According to reports, with an average demand-supply gap of 12 per cent and such a power deficit, Karnataka needs to explore renewable energy (RE) power generation, says a PwC CII report released here on Wednesday.
Titled “Sustainable Power Through Renewable Sources,” the report unveiled at the CII Karnataka conference on power stated there is a huge opportunity for renewable energy power generation in the State.
The process of tapping it should not be delayed any further, it said.
Out of the total 28 GW, only 2,106 MW of wind, 88.5 MW of biomass, 948.7 MW of bagasse co-generation, 646 MW small hydro and 14 MW of solar had been explored, it said, calling for a greater role of the government agencies in addressing the issues faced by the RE sector in Karnataka.
Sunil Kumar, Associate Director, PwC, said initiatives such as smart metering, net metering and smart grid can help in efficient management of RE projects. “There is also a need for developing skilled and competent manpower specific for this sector,” he said.
The study said tariff indexation on a year-on-year basis is a critical driver of growth.
With ever-changing project economics, the regulatory commission and nodal agency should work to build in more dynamic tariff framework.
Timely clearances from various departments for the projects are vital for the successful commissioning of RE projects, said the report, which also called for establishment of localised mini-grids.
Non-availability of reliable site potential data makes accurate evaluation of the returns from a project, technology selection and financing very difficult, it said.
The State needs to plan along with central agencies for additional assessment stations for renewable technologies, he added.