Clean energy has the potential to shore up the Indian economy from the current downturn, according to Amitabh Kant, CEO of Niti Aayog.
Clean energy has the potential to shore up the Indian economy from the current downturn caused by the coronavirus pandemic, according to Amitabh Kant, CEO of the Government of India’s policy think tank – Niti Aayog. In line with his view, Kant has also urged investors to exploit long-term opportunities in the sector.
Speaking at a webinar organised by the Council on Energy Environment and Water (CEEW), Kant said India offers an exciting long-term market for both domestic and international investors in clean energy space.
Adding that capital flow in the developing world is the need of the hour and paradigm shift will be critical for sustainable economies in the post-COVID-19 era. Apart from the liquidity enhancement measures and the rather bold reforms in the energy sector announced by the government, the domestic bond market offers another opportunity that must be tapped to finance the energy transition, Kant said.
“We must encourage that class of capital market investors to invest in the clean energy.”
“There is a need to deepen the market to further the global energy transition. The motivation behind the transition varies across the developing world. Therefore, capital flow in the developing world is the need of the hour,” Kant added.
Stating that green growth can drive the economic recovery for the country from the current downturn, he said India has already set up goals to ensure 24×7 adequate, reliable energy access as well as clean energy transition by reducing the country’s reliance on fossil fuel-based energy.
On the India Energy Modelling Forum, he said it will provide a platform to examine important energy and environmental related issues, and facilitate the exchange of ideas. The forum aims at providing a platform to examine important energy and environmental related issues and inform the decision-making process to the Indian government. It also aims to improve cooperation among modelling teams, government, knowledge partners and funders, besides facilitating the exchange of ideas and ensuring the production of high-quality studies.
Earlier this month, Niti Aayog along with RMI had released a new report which detailed how COVID-19 is influencing the clean energy transition in India, as well as identifying principles and strategic opportunities that if implemented well, will drive economic recovery and maintain momentum towards a green energy economy.
The report laid out four principles as a framework to support India’s clean energy future: 1) invest in least-cost-energy solutions, 2) support resilient and secure energy systems, 3) prioritise efficiency and competitiveness, and 4) promote social and environmental equity.