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100 © Jain, Mital, and Syal 2016 | Rural Electrification through Solar Energy
sector is immense. In an effort to meet the de- renewable energy, which is around 17% of In-
mands of a developing nation, the Indian energy dia’s total power generation capacity (Abdullah,
sector has witnessed a rapid growth (Ministry of 2011).
New and Renewable Energy [MNRE], 2011a).
If we try to look at all the renewable energy
The electricity consumption per capita in India is sources, it is seen that India is among the top 5
just 566 KWh, which is far below most other destinations for solar energy development in the
countries or regions in the world. Although 85% world as per Ernst & Young’s renewable energy
of villages are considered electrified, around attractiveness index (MNRE, 2011c). Because of
57% of the rural households and 12% of urban its location between the Tropic of Cancer and the
households, i.e. 84 million households in the Equator, India has an average annual tempera-
country, do not have access to electricity. Elec- ture that ranges from 25°C to 27.5 °C. This means
tricity consumption in India is expected to rise to that India has a huge solar potential (Meisen,
around 2280 kWh by 2021-22 and around 4500 2006). Most parts of India have 300 - 330 sunny
kWh by 2031-32 (Garg, 2012). India is heavily days in a year, which is equivalent to over 5000
dependent on fossil fuels for most of its demand. trillion kWh per year— more than India’s total
It is evident by the fact that coal accounts for al- energy consumption per year. India is expected
most 55% of the country’s total energy supplies to have installed solar energy capacity of 20,000
and about 75% of the coal in the country is con- MW by 2022 (MNRE, 2011d). Thus, if we look at
sumed in the power sector. Coal is followed by the renewable energy potential, solar energy
crude oil and natural gas in terms of usage in the provides a great opportunity for India to have a
power sector (India Energy Portal, n.d.). Contin- sustainable energy scenario. Hence, it is im-
ued use of fossil fuels is set to face multiple chal- portant to understand the initiatives taken by
lenges: depletion of fossil fuel reserves, global the Indian Government to promote renewable
warming and other environmental concerns, ge- sources of energy, with specific reference to so-
opolitical and military conflicts and of late, con- lar energy.
tinued and a significant increase in fuel price. Re-
newable energy is the solution to the growing Review of extant literature has shown that there
energy challenges as they are abundant, inex- are many programs and policies that have been
haustible and environmentally friendly (Asif and initiated by the Indian government, both at the
Muneer, 2006). National and the State level for promoting re-
newable energy. However, production and use of
Accelerating the use of renewable energy is also renewable energy in the country is still limited.
indispensable if India is to meet its commitments It is important to understand the programs, pol-
to reduce its carbon intensity. The power sector icies and incentives started by the Government
contributes nearly half of the country’s carbon in detail. Further, there is a need to understand
emissions. On average, every 1GW of additional the awareness and satisfaction level of the end
renewable energy reduces CO2 emissions by 3.3 users, who are the beneficiaries of these renew-
million tons a year. Investing in renewable en- able (solar) energy projects. The study also en-
ergy would enable India to develop globally com- visages to understand the impediments to
petitive industries and technologies that can pro- implementing these initiatives from the perspec-
vide new opportunities for growth and leader- tive of the Government and generate a frame-
ship (Sargsyan et al., 2010). As per the Ministry work for better acceptance and implementation
of New and Renewable Energy, India is the 4th of such programs and policies. The literature re-
largest country with regard to installing power view showed that even though information on
generation capacity in the field of renewable en- the policies, programs and incentives are availa-
ergy. The Wind, hydro, biomass and solar are the ble, the stakeholders’ perspective is yet to be
main renewable energy sources in India. The studied. The present paper focuses on the im-
country has an estimated renewable energy po- pediments associated with solar energy policies
tential of around 85,000 MW from commercially from the stakeholders’ perspective.
exploitable sources (MNRE, 2011b). Currently,
India has an installed base of over 27,000 MW of
Science Target Inc. www.sciencetarget.com
