Part 8 – India’s drive to develop the green energy sector

India is on a path of rapid economic growth, attracting global attention for its potential and influence. As we move forward, a key question needs to be answered: What will drive India’s future? This question is important because energy, both literally and figuratively, is the basis of development. Traditional energy sources, primarily fossil fuels, are the main cause of greenhouse gas emissions and the climate crisis. However, energy is also key to solving environmental problems.

India has set ambitious targets to address energy and environmental challenges. The country aims to achieve net zero emissions by 2070 and ensure that 50% of its electricity comes from renewable sources by 2030. These goals are not just lofty ideals, but important steps towards a sustainable future. According to the International Renewable Energy Agency (IRENA), by 2050 renewable energy could provide about 90% of the world’s electricity. For India, the transition to renewable energy is not only a global responsibility, but a necessity for its own economic and environmental stability. India’s move towards renewable energy is also a strategic move to reduce its heavy dependence on energy imports, which currently makes the economy vulnerable to global price fluctuations. By leveraging domestic renewable resources, India can increase its energy security and ensure more stable and predictable energy costs. Initiatives such as the National Green Hydrogen Mission, the Production Linked Incentive (PLI) Scheme for high-efficiency solar PV modules and the Green Energy Corridor Inter-State Transmission System for 13 GW RE projects in Ladakh illustrate India’s commitment to this transformation. However, achieving these goals will not be without challenges.

One of the main challenges is the regional diversity in India. Different states have different renewable energy opportunities and potential. States such as Tamil Nadu, Karnataka, Gujarat, Rajasthan, Andhra Pradesh, Maharashtra, Madhya Pradesh, Telangana, Punjab and Kerala have made significant progress in solar and wind energy, often exceeding the national average of 8.2% in renewable energy penetration. Recognizing and exploiting these regional differences is crucial to maximizing the benefits of renewable energy across the country. Tailoring energy strategies to each state’s unique strengths can help optimize the use of renewable energy and promote local economic growth. Another critical issue with renewable energy is its intermittent nature. Solar and wind energy depend on weather conditions, which leads to fluctuations in energy supplies. To manage this variability, India needs robust energy storage solutions. The National Electricity Plan (NEP 2023) indicates the need for 16.13 GW of storage capacity by 2026-27, and the Ministry of Energy report indicates the need for 336 gigawatt-hours of storage by 2030. The development of appropriate storage infrastructure will ensure constant and reliable energy supplies, even if renewable sources do not produce energy.

The transition to renewable energy also brings significant socio-economic benefits. As the renewable energy sector grows, so do job opportunities. A report by CEEW-NRDC and the Skills Council for Green Jobs shows that 52,700 new jobs were created in solar and wind project development in FY22, a significant increase over the previous year. This trend is expected to continue as renewable energy generation capacity increases, creating even more employment opportunities. However, there is an urgent need for skilled labor. The IEA’s 2023 Global Employment Report highlights the global shortage of skilled workers in the clean energy sector, a concern expressed by 160 energy companies around the world.

India’s transition to renewable energy is not only about solving environmental problems, but also about creating jobs. Occupations in the renewable energy sector can be broadly divided into technological development, installation and dismantling, operation and maintenance. Detailed tables included in recent studies show job opportunities in the wind, solar, biomass and small hydropower sectors. These positions include design development, component manufacturing, construction, operations, and roles in education, training, and research. As technology evolves rapidly, workers in these areas must constantly update their skills through ongoing education and job training. In many cases, professional certification can further improve their employability. There are clear benefits to switching to renewable energy, resulting in positive government support for this transition. This sector has the potential to become the country’s next major source of employment, with the potential to significantly boost the rural economy and reduce poverty through the creation of better jobs.

For example, wind energy requires specialists in manufacturing, design development, construction, turbine installation, as well as financial services, transportation, logistics and operations. The government’s commitment to building more renewable energy plants will require a significant workforce. Investment in the renewable energy sector will provide more jobs than ever in the fossil fuel industry. Local businesses and the renewable energy sector will benefit from increased income and employment opportunities.

The renewable energy sector offers a variety of employment opportunities, from fixed-wage positions with health benefits to skills development opportunities for both unskilled and semi-skilled workers. Although many jobs in this industry require skilled labor, there are also significant roles for semi-skilled and unskilled workers, especially in construction, operations and maintenance. Unskilled workers can find work as truck drivers, security guards, cleaners and maintenance workers, while semi-skilled workers can be hired to regularly read equipment displays. One challenge is the lack of consistent data on the employment impact of renewable energy development, which makes it difficult to accurately assess the number of skilled, semi-skilled and unskilled workers needed. However, the job creation potential in the renewable energy sector is significant and represents a significant opportunity for India’s economic and social development.

For India, meeting the human capital needs of the renewable energy industry is crucial. Without adequate training and education, the sector will face labor shortages and individuals will lose employment opportunities. Investing in job training and educational programs specifically for the renewable energy sector will ensure a skilled workforce ready to meet industry demands and enable individuals to participate in this growing field.

India’s renewable energy initiatives show promise, but to achieve these goals we need to understand the practical implications of integrating renewable energy into our existing systems. Improving grid infrastructure, increasing storage capacity and developing a state-specific energy policy are important steps. By meeting the demand for renewable energy through a comprehensive and practical approach, India can ensure a future of clean, affordable and accessible energy, ensuring sustainable growth and a healthier environment for future generations.

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