India's Clean Technology Ambitions: Challenges and Opportunities in the Global Market
Key Ideas
- India aims to boost local manufacturing of clean technologies through policies like the Production-Linked Incentive, targeting self-sufficiency in solar PV, wind, and battery cells by 2030.
- The country is seizing new export opportunities in the clean technology sector, particularly in solar PV modules and wind turbines, by increasing shipments to markets like the United States.
- Challenges such as technological innovation gaps, raw material shortages, and infrastructure limitations pose hurdles to India's clean technology sector growth, impacting cost competitiveness and global alignment.
- While India's hydrogen targets are ambitious, the electrolytic hydrogen sector remains underdeveloped, necessitating a more foundational approach and addressing delays in project timelines.
India is striving to position itself as a key player in the global clean technology market to drive economic growth and reduce carbon emissions. The government has introduced policies like the Production-Linked Incentive to attract investments in solar modules and batteries, with the goal of achieving self-sufficiency in solar PV, wind, and battery cells by 2030. By focusing on stimulating local manufacturing, India is aiming to increase its production capacity significantly in clean technologies.
The country's efforts have already shown results, with India gaining market share in the United States by ramping up module shipments and targeting Western countries for clean technology exports. However, challenges persist, including technological innovation gaps, raw material shortages, and infrastructure limitations, which impact the cost competitiveness of India's clean technology sector.
Moreover, India faces hurdles in aligning its wind turbine product mix with global standards and adapting manufacturing for offshore wind projects. The country's hydrogen targets are seen as ambitious, with the electrolytic hydrogen sector requiring further development and addressing delays due to additional project elements needed for a hydrogen facility.
Despite these challenges, India is optimistic about its clean technology ambitions, leveraging policies and incentives to drive local manufacturing and explore export opportunities in the global market.
Topics
Policy
Electrolyzer
Renewable Energy
Clean Energy
Manufacturing
Challenges
Global Market
Economic Growth
Exports
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