India’s renewable energy investments overtake investments into fossil fuel plants

• 6 years ago (2018-07-18)
• David Flin

Asia 892 Renewables 776

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The International Energy Agency (IEA) has said in its World Energy Investment 2018 Report that investment in India’s renewable energy sector overtook those made in the country’s fossil fuel-based power generation projects for the first time in 2017. The report said: “India’s power sector investment is changing rapidly, and for the first time, in 2017 investment in renewables topped that of fossil fuel generation. Investment in renewables, at over one-third of total power sector investment, reached nearly $20 billion, driven by a more than doubling of solar PV investment and record spending in onshore wind projects.”

The report added that the investment case for thermal power generation has grown more uncertain, and investments associated with coal plants coming on line in 2017 fell by one-third to under $15 billion. Investments in power projects using coal, gas, and oil as a fuel in India was at $16 billion in 2017.

The IEA report stated: “Final investment decision for new coal power plants fell to their lowest level in 15 years in 2017, while thermal assets classified as financially stressed continued to rise. Investment in dispatchable renewable power plants, notably hydropower and bioenergy, as well as gas power, has remained relatively low and stable. Finally, spending on electrical networks, at over 35 per cent of power sector investment, remains near historic highs.”