Unfazed by poor response to 2015 edition, govt launches RE-Invest 2017
The unfulfilled commitments made by project developers and lenders during RE-Invest 2015 are not being seen as a deterrent as the government has gone ahead and launched RE-Invest 2017.
RE-Invest is the flagship event of the government to highlight achievements and attract investments in the clean energy sector.
“The industry and developers had committed for 293 GW of renewables and against this, 39.3 GW capacity (13 per cent) is commissioned or under implementation. As against the financial pledge of ₹4 lakh crore by banks, ₹1.8 lakh crore have been sanctioned,” an official statement said.
In contrast to their commitment of lending ₹12,000 crore for 2,400 MW of renewable energy projects, none of the foreign banks have disbursed any amount. Public sector banks are the second worst performers with a 27.33 per cent compliance against their financial commitments. The PSBs sanctioned ₹43,386.80 crore against their commitment of ₹1,58,740 crore. The highest compliance came from from Private Sector Non-Banking Financing Companies that have sanctioned 79.38 per cent or ₹49,611.25 crore of their ₹62,500 crore commitment.
Also disbursals paint a bleak picture. The total commitment for financing clean energy projects during REInvest 2015 was ₹3,94,255 crore, but disbursals as of August end stood at only ₹1,37,015.95 crore. This data was shared at the curtain raiser event for RE-Invest 2017.
Speaking at the event, RK Singh, Minister of State (Independent Charge) for Power and Renewable Energy, said, “We expect India's per capita energy consumption to double in next 6 to 7 years, and then double again after 5 years.” He said that India’s energy needs are going to double in the next 6-7 years at the present rate of growth of the economy.
Commenting on the record low tariffs for renewable energy in the country, Singh said, “As demand for solar energy increases, I see tariffs and price of cells and modules falling further.”