Non-hydro RE capacity addition grew by 61 per cent in Q1

08 Aug 2022 CW Team

New capacity addition of non-hydro renewable energy increased to 4.2 gigawatts (GW) during the first quarter of FY23 compared to 2.6 GW installed in the same period in FY22, according to a recent report by the CEEW Centre for Energy Finance. This was nearly a 61 per cent jump in new renewable energy (RE) capacity addition on a year-on-year basis.

“The sharp increase in capacity generation could be attributed to heightened investor interest in the sector and low base in the corresponding quarter when capacity installations took a hit due to the Covid-induced lockdowns,” the report said.

It added that overall, RE accounted for 98 per cent of the total 4.3 GW electricity generation capacity added during the quarter.

Within RE, solar energy dominated, representing 89 per cent of the total 4.2 GW of RE added. Wind energy capacity additions continued to lag at 430 MW.

In terms of capacity auctioned, a significant 48 per cent of the 3.15 GW of RE auctioned in the quarter comprised innovative procurement formats such as hybrid RE and floating solar.

“Continued low share of wind capacity addition is a matter of concern as India’s power sector transition cannot be based on solar alone,” said Gagan Sidhu, director, CEEW-CEF.

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