Government in the process of finalizing new energy policy: NITI Aayog Additional Secretary
Nov 26, 2019
India's energy storage market is expected to grow upwards of 2 TWh by 2030: FICCI-EY report on Battery Storage
Electricity as a transport fuel source will grow fastest at 11% accounting for 10% of total energy mix for transportation by 2040
11 million tonnes of Li-ion batteries to be discarded by 2030 creating market opportunity of USD 11.8 billion by 2022
NEW DELHI, 26 November 2019: Mr R P Gupta, Additional Secretary (Energy), NITI Aayog, today said that the government is in the process of finalizing an energy policy for the country.
Speaking at the conference on 'Energy Storage: Driving Demand and Investments', organized by FICCI, Mr Gupta said that the new policy will address the issues of accessibility and affordability, energy security, thrust on clean source energy and the overall requirement of energy.
Highlighting the potential of energy storage in India, Mr Gupta said that we are also focusing on Make in India for cells used in battery in electric vehicles along with policy for demand creation and measures to incentivize investments. "Hopefully in short period of time a new policy will come in place to encourage domestic manufacturers," he added.
Mr Gupta highlighted that energy efficiency is one of the priority areas which the government is focusing on. "What we have estimated is that if we come out with proper policies and solutions for energy efficiency then the total energy requirement can be reduced by 20%," he said.
Mr Manish Sharma, Co-chair, FICCI Energy Storage Committee and CEO, Panasonic India & South Asia, said, "With the country's focus on renewable energy and electric mobility, energy storage solutions are set to play a crucial role in scripting the sector's success. India leads the global electricity market with almost 6% of the total electricity demand. We will account for 8% of the global electricity generation by 2025. Given the increasing demand and competitiveness of renewable power generation options, electricity storage will play a crucial role in enabling the next phase of the energy transition. Hence, it is important to build an ecosystem which promotes battery manufacturing in the country."
He added, "Through the FICCI Energy Storage conference we seek to engage and deliberate on challenges and opportunities and come out with clear action points to work with the government in giving this industry the required impetus."
Mr Manoj Kohli, Chairman, FICCI Renewable Energy CEOs Council and Executive Chairman, SB Energy, said, "The cost of electric vehicles will come down only when the cost of storage battery is reduced." He further added that in the next decade there is going to be a massive energy transition in India.
FICCI-EY report on 'Battery Storage - The Next Big Energy Frontier' was also released during the event.
Highlights of the report:
- By 2025, India?s power generation will account to 1,130 Mt of Co2 emissions estimating to around 11% of the global power sector emissions
- Renewable energy sources in India can witness a growth potential of 10% forming 34% of the total power generation by 2025 and rising to 66% by 2040
- Electricity as a transport fuel source will grow the fastest at 11%, accounting for 10% of the total energy mix for transportation by 2040
- India's energy storage market expected to grow upwards of 2 TWh by 2030.
- 11 million tonnes of Li-ion batteries to be discarded by 2030 creating market opportunity of USD 11.8 billion by 2022.
- Supply side: Alliances for ensuring supply of appropriate rare earths and components
- Demand side: Awareness and development of market-based mechanisms
- Facilitation: Policy synchronisation to spur demand for energy storage systems.
FICCI MEDIA DIVISION