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seCtor overvieW by policy favouring domestic production while reducing imports as
much as possible, amid a substantial growth of coal consumption
driven by economic growth and higher power demand. Earlier, 100%
100% FDI FDI under automatic route was allowed for coal and lignite mining
in exploration and production; 49% FDI in refining under automatic route for captive consumption by power projects, iron and steel and ce-
INR 7.01 bn ment units and other eligible activities. The Government has now
decided to permit 100% FDI under automatic route for sale of coal,
total inbound FDI (2000-19); FDI increased by 22% from April 2014 – for coal mining activities which would fully open up coal mining to
March 2019
foreign players. This would help get latest technologies, reduce fuel
nd
2 largest shortages that have crippled the power sector, and boost economic
refiner in Asia. From a total capacity of 63 MMTPA in 1998, the Indian growth by attracting fresh investment.
refining sector has increased nearly fourfold to reach a capacity of 234
MMTPA from 23 refineries new Investment Avenues
3 largest
rd
consumer of crude oil Channelizing investment to areas crucial for energy sustainability is
important. A variety of investment opportunities are available. Solar
41.87 bn tonnes PV, wind power (onshore & offshore), bio-fuels, energy efficiency, VRE
conventional hydrocarbon resources in 26 sedimentary basins of the integration and associated technologies, green corridors to evacuate
country (oil and oil equivalent of gas) renewable power, energy storage comprising of multiple technolo-
gies, E- Mobility eco system, smart grid technologies, building effi-
ciency projects, efficiency improvement in energy intensive sector
mestic natural gas output, which in turn will inevitably lead to signifi- are all investment opportunities. Opportunities exist in the entire
4
cant investment towards infrastructure development . value chain- manufacturing, supply chain and services in these ar-
eas. The adoption of new disruptive technologies such as smart grid
Power sector technologies, battery storage, EVs, Al based automation etc. needs to
be facilitated by creation of awareness, capacity building of critical
Overall investment in power sector across generation, transmission stakeholders such as utilities and creating a conducive ecosystem for
and distribution is likely to be in the tune of USD 250 bn over the next attracting investors such as angel funds, venture capitalists, develop-
decade. In the Union budget 2019-20, the Government has proposed ment institutions, which can assist in start-up funding towards these
package for the power sector and has announced plans to launch newer areas in energy technology going forward.
tariff and structural reforms in the sector. The Government has pro- Significant efforts are being made to improve the investment cli-
posed “One Nation-One Grid” model to ensure power availability to mate in the country by increasing transparency and laying down
the states at affordable rates. well defined procedures. Towards this government is in process to
Significant efforts are being made to improve the investment climate launch a scheme to invite global companies through competitive
in the country by increasing transparency and laying down well defined bidding to set up mega-manufacturing plants in advanced technol-
procedures. Towards this government is in process to launch a scheme ogy areas such as PV cells, lithium storage batteries and solar pow-
to invite global companies through competitive bidding to set up me- ered charging infrastructure.
ga-manufacturing plants in advanced technology areas such as PV cells,
lithium storage batteries and solar powered charging infrastructure.
1 World energy Investment (WeI) report by the International energy Agency (IeA)
published on May 14, 2019.
coal sector 2 Invest India
3 Economic survey of India 2018-19)
Coal supply investment in India grew by 5% in 2018, underpinned 4 Deloitte: the evolving energy Landscape in India I opportunities for Investments

EnErgising sustainablE & ProsPErous FuturE 73