Presenter Organization

E-Cell-IIT Madras – Workshop on – SDG

7 –Affordable and Clean Energy –
Thoughts for Policy Parameters – 24th
March , 2023
Chandrashekhar Chincholkar
Director – Corporate Advisory , IESA / CES India Pvt Ltd
 Presenter Organization
Logo

India Goals:
• Decarbonization targets
• Targets set by GOI for 2030.
• Carbon Intensity Reduction by 2030.
• Huge GDP growth expected in next 7-8 years.
• 85% dependence on Imported Crude needs to be reduced significantly by 2030 or
at least a direction / firm foundation should be led for the same.
• Per Capita Energy Consumption is at 1200 Units. USA is at 11,000 Units plus.
• Energy Needs of the Country in 2035 – 2040 considering a size of $ 10 Trillion
Economy.
• Energy Transition Investment needs of $ 10 Trillion.
• World Energy Transition requirements of $ 200 Trillion Average over next 30
years.
 Presenter Organization
Logo

COP 26 Declarations:
India's Stand at COP-26
Posted On: 03 FEB 2022 3:50PM by PIB Delhi
• The Government of India has articulated and put across the concerns of developing countries at
the 26th session of the Conference of the Parties (COP26) to the United Nations Framework
Convention on Climate Change (UNFCCC) held in Glasgow, United Kingdom. Further, India
presented the following five nectar elements (Panchamrit) of India’s climate action:
1. Reach 500 GW Non-fossil energy capacity by 2030.
2. 50 per cent of its energy requirements from renewable energy by 2030.
3. Reduction of total projected carbon emissions by one billion tonnes from now to 2030.
4. Reduction of the carbon intensity of the economy by 45 per cent by 2030, over 2005 levels.
5. Achieving the target of net zero emissions by 2070.
 Presenter Organization
Logo

Approach for Energy Transition:

• Large scale adoption.
• Prototype to Commercialization.
• Incentivization during Commercialization.
• Will this make the solution affordable ?
• Will it appeal to masses and make it affordable for them ?
• What level of utilization it will become affordable ?
• Are the Incentives sufficient ?
• Are the incentives matching the Country needs ?
 Presenter Organization
Logo

Comparison : USA India

Population - Crs 35 135
Per Capita - Electricity Consumption - Units 11000 1200
No. Of Vehicles 33 33
No. of 4 W 80% 22%
No. of 2 W < 10 % 75%
Average Age - Yrs 39 29
Per Capita Income - $ 65000 2000
Fossil Fuel Consumption - Mn Barrels per Day 20 5
Projected Population – Crs - 2030 35 152
Renewable Energy - GW 2800 500
** - Land mass available in USA is almost 4 times that of India.

USA – India Comparison:

 The Inflation Reduction Act: Impact on Energy Transition
US President Joe Biden signed a historic climate bill, the Inflation Reduction Act into law August 16, 2022, that provides $369
billion of funding for climate and energy over the next decade
• The law provides a wide range of clean energy tax credits, worth about
Green Tax Credits in the Inflation Reduction Act ($ Billion)
$270 billion over the next 10 years.
• Renewable Energy Wind, solar and storage tax credits account for about RE & Clean Electricity ITC

$3.2 $0.6

half of the $270 billion of investments. RE & Clean Electricity PTC

$10.4
• The Act modifies and extends the production tax credit (PTC) and the $12.5
Clean Manufacturing
$13.2 $64.8
investment tax credit (ITC), which have historically helped spur wind and Residential & Commercial EE and
Clean Electricity
solar energy investments and projects. $30.0
Nuclear Energy

• Clean Manufacturing is expected to receive tax credits up to $ 36.9

Clean Hydrogen
billion. It will spark domestic manufacturing of low carbon infrastructure
$36.6 New, Used, and Commercial EVs
components. $62.3
Alternative Fuels and EV Charging
• Hydrogen is expected to receive incentives worth $ 13 billion. This can
$36.9
help improve cost competitiveness of clean hydrogen against Carbon Capture

traditionally produced hydrogen. Clean Energy Cost Recovery

Source: Congressional Budget Office

 Presenter Organization
Logo

What should be India Approach for Energy Transition:

• Right size of the Incentive Structure.
• Viability Gap Funding / Industry discussed Incentives.
• GDP is increasing.
• GST collections have reached significant levels.
• Income Tax Paying population has crossed 6 Cr in number.
• GST Collection, Income Tax Collection looking at the Economy size of $ 10
Trillion in 2030-32 needs to be forecasted to look at the size of the
incentives.
• Size of Incentives Required, Period of Incentives ?
• Energy Transition need considering India’s per Capita GDP of $ 5160.
• Stakeholders / Departments / Discussions / Implementation.
 Presenter Organization
Logo

Incentives Announced:
• ACC PLI Policy.
• Hydrogen PLI.
• Solar PV Modules.
• Semi-Conductor.
• Auto Components.
• Auto OEMs.
• White Goods.
• Pharma.
• Textiles.
• Speciality Steels.
• FAME I + II.
”We are the first generation to feel the effect of
climate change and the last generation who can
do something about it.” - Barack Obama
Presented By: Chandrashekhar
What has gone wrong in the last 100 years , Chincholkar
needs to be corrected in the next 25-30 years. Designation: Director –
We need to run 4 times faster to achieve our Corporate Advisory , CES India
Climate Goals … With Huge Capital Mail: chandrashekhar.c@ces-
Commitments.
ltd.com
Thank You -- Join our growing Mobile : +91-9860061387
network today!!!
Contact us:
India Energy Storage Alliance, C/o Customized Energy Solutions India
A-501, GO Square, Aundh, Hinjewadi Link Road, Wakad
Pune -411057, Maharashtra, India
Mail: contact@indiaesa.info