Renewables will boost Indian economic growth & job creation

As the world’s third largest economy and the fourth largest energy consumer, India is set to surpass China as the world’s most populous nation, which will mean a sustained increase in the country's energy needs.

India has the lowest development costs for renewable technologies worldwide and also provides some of the cheapest electricity in the world with an average cost of $0.04/kWh. The cost of generating power from renewable energy sources has dropped below the cost of fossil fuels, thus making sustainable energy development a viable, beneficial option.

Solar PV is leading the cost decline, with solar PV module costs falling more than 75% since the end of 2009 and the cost of electricity from utility-scale solar PV falling 50% since 2010. India’s average installation costs for solar PV have also fallen to $1,670/kW in comparison to Europe which have an average total for installation of $2,330/kW.

As well as renewable energy becoming increasingly economical, Amin stated that it will provide strong social and environmental benefits. This will also simultaneously improve public health and security for the country as well as creating jobs to stimulate economic growth. It will also reduce air pollution, boosting GDP and improving the balance of trade. The renewable energy industry currently employs 6.5m people globally, with 391,000 of these jobs held in India, making it the fourth largest employer in the sector. IRENA predicts that this number could top 16m by 2030, which will mean the demand for energy will also continue to grow.

“India’s increasing demand for energy can no longer be met through traditional energy sources alone,” said Adnan Z. Amin in his keynote address. “Renewable energy must be a major part of the solution because it can meet the demand cheaply and sustainably while at the same time achieving broader socio-economic objectives. Falling prices are driving renewable energy investment in India, which rose 13% last year and is expected to surpass $10Bn in 2015. Adoption of increasingly cost-effective renewables holds the genuine promise of an age of socio-economic development, powered by clean, increasingly decentralised, and sustainable energy. The opportunity for India is tremendous.”

“India has one of the most ambitious renewable energy programmes in the world and developments in India will strongly influence the trajectory of the energy transformation worldwide,” Amin concluded. “The signs of progress so far are encouraging, and the attendance here today is testament to the recognition that renewables are a fantastic investment opportunity.”