Analysis on Draft Renewable Energy Act – 2015
A much awaited The Renewable Energy Act – 2015 (DRAFT) has been announced recently. A brief analysis for the same is presented for your kind reference.
Why is the RE Law needed?
The Electricity Act (Amendment) Bill 2015 (proposed) provides many key provisions for the promotion of renewable energy resources including off-grid / decentralised mode of renewable energy production. However, from the perspective of future energy resource planning, there is a need to create a holistic framework to promote the use of renewable energy and its applications not only in electricity (covered under the E-Act) but also in heat and transport segments. There is also a need for an integrated energy resource mapping and planning with right set of institutional and structural support mechanisms for which the RE Law can be a pivotal legislation.
The RE Law also aims to have strong linkages with various other national objectives like:
- National Action plan for Climate Change (NAPCC)
- National Mission on Enhanced Energy Efficiency (NMEEE)
- National Electric Mobility Mission (NEMM)
- National Wind & Waste Energy Mission
- National Manufacturing Policy
- National Skill Development Program
Hence, the RE Law would bring a macroscopic synergies across various national objectives and hence a much coordinated and robust RE development model.
How the new development framework under RE Law would look like?
The RE Law aims to create an exhaustive framework for the development of renewable energy systems (electrical and non-electrical). Architecturally, it can be represented as per the figure shown below.
Overall, the proposed legislation paves way for a very committed, comprehensive and certain development model for renewable energy in India. Enactment of the legislation will create plethora of opportunities for all the RE stakeholders to exercise their might to contribute towards a greener and cleaner India.
The Draft Renewable Energy Act can be Read here.
The REConnect Analysis Report can be accessed here.
Regards,
Team REConnect