As energy demands are set to double by 2030, addressing these gaps is essential to transforming India’s solar aspirations into reality
India has been declared as the third-largest energy-consuming country, thanks to the rising income and improving standards of living. In response to the escalating energy demand, India has set ambitious targets for solar energy capacity, aiming to reach 280 GW by 2030 (the highest among all renewable sources). And owing to the rise in awareness surrounding solar energy solutions, the country has achieved 70.10 GW of solar energy capacity by June 2023, which is 70.1 per cent of the target of 100 GW set in the year preceding. The rising awareness of solar solutions among consumers, particularly rooftop solar solutions, is a notable trend in the solar energy market.
This trend has been driven by various factors, including technological advancements, innovation, digital revolution to unlock more of the sun’s potential and support from the Central Government. Community leaders, particularly in rural and non-metro areas, have also emerged as crucial drivers in promoting the adoption of solar energy solutions. However, despite this awareness, a significant gap exists between the awareness of the advantages of solar energy and its widespread adoption. The adoption rate remains relatively low.
Reportedly, the country fell short of its renewable energy target for 2022 by 32 per cent, with an installed capacity of 119 GW compared to the target of 175 GW. Financial and cost considerations, geographical limitations, and perception issues further cause a challenge to solar energy adoption in India. To understand the potential consumers, Luminous initiated a large, nationwide survey to delve further into the perceptions, awareness, adoption, and challenges concerning solar energy among respondents in India.
The initial analysis of the survey data suggests that while people are increasingly aware of alternatives to traditional energy sources, a majority of consumers in India face three primary challenges in their adoption: Accessibility, Skill shortage, and Perceived cost implication, as discovered in the ‘Solar Spectrum of New India’ research. For instance, over two-quarters of the respondents (54 per cent) in the ‘Solar Spectrum of New India’ research rate their knowledge about solar energy solutions as high, however, nearly a quarter of the respondents (24 per cent) say solar energy solutions are inaccessible to them.
In fact, according to the Council on Energy, Environment and Water (CEEW), 59 per cent of respondents do not possess even a basic understanding of solar energy. Therefore, while awareness is spreading, concerns linger about the accessibility of solar infrastructure. Another challenge that came to the fore, is the shortage of specialised skills in the solar energy sector.
The boost in the solar energy sector is facing a shortage of trained personnel for the effective implementation and maintenance of solar infrastructure.
According to the COO of the Skill Council of Green Jobs, there will be a requirement of 30,000 skill-certified human resources in the manufacturing segment by the end of FY 2024, and only 10,000 skill-certified jobs will be added by the end of this financial year. As per the ‘Solar Spectrum of New India’ survey data also, despite the acknowledgement of skill requirements, nearly half of the respondents (45 per cent) believe that skilled labour for implementing solar energy solutions is unavailable in their area, suggesting a mismatch between demand and supply of qualified personnel.
While the government has introduced various policies and incentives to promote solar adoption- including financial incentives, tax advantages, subsidies for solar power generation, net-metering regulations, basic customs duty, Production Linked Incentive (PLI), and the Aatmanirbhar campaign, perceived costs remain a significant deterrent for many individuals.
Thus, the Solar Spectrum of New India presents both challenges and opportunities on the path towards a sustainable energy future. By addressing issues of accessibility, skill shortages, and perceived costs, stakeholders can work together to accelerate solar adoption trends and pave the way for a brighter, cleaner future for India.
It’s also imperative because the demand for reliable power in urban and rural areas will double by 2030. This surge in demand will be powered by increased industrial, economic, and domestic consumption activities throughout the country.
Moreover, according to the National Electricity Plan, the projected all-India peak electricity demand and electrical energy requirement is 277.2 GW and 1,907.8 BUs for the year 2026-27 and 366.4 GW and 2,473.8 BUs for 2031-32, respectively. However, the absence of power line infrastructure and distribution utilities’ lag in supplying power around the clock indicates the need for significant changes in existing energy infrastructure and the availability of alternate sources.
(The writer is MD & CEO of Luminous Power Technologies; views expressed are personal)