimate 20
Indian RE sector challenges

Bid Transmission Land Financing

Transmission
Non availability of Single Window Priority sector
capacity & RE
quarterly bid plan clearance lending
project mismatch

Pending 66.5 GW
Land ceiling in Access to foreign
Tariff ceilings of transmission
states bonds
bidding

Onerous financial New capacity Policy for

Timely DISCOM
charges on plan for 450 GW RE allocation of
payments
developer connection waste land

Source: Industry discussion 21

Essential technologies for 24x7 supply

Solar energy Wind energy

Storage battery
(ESS) 22
 Exponential fall in storage battery price
Battery pack price (real 2018)
US $/kWh

1,160 Getting
affordable
Forecast

Historic battery
pack prices 176
94
62
2010 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030

Source: BNEF 23
 2,850GWh energy storage capacity (2040)
2,850GWh
$662b
Investment in energy storage by 2040
Forecast

17
GWh

2018 2020 2022 2024 2026 2028 2030 2032 2034 2036 2038 2040
Source: BNEF 24
 Power services to maximum utilize storage
2,850GWh
EV: 0.4%
Other: 3.1% EV: 6.0%

Power Power
service: service:
96.5% 94.0%
17GWh
2018 2040
Source: BNEF 25
Second major transformation globally
IC engine
Steam engine

1997 Modern EV’s

1885 2008

1936
Diesel engine Hybrid car
1769 26
 Top drivers of EV market (2030)
China
34%

Europe
25%
USA India
20% 8%

Source: BNEF EV outlook 2019 27

EV benefits

Environment friendly

New job creation

Low cost for drivers

28
Learnings from Indian RE sector

Large RE vision

Large scale projects

Government backed PPAs

Solar & Wind integration

Solar park innovation

29
COVID 19 - Support for Power Sector

1. Liquidity injection for Discoms of 90,000 cr ($12bn)

Extension for RE projects equivalent to Lockdown days + 30 days for

2.
mobilization of assets

Moratorium for 3 months provided to DISCOMs to make payments to

3.
generating companies and transmission licensees

No penalties, demurrage, charges, fee, rentals to be levied on any port users

4. for any delay in berthing, loading/unloading operations or evacuation/arrival
of cargo

30
Thank You

31