In Short : According to government data, India’s solar power generation grew at the slowest pace in six years in the first half of 2024, as the country further stepped up reliance on coal to address surging power demand,t the Reuters reported. Coal-powered electricity grew 10.4% during the six months ending June 30, a review of daily load dispatch data from Grid-India showed, outpacing overall power generation growth of 9.7% during the period.
In Detail : Solar power generation rose to 63.6 billion kilowatt-hours (kWh) in the first half of 2024, the data showed, up 14.7% compared with the same period last year and 18.5% in the calendar year 2023.
The report added that India has prioritised coal to address a surge in power demand in recent years, with coal-fired power output last year outpacing renewable energy output for the first time since the Paris accord in 2015. India’s fuel use patterns have largely been in line with trends in the region, with Indonesia, Philippines, Vietnam and Bangladesh all firing up coal for generating inexpensive power.
The share of fossil fuel in power output rose to 77.1% in the first half of 2024, compared with 76.6% in the same period last year, putting it on track to rise for the fourth straight year, the report said.
Shortage of India-made solar modules hits projects, installers using second-hand modules
Shortage of domestically produced solar modules has hit solar projects adversely. “In some cases, owing to the shortage, installers have even resorted to using second-hand solar modules,” Mercom reported. Domestically produced modules are expensive so many installers are using second-hand modules, labelling them with new warranties. These used modules are refurbished by manufacturers and are available at significantly lower prices, the outlet reported, citing a West-Bengal-based solar company.
These practices are not only unethical, but they also risk impacting the project’s health in the long term, the report said. “Imported solar modules are selling for ₹13.50 (~$0.16) to ₹14.50 (~$0.17) per watt, compared to domestic modules that are priced around ₹23 (~$0.27) per watt. The price disparity is exacerbated by the shortage of DCR cells, which currently stand at around 3 GW annually, which is insufficient to meet the burgeoning demand.
Govt expands ALMM by adding 2.67 GW of solar module capacity
The Centre expanded the Approved List of Models and Manufacturers (ALMM) adding 2,674 MW of new solar module capacity. The cumulative module manufacturing capacity under ALMM now stands at 50,675 MW (50.6GW), reported Mercom.
The companies with enlisted capacity of over 1 GW each include Waaree Energies, Adani Solar, ReNew FS India Solar Ventures, Tata Power Solar, Goldi Solar, Premier Energies, Vikram Solar, Rayzon Solar, Emmvee Photovoltaic Power, Grew Energy, and RenewSys India. They contribute 37,682 MW or 78.5% of the total cumulative module manufacturing capacity under ALMM.
The highest capacity module listed in the ALMM is at 685 Wp. The government reimposed the ALMM mandate on April 1, 2024, after putting it on hold for a year. Only modules from the ALMM must be used in projects that receive government subsidies.
‘Solar overcapacity’: China issues tougher draft investment rules for solar PV manufacturing
To tackle the issue of overcapacity in solar sector, China issued draft rules to tighten investment regulations for solar manufacturing projects. If enacted, the new norms will increase the minimum capital ratio of such projects from 20% to 30%, as the country seeks to reduce overcapacity in the sector, The Reuters reported.
According to news portal BJX News (translation and report by Carbon Brief), the new rule will guide solar manufacturers in China to “reduce projects that solely expand capacity, and instead focus on strengthening technological innovation, improving product quality and lowering production costs”.
China’s utilisation rate of solar power generation reached 97.5% in May, while wind power stood at 94.8%. Meanwhile, a China research body under the National Energy Administration (NEA) claims that China’s solar and wind power expansion means the country will “meet its 2030 renewable targets” by the end of 2024, “six years ahead of schedule”.
Kerala receives investment proposals worth over ₹72,000 cr to set up green hydrogen, ammonia plants
Four big companies proposed to invest ₹72,760 crore to get state subsidies under the state’s draft green hydrogen policy for setting up green hydrogen and green ammonia facilities in the state, reported ET.
The companies plan to export green ammonia aiming at an export-led growth, the report said, adding that the subsidy on capex to these four companies will be about ₹275 crore for each project. The outlet said Kerala plans to give 100% exemption on electricity duty to these companies for 25 years. One of these four companies has proposed two separate investment amounts of ₹22,062 crore and ₹4,511 crore. Kerala’s draft green hydrogen policy has been approved and is awaiting the approval by the Council of Ministers.
India aims to set up 5 MTPA green hydrogen production capacity by 2030 and promote exports of green hydrogen and its derivatives under the National Green Hydrogen Mission.
Global target of tripling renewables by 2030 still out of reach, says IRENA
Renewable energy must grow at higher speed and scale, its sources are still not being deployed quickly enough to put the world on track to meet an international goal of tripling renewables by 2030, that’s according to figures published by the International Renewable Energy Agency (IRENA).
At the COP28 climate summit in Dubai in 2023, nearly 200 countries committed to tripling global renewable energy capacity – measured as the maximum generating capacity of sources like wind, solar and hydro – by 2030, in an effort to limit global warming to 1.5°C, reported Climate Home News, adding that according to new data, renewables are the fastest-growing source of power worldwide, with new global renewable capacity in 2023 representing a record 14% increase from 2022.
But IRENA’s analysis found that even if renewables continue to be deployed at the current rate over the next seven years, the world will fall 13.5% short of the target to triple renewables to 11.2 terawatts. A higher annual growth rate of at least 16.4% is required to reach the 2030 goal, IRENA said.
