Renewable energy will solve India´s energy challenge

India’s energy consumption is set to grow faster than all major economies in the world. Heraeus believes that its products and services will support India to successfully manage this enormous growth.

Heraeus Photovoltaics` activities in India

Heraeus Photovoltaics offers wide portfolio for India’s rising photovoltaic industry

Heraeus and India are linked by a long standing and close relationship. The company’s roots to India date back to the 1930s and for more than 55 years the company’s businesses are active in India.

Heraeus is convinced to be an important development partner for the country’s photovoltaic industry. With a market share of around 20%, Heraeus Photovoltaics provides high quality and high efficiency silver paste to all local and international solar-cell and panel manufacturers.

Heraeus is very focused on the needs of our Indian customers and will launch a technology initiative in India. We have opened a new office in Delhi, hired a Commercial Director and have set up dedicated resources for India in our engineering Technology Center to serve Indian and SEA customers.

We believe that we can also support the Indian solar industry as we do with other countries all over world.

Electricity from Photovoltaics is the cheapest source of energy in India

India’s government has determined the energy sector as one of their main focus in the next 15 years plan. Energy will be one of the driving forces for the country’s objective to build a modern industrialized economy, to develop its rural areas and to triple its GDP by 2035.

Energy consumption india – influence of urbanization
Source: iStock

India’s energy industry however faces major challenges. Its energy supply is already today not able to meet the demand. Its energy grid is affected by significant instability. Regular electricity blackouts are an issue for the industry and consumers alike. The demand side however is set to grow strongly by 4.2% per year and thus double until 2035. That’s faster than that of all major economies in the world.

The “Make In India” initiative and the recent GST implementation provides a good ecosystem for Indian PV companies to thrive.
Source: iStock

The strong demand is driven by several factors:

  • Electricity for rural areas: Today 240 Million people are without electricity in India. It is the clear goal of the Indian government to provide electricity for all people of India in order to increase living standards and create economic growth.*
  • Rising consumer demand: With rising incomes and 580 million additional electricity consumers by 2040, electricity demand in the residential sector will increase by more than five times. Furthermore, an extra of 315 million people are anticipated to move to India’s cities by 2040.*
  • Demand is growing also in the industrial sector: The industrial energy demand is projected to increase by 4.4% annually to 2040, so as to account for more than 50% of final consumption by 2040.*

* Sources: Bloomberg New Energy Finance 2017 / India Energy Outlook 2015 - World Energy Outlook Special Report

Electricity produced from photovoltaics offers even more for the country’s challenges

  • Electricity from photovoltaics allows for smaller and cheaper grids:
    as solar energy can be produced and stored locally, India could build up a wider decentralized energy network, which could benefit much more from cheaper local or regional grids.
  • Stable energy supply attracts foreign investment:
    Smaller but more stable grids will increase India’s energy supply stability and limit the risks of blackouts. Stable energy supply will thus help to attract more international investment to the country.
  • Renewable energies create huge job opportunities:
    300,000 jobs in the clean energy sector will be created over five years. If India is successful in reaching its target, more than one million employment opportunities could be created.
  • Electricity from photovoltaics does not create any CO2 emissions:
    It could support India’s commitment to the COP21 Paris agreement to decarbonize the world.
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