India's Clean Power Sector Could Attract $169 Billion By 2020
India could attract $169 billion in clean power project investments over the next decade, according to a report released today by The Pew Charitable Trusts. Within the G-20, India is on track to climb from tenth to third place in terms of clean power project investments worldwide. Enhanced clean energy policies would increase private investment in India by 48 percent compared to business-as-usual, tied with the United Kingdom for the highest rate of increase in the G-20.
Global Clean Power: A $2.3 Trillion Opportunity examined projected private investment in wind, solar, biomass/energy from waste, small hydro, geothermal and marine energy projects. The underlying data for this report were compiled by Bloomberg New Energy Finance, the world's leading provider of news, data and analysis on clean energy and carbon market finance and investment. The report modeled three policy scenarios to determine future growth through 2020: Business-as-usual: no change from current policies; Copenhagen: policies to implement the pledges made at the 2009 international climate negotiations in Copenhagen and; Enhanced clean energy: maximized policies designed to stimulate increased investment and capacity additions.
"The message of this report is clear: countries that want to maximize private investments, spur job creation, invigorate manufacturing and seize export opportunities should strengthen their clean energy policies,” said Phyllis Cuttino, director of the Pew Climate and Energy program.
The report found that the clean energy sector continues to be an immense economic opportunity. G-20 members have the potential to gain an additional $546 billion in clean power project investments over the next decade compared to Business-as-usual. Under the Enhanced clean energy scenario, the projected $2.3 trillion investment in clean power projects would be equivalent to adding the entire GDP of the United Kingdom to the global economy. Over that same time span, total renewable energy capacity additions in the G-20 could reach 1,180 gigawatts, almost four times the amount of renewable energy capacity that exists today.
In India, total attracted clean power project investment is projected to be:
- Business-as-usual: $118 billion by 2020
- Copenhagen: $125 billion by 2020
- Enhanced clean energy: $169 billion by 2020
Other key findings about India include:
- Under all policy scenarios, India, China, Japan, and South Korea will account for 40 percent of clean power project investments over the next 10 years.
- Over the next decade, India is projected to increase its renewable energy generating capacity to 91 gigawatts, five times what is currently installed.
“Strong and consistent policies in Asia have helped double private investment over the past two years. Asia is now the leading region for clean energy investment, and its lead is set to extend in the near future unless Europe and the US make a step change in their support for the sector,” said Michael Liebreich, CEO of Bloomberg New Energy Finance.
Read the entire report, including other key findings, country profiles, interactive graphics and video here.
The Pew Charitable Trusts is driven by the power of knowledge to solve today's most challenging problems. Pew applies a rigorous, analytical approach to improve public policy, inform the public and stimulate civic life.