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India raises clean energy target for FY13 raised sharply to 4,125 MW

According to reports, with a pick up in momentum of new capacity addition, particularly in the solar sector,the union government has fixed new capacity addition target of 4,125 mw, reported to be the highest annual target, for the ongoing financial year.

Though April has seen only a modest capacity addition, solar sector, for the first time has added little more capacity than wind in a month. During April this year, 104 mw of gird-interactive renewable energy capacity was added and solar and wind segments accounted for 38 mw and 37 mw respectively, while the rest was added from biomass and small hydro sector, according to union ministry of new and renewable energy.

Of the 4,125 mw new capacity envisaged for the present financial year, wind is expected to contribute 2,500 mw, followed by solar (800 mw), biomass (455 mw), small hydro (350 mw) and waste-to-power (20 mw).

Of the cumulative installed capacity of 25,018 mw as of April 30, 2012, wind sector accounted for 17,389 mw, small hydro power (upto 25 mw) for 3 401 mw, biomass for 1166 mw, cogeneration power for 1993 mw, waste-to-energy 90 mw and solar 979 mw.

Thanks to solar mission, FY12 actually saw the potentially strong solar PV market in India taking off with reasonable new capacity addition. Next to China, India and Japan, some smaller markets with a real potential will emerge in the coming years. “China and India are likely to sustain the fastest growth in solar PV capacity addition, driven by huge energy demand,” according to the latest report of European Photovoltaic Industry Association (EPIA).

At the state level, Gujarat appears to be the most attractive state with a renewable energy portfolio standard (RPS) of five per cent for power-distribution companies to be increased to seven per cent for 2012-2013, out of which one per cent is for solar. An additional PV incentive is in place.
The state of Rajasthan has signed over 1.5 GW of solar projects with developers so far despite a rather vague draft target of 10-12 GW at the time horizon of 10 years. PV features more prominently in some other states (Tamil Nadu, Andhra Pradesh, Punjab, Jharkhand, Karnataka and Maharashtra) that have taken positive steps, it said.

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