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According to the recently released report “India Wind Energy Market Outlook 2023-2027,” jointly published by the Global Wind Energy Council (GWEC) and MEC Intelligence (MEC+), India is on its way to emerge as a significant player in the global wind energy supply chain. The report sheds light on India’s potential to tap into the export market’s immense supply chain opportunities while addressing the local challenges associated with scaling up wind energy deployment within the current decade, aligning with ambitious targets.
As per the report, based on the ongoing growth rate, India is slated to add approximately 22 GW of wind energy capacity over the next five years. However, with heightened demand from central and state markets, as well as the commercial and industrial sectors embracing clean energy, this could be more than 26 GW under a more accelerated growth scenario. Interestingly, the Indian government aims to achieve a cumulative installed wind energy capacity of 140 GW by 2030. But practically, 100 GW by 2030 appears to be more realistic. With strategic policy interventions, the projected shortfall can be avoided.
The India Outlook from GWEC and MEC+ highlights that in 2022, 10.4 GW of tenders were issued for standalone wind and hybrid projects. This followed the reopening of state tenders for standalone and hybrid wind, which were nearly dormant for the past few years after the introduction of the e-reverse auction regime.
Ben Backwell, CEO of GWEC, noted, “The leadership already demonstrated by the Government of India to enable the expansion of wind energy in the country’s electricity mix is commendable. The potential is there for even more, and proactive policy support could enable more than 68 GW of total wind energy installed in India by 2027. India has an enormous strategic opportunity to leverage an invigorated domestic market and its existing wind manufacturing base and knowledge to become a key player in the global wind supply chain. This would establish the country as a renewable industrial hub in Asia and beyond, advancing climate action across the globe.”
“Wind Power will continue to play an important role in the global energy transition in the coming decade,” added, Sumant Sinha, Chairperson GWEC India and Founder, Chairman and CEO, ReNew, adding, “India, with an extremely conducive policy environment under the current government, a fairly advanced manufacturing supply chain and growth of new opportunities like the C&I business and offshore wind, is uniquely positioned to play an important role in helping the world meet its ambitious 2030 targets”
Sidharth Jain, MD, MEC, said, “India’s wind power sector stands at an inflection point looking at multiple opportunity areas. With a growing domestic market and evolving global supply chain dynamics, Indian companies have exciting prospects to serve the global demand for wind equipment supply. Amidst rising domestic volumes and aligned policies, the Indian market expanded significantly in 2022, awarding 4.7 GW tenders. Promisingly, 3.5 GW tenders have been awarded, and 5 GW more announced for 2023. In parallel, new horizons like offshore wind and the hydrogen ecosystem fuel growth towards a 10 GW wind market by 2030, practical estimates place it at 5 GW due to challenges like policy transmission delays and infrastructure constraints.
India’s strategic geopolitical position and scale make it a prime candidate to develop as a global supply chain hub, provided the industry shores up competitiveness. This report aims to examine the facts, offering insights and recommendations to guide the industry’s trajectory.”
Kane Xu, Chairman, Envision Energy India added, “The India Wind Energy Market Outlook 2023-2027 provides valuable insights into the Indian wind energy landscape. By fostering extensive collaboration between the government, industries, and institutions, the adoption of wind energy can be accelerated. The upcoming decade offers a pivotal window for the Indian wind industry to translate intentions into tangible actions. Together, we can make significant strides toward reaching the milestone of net-zero emissions!”.