• 3 minutes Will Iron-Air batteries REALLY change things?
  • 7 minutes Natural gas mobility for heavy duty trucks
  • 11 minutes NordStream2
  • 4 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 6 hours U.S. Presidential Elections Status - Electoral Votes
  • 2 days Evergrande is going Belly Up.
  • 2 days World’s Biggest Battery In California Overheats, Shuts Down
  • 5 hours Is China Rising or Falling? Has it Enraged the World and Lost its Way? How is their Economy Doing?
  • 14 hours Monday 9/13 - "High Natural Gas Prices Today Will Send U.S. Production Soaring Next Year" by Irina Slav
  • 1 day Poland Expands LNG Powered Trucking and Fueling Stations
  • 13 hours The unexpected loss of output from wind turbines compels UK to turn to an alternative; It's not what you think!
  • 3 days And now, hybrid electric locomotives...
  • 3 days The Painful Death of Coal
  • 3 days Ozone layer destruction driving global warming
  • 3 days 'Get A Loan,' Commerce Chief Tells Unpaid Federal Workers
  • 3 days Is the Republican Party going to perpetuate lies about the 2020 election and attempt to whitewash what happened on January 6th?
Big Oil Is Buying Into The Solar Boom

Big Oil Is Buying Into The Solar Boom

Oil major Total is looking…

U.S. Solar Industry Books Record Growth Amid Pandemic

U.S. Solar Industry Books Record Growth Amid Pandemic

The U.S. solar industry recorded…

John Daly

John Daly

Dr. John C.K. Daly is the chief analyst for Oilprice.com, Dr. Daly received his Ph.D. in 1986 from the School of Slavonic and East European…

More Info

Premium Content

India Embraces Solar Power, Says Price Will Equal Thermal Power in Five Years

Economic South Asian superpower India has firmly embraced solar power, advancing the target date by five years for selling solar-generated electricity at the same rate as electricity generated by fossil fuel plants, from 2022 to 2017.
 
According to government officials, the reason for moving the date forward is plummeting tariffs in the latest solar development projects, a trend that they believe is likely to continue.
 
Ministry of New and Renewable Energy Joint Secretary Tarun Kapoor said, "The prices will come down further next year and will continue to fall. Earlier, our aim was that solar power will achieve grid-parity by 2022, but looking at the upbeat response from the industry, we have now reduced our target to 2017. Some big names from India have proved that a large investment will soon be possible in solar projects, as huge as 2,000 megawatts. There are other reasons as well. Internationally, the price of solar cells has come down and with  improved technology, the cost of operation as a whole has been reduced, thereby increasing the efficiency."
 
All is not yet completely sunny for India’s solar energy drive, however. Kapoor noted that several solar projects benefiting under a state program offering favorable tariffs to build 20,000 megawatts of capacity have already been delayed, adding that developers may lose contracts if deadlines are missed, commenting, “Two of the projects are behind schedule. In a few months, we should have a clear picture.”
 
The pair of miscreants are Entegra Ltd., whose majority shareholder is MW Corp Pvt., which has yet to begin building a 10 megawatt solar-thermal plant in Rajasthan and Enterprise Business Solutions, cited for delays in an October deadline to build a 5 megawatt photovoltaic plant in Punjab.
 
Entegra Ltd. is disputing New Delhi’s claims of sluggish performance, with its Chairman Mukul S. Kasliwal commenting that his firm faced problems raising financing for its $38 million development but that the company expects to complete the Rajasthan facility plant by its 2013 deadline. Shifting responsibility for delays to the Indian government, Kasliwal commented in an interview, “We haven’t started because we’re not going to do something that doesn’t make sense financially. Had we been allowed to function as an SPV (special purpose vehicle), then we would’ve finished financing long ago.”
 
Despite the travails of Entegra Ltd and Enterprise Business Solutions, other members of India’s burgeoning solar energy community are optimistic about the government’s latest pronouncements. Azure Power CEO Inderpreet Wadhwa, whose company has secured government contracts to establish solar projects to generate up to 35 megawatts said, "Solar has the same potential as personal computers had in 1970's. Technology innovations and improvements in manufacturing would drive down costs further."
 
Support for India’s solar ambitions comes from some heavyweight fiscal analytical groups. Ernest and Young partner Sanjay Chakrabarti observed, "The extent of price reduction since 2008 has been very sharp. Although solar prices will continue to drop the fall in future may not be so sharp."
 
Kapoor is under no illusions however as to why foreign companies are closely following India’s interest in solar energy, noting wryly, "The only reason is that India is an emerging market and one of the few countries where solar energy is encouraged at such a massive level."
 
And that emerging market is potentially lucrative indeed, as last year the Indian government launched its “National Solar Mission,” whose objective is to establish India as a global leader in solar energy, by creating the policy conditions for its diffusion across the country as quickly as possible.
 
The program’s goals are nothing if not ambitious, as the government had initially hoped to boost the nation’s solar capacity by the equivalent of about 18 nuclear power plants by 2022, at date that’s now been brought forward by five years.
 
Investors, anyone?

By. John C.K. Daly of Oilprice.com


Download The Free Oilprice App Today

Back to homepage





Leave a comment
  • Chereen on December 12 2011 said:
    The original estimate for parity of the year 2022, later readjusted to 2017. My opinion is there will be another adjustment estimate for parity in the range of 2014 or sooner. MIT's 3D Vertical Structures Solar Cells Technology with 50% greater effeciency than Flat Panels, can be Sprayed onto most any shape, cloudy or rainy weather only slightly affect effeciency. On-Site applications are practically limitless, i.e. You could turn your Picked Fence into Solar Energy for your Home.

Leave a comment




EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News