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On February 1, the Budget for fiscal year 2023–24 will be presented to the parliament. Amidst the rising concern for climate change and increasing pollution, the new budget is expected to be a blessing as finance minister Nirmala Sitharam has announced plans to install 500 GW of renewable energy capacity by 2030. India has taken the lead in enhancing energy availability, security, and climate change mitigation. In order to advance the share of renewable energy in India's total energy composition, the Indian government has implemented several policy efforts that foreshadow this ambition. In order to advance its "Atma nirbhar Bharat" or "made in India strategy" and pave the way for India's independence, the government has imposed a basic customs levy in India on solar cells and modules imported from China. The Government of India additionally provided `19,500 crores to production-linked incentive programmes for solar energy modules in the 2022–2023 Union Budget. Additionally, the government has made it simple for consumers to acquire green energy by giving them open access, and it has streamlined the process of registering for and trading in renewable energy certificates in order to incentivize businesses and people on a smaller scale (RECs). The Central Electricity Regulatory Commission's (CERC) general network access requirements were added to these policy measures by the government.

Initiatives taken by renewable RE companies

The Union Budget for 2023–24 is quickly approaching, and while businesses are ready for certain changes, they also aim to contribute to India's optimistic outlook for 2023. Hero Future Energies (HFE), the renewable energy division of the renowned Indian industrial giant Hero Group, has been gaining ground in the renewable energy market. Companies like HFE become strategically essential from a domestic and international perspective as green hydrogen and decarbonization gain traction. Due to its status as an independent power producer (IPP), HFE is also familiar with the industry's different difficulties.

Initiatives taken by the government

The Energy Conservation (Amendment) Act, 2022, is one of the government's most recent efforts to ensure effective use of energy and its conservation. The recently passed Energy Conservation (Amendment) Act, 2022 alters the current Energy Conservation Act, 2001 and calls for the integration of the Bureau of Energy as a nodal body to implement policies for energy efficiency and conservation.

The government has made it easy to trade carbon credit certificates on the open market as a result of the amendment's passage. This will make it possible for organisations who invest in technology or environmentally friendly solutions to lower their overall energy use and carbon emissions. The government will establish a carbon credit trading system in due time to reduce carbon emissions. As soon as possible, the government will be taking initiative to establish a system for trading carbon credits to reduce carbon emissions, and it will issue certificates for those credits to organisations that adhere to its rules.

The RE industry needs specific policies

Due to low tariffs, significant investment requirements, and difficulties in project implementation, the renewable energy sector is an unattractive investment option for many investors. Due to intense market rivalry and other variables that result in low return, the tariff rate is continuously decreasing. The government must immediately develop specific measures to promote the expansion of the renewable energy sector, particularly the wind sector. The government needs to focus on technical progress for wind energy original equipment makers and step-up research initiatives (OEMs).