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Dialogue
CEEW Renewable Energy Dialogue 2018

29 Jun 2018   |   1000 – 1600

Organised by CEEW, Shakti Sustainable Energy Foundation (SSEF), Ministry of New and Renewable Energy (MNRE), International Energy Agency (IEA), International Solar Alliance (ISA), Renewable Energy Policy Network for the 21st Century (REN21)

About the Event

The CEEW Renewable Energy Dialogue offers a platform for engaged deliberations on the role of different stakeholders in advancing renewable energy deployment, balancing both domestic priorities and international mitigation ambitions and commitments.

The Dialogue brings together several national and international stakeholders from the renewable energy community to deliberate on the drivers and challenges facing the sector, both in India and globally.

The second edition of RE Dialogue will have a specific focus on market needs, creation and trends. With participants from all relevant stakeholder communities and multiple geographies, the Dialogue will aim to reduce information asymmetries and make incisive calls for impactful actions.

For event queries

Sahil Khillan

Communications Associate

sahil.khillan@ceew.in

In pictures

Key speakers

  • Anand Kumar

    Secretary, Ministry of New and Renewable Energy (MNRE), Government of India

  • Jamshyd N. Godrej

    Chairman, Godrej and Boyce Manufacturing Company and Chairperson, Council on Energy, Environment and Water (CEEW)

  • David Turk

    Acting Director, Sustainability, Technology and Outlooks, International Energy Agency (IEA)

  • Montek Singh Ahluwalia

    Former Deputy Chairman, Planning Commission, Government of India and Trustee, Council on Energy, Environment and Water (CEEW)

  • Krishan Dhawan

    CEO, Shakti Sustainable Energy Foundation (SSEF)

  • Manoj Kohli

    Executive Chairman, SoftBank Energy

  • Sunil Jain

    CEO, Hero Future Energies

  • Nitin Prasad

    Chairman, Shell India

  • Ramesh Kymal

    CEO, Siemens Gamesa India

  • Geeta Gouri

    Former Member, Competition Commission of India

  • Vineet Mittal

    Chairman, AVAADA Group

  • Praveen Kumar

    Former Member, Competition Commission of India

  • Jatinder Nath Swain

    Managing Director, Solar Energy Corporation of India (SECI)

  • Neha Kumar

    India Programme Manager, Climate Bonds Initiative

  • P.R. Kumar

    CEO, BSES Yamuna

  • Chintan Shah

    Director – Technical, Indian Renewable Energy Development Agency (IREDA)

  • Manu Srivastava

    Principal Secretary & Commissioner, New and Renewable Energy Department, Government of Madhya Pradesh & Managing Director, MP Urja Vikas Nigam

  • Pankaj Batra

    Member (Planning), Central Electricity Authority (CEA)

  • Vibhuti Garg

    Associate and Senior Energy Specialist, International Institute for Sustainable Development (IISD)

  • Simon Stolp

    Country Lead (India) – Energy and Extractives, World Bank Group

  • Paolo Frankl

    Head, Renewable Energy Division, International Energy Agency (IEA)

  • Sujoy Ghosh

    Country Head – India, First Solar, Inc.

  • Vivek Sharma

    Senior Director, CRISIL Infrastructure Advisory

  • Kushagra Nandan

    Co-Founder and President, SunSource Energy

Venue

Common Risk Mitigation MechanismFeasibility Study


November 2017 |

Citation: Council on Energy, Environment and Water, Confederation of Indian Industry, The Currency Exchange Fund, and Terrawatt Initiative (2017) 'Common Risk Mitigation Mechanism' Feasibility Report, November

Overview

This feasibility report on the Common Risk Mitigation Mechanism (CRMM) has been driven by governments of 17 nations with strong solar potential as a way for scaling investments in solar power generation in their countries and in other developing countries. In May 2017, these nations mandated a multi-stakeholder Taskforce consisting of the Council on Energy, Environment and Water (CEEW), the Terrawatt Initiative, The Currency Exchange Fund (TCX), and the Confederation of Indian Industry (CII), to conduct a study on the feasibility of implementing CRMM, including broad based consultation with relevant stakeholders.

The study is in line with the framework of the International Solar Alliance (ISA), and specifically addresses its mandate to aggregate and harmonize frameworks for investment. In particular, this study aims to operationalise ISA's programme for ‘Affordable Finance at Scale,’ initiated by both India and France.

The study outlines the economic, legal, and operational feasibility conditions for the successful implementation of the Common Risk Mitigation Mechanism. It was released at COP23 in Bonn in November 2017.

Broken Hill solar park in New South Wales, Australia (Source: Wikimedia Commons)

Key Findings

The study is based on the following findings of the Taskforce

  • Financing of solar power generation assets in the majority of developing countries suffers from inadequate availability of risk management tools, a high perception of risk, high transaction costs, small project sizes (granularity) and lack of scale.
  • Investors, developers, and other stakeholders require transparency and clarity of process – which in some countries often is missing.
  • The international development community and private commercial financiers are eager to participate in the creation of a global solar market.
  • Development Finance Institutions have created a successful track record in leveraging private sector capital through risk mitigation mechanisms, and are now seeking to scale-up this leveraging to even larger levels under the theme of “billions to trillions”, including mainstream deployment of local capital and savings.
  • Private and institutional capital markets have successfully deployed green bonds and innovative structures for securitising receivables from various sources, including renewable power investments.

All the ingredients for expanding access to affordable solar energy in developing countries already exist. These efforts could accelerate more rapidly for the benefit a large number of countries, if they are conducted in a coordinated manner at scale, and within a common platform.

Key Recommendations

The Taskforce has presented the following recommendations for formulating and implementing the Common Risk Mitigation Mechanism:

  • Develop an easily accessible first demand financial guarantee instrument (comprising a bundle of different risk management instruments ranging from guarantees, insurance, to swaps, which will cover risks in both local currencies and hard currencies) intended to provide private institutional investors (investors) in Solar PV investments in developing countries with a high level of security against (i) the risks of currency exchange, (ii) the risks of transfers and inconvertibility, (iii) the risks of electricity purchasing counterparties, and (iv) the political risks (together the Guaranteed Risks) while crowding-in existing specialized instruments for risk mitigation.
  • Establish a Guarantor Entity benefiting from a strong investment grade credit rating, and which is well capitalized by public and private funds (including from States, Development Finance Institutions and any other public or private investor wishing to participate) with cash, lines of credit and sovereign guarantees.
  • Establish an independent company which operates a digital platform with a management mandate from the Guarantor Entity.
  • Launch a pilot project in 2018, which will be completed within 3-5 years from inception. The aim of the pilot is to achieve a critical size and demonstrate its cost effectiveness in pooling and aggregating capital, and mitigating risks at an international level. Its progressive deployment will target an ultimate USD 1 billion Guaranteed Entity capitalization and an underlying asset portfolio of approximately USD 15 billion in some twenty volunteer countries by the end of the Pilot Project. Simulations in median scenarios demonstrate limited requirement for the capitalisation of the Guarantee during the first 2 years.
  • Designate a multi-stakeholder working group to prepare a detailed project implementation plan and implement it within 9 to 15 months.

The Charanka solar park in Patan, Gujarat (Source: Wikimedia Commons)

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Dialogue
India's Energy and Climate Policy: Pathways towards NDC and Mid-Century Strategy

28 Feb 2018   |   0930 - 1300

Organised by CEEW

About the Event

At the Dialogue, The Council released its study 'Sustainable Development, Uncertainties, and India's Climate Policy: Pathways towards Nationally Determined Contribution and Mid-Century Strategy’. This is the first-in-depth modelling-based analysis of India’s energy and climate policy and presents insights from uncertainty assessment of 220+ scenarios.

  • The future of coal, solar, and other energy sources in India's electricity generation mix for up to 2050.
  • The cost implications of integrating solar and renewable energy into India's electricity generation mix.
  • The implications of uncertainties related to energy efficiency improvements, as well as a higher rate of energy demand growth in the end-use sectors for India's emission intensity.
  • India's progress towards 'Nationally Determined Contribution' targets related to non-fossil energy's share in electricity generation capacity, as well as emission intensity of GDP.
  • The transformation required in India's energy systems to achieve some 2-degree C compatible pathways, and insights for Mid-Century Strategy.
  • The synergies and trade-offs between stringent climate policy and sustainable development.

In his opening remarks, Dr Anil Kakodkar, Trustee, CEEW, and Former Chairman, Atomic Energy Commission, said, "India's future energy mix must focus on universal energy access, social development, and economic growth. We must consider nuclear energy, as it is the only reliable non-fossil fuel source of electricity. All other energy sources are unpredictable and variable. We need to set up 20 nuclear plants with a 32 GW capacity, with international collaborations. In addition, we must focus on other technologies, including coal-bed methane, coal gasification, splitting water for hydrogen, solar thermal, etc."

During his keynote address, Mr Montek Singh Ahluwalia, Trustee, CEEW, and Former Deputy Chairman, Planning Commission, Government of India, said, “Historical responsibility matters and we need to build a basis of differentiated responsibility. In recent years, climate change discourse has seen the focus shift to renewable energy. Going forward, equal importance must be given to energy-efficient technologies. I compliment The Council's research focusing on internalising our longstanding sustainability goals."

Key discussion points

  • India’s NDCs can be enhanced – if policymakers find solutions to the crucial question of who will pay the cost of integration and other costs.
  • Non-fossil fuel energy sources will garner a share of at least 48 per cent in India's electricity generation capacity by 2030.
  • The energy sector carbon dioxide emissions intensity of GDP will decline by at least 48 per cent between 2005 and 2030, on the back of significant developments in energy efficiency of end-use sectors such as residential, transportation, and industrial sectors.
  • Cost of integrating variable renewable energy into the electricity grid is a key element of India's energy transition to a low-carbon economy.
  • To be consistent with the 2 Degrees C target, India needs to cut CO2 emissions by at least 4.5 per cent per annum post-2030 to adhere to an emissions budget of 145 GtCO2, based on techno-economic analysis.
  • While meeting climate commitments, implications for energy access, jobs, industrial competitiveness, and water are important for informing the mitigation choice.

For event queries

Sahil Khillan

Communications Associate

sahil.khillan@ceew.in

In pictures

Key speakers

  • Anil Kakodkar

    Former Chairman, Former Atomic Energy Commission and Trustee, Council on Energy, Environment and Water (CEEW)

  • Montek Singh Ahluwalia

    Former Deputy Chairman, Planning Commission and Trustee, Council on Energy, Environment and Water (CEEW)

  • Purnamita Dasgupta

    Chair in Environmental Economics and Head, Environmental and Resource Economics Unit, Institute of Economic Growth (IEG)

  • Navroz Dubash

    Senior Fellow, Centre for Policy Research (CPR)

  • Ajay Mathur

    Director-General, The Energy and Resources Institute (TERI)

  • Kirit Parikh

    Chairman, Integrated Research for Action and Development (IRADe)

  • Arunabha Ghosh

    CEO, Council on Energy, Environment and Water (CEEW)

  • Vaibhav Chaturvedi

    Research Fellow, CEEW

Venue

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National Dialogue
Solar for Irrigation in India

18 Jan 2018   |   1000 - 1600

Organised by CEEW, Shakti Sustainable Energy Foundation (SSEF), Ministry of New and Renewable Energy (MNRE), and Swiss Agency for Development and Cooperation (SDC)

About the Event

In collaboration with the Ministry of New and Renewable Energy, Shakti Sustainable Energy Foundation, and the Swiss Agency for Development and Cooperation, CEEW organised the first National Dialogue on ‘Solar for Irrigation in India’. Amitabh Kant, CEO, NITI Aayog delivered the keynote address and released three CEEW studies on solar pumps, capturing three years of research on the subject.

The Dialogue brought together multiple stakeholders including researchers, policymakers, financiers, entrepreneurs, and farmers to share their respective experiences and synthesise a way forward for scaling sustainable deployment of solar for irrigation. One of the major highlights of the Dialogue was the live demonstration of a trolley and rickshaw-mounted mobile solar pump, deployed by Claro Energy as a pumping service in Bihar. The opening panel discussion featured grassroots stakeholders - farmers, NGO representatives, and sales representatives of manufacturers.

Delivering the keynote address, Mr Kant, said, “Solar pumps can strengthen Indian agriculture by fulfilling unmet irrigation needs while reducing the burden of subsidies on the government and increasing farmers’ resilience to climate change. To scale-up solar pumps, we must strive to create bottom-up demand by focusing on technology demonstration and raising awareness levels among farmers. I congratulate CEEW and Shakti Sustainable Energy Foundation on the release of these studies. These are policy pertinent research studies and present actionable recommendations."

He also released three reports ‘Adopting Solar for Irrigation: Farmers' Perspectives from Uttar Pradesh', ‘Solar for Irrigation: A Comparative Assessment of Deployment Strategies’, and ‘Financing Solar for Irrigation in India: Risks, Challenges, and Solutions’ at the Dialogue.

Key discussion points

  • Last mile challenges in sustainable deployment of solar for irrigation.
  • Understanding various deployment approaches from the perspectives of social, economic, and environmental sustainability.
  • Risks and opportunities in financing solar-based irrigation systems.
  • The way forward for solar- based irrigation – policy and pathways towards sustainable deployment.

For event queries

Sahil Khillan

Communications Associate

sahil.khillan@ceew.in

In pictures

Key speakers

  • Amitabh Kant

    CEO, NITI Aayog

  • Krishan Dhawan

    CEO, Shakti Sustainable Energy Foundation (SSEF)

  • Marylaure Crettaz

    Head, Swiss Cooperation Office and Counsellor

  • Abhishek Jain

    Senior Programme Lead, Council on Energy, Environment and Water (CEEW)

  • Gaurav Kumar

    Co-founder and Director, Claro Energy

  • Shalu Agrawal

    ISEP Research Associate, John Hopkins School of Advanced International Studies

Venue