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INTRODUCTION
Availability of adequate amounts of energy and water at affordable prices and equitable access to them for all sections of society will be a defining characteristic of life in the 21st century. As correctly pointed out by the Hon. President of India in his 59th Independence day address to the nation, India with 17 per cent of the world population and just 0.8% of the world’s known oil and natural gas resources is going to face serious energy challenges in the coming decades. The Hon. President talked of the need for ‘energy security’ as a transition to total ‘energy independence’. The draft law prepared by WISE charts a road map for such energy independence.
Besides energy independence, the devastating impact of climate change has become an issue of critical importance. Energy production using fossil fuels is the major contributor to greenhouse gas emissions. Hence, transitioning to a low-carbon energy economy is the real solution for mitigation of the impacts of climate change.
GREEN ELECTRICITY
India has huge potential of producing electricity from renewable sources. Our achievement so far is about 10406.69 MW, as against global installed capacity of approximately 2,00,000 MW (renewable electricity generation). While India’s achievement is commendable, it is necessary for us to keep pace with fast growth in developed countries. So the draft law proposes to increase the target for electricity generation from renewables to 10% by 2010 (as against 2012 currently) and 20% by 2020, of the total electricity generated in the country (and not as a percentage of installed capacity). The draft law also seeks to remove some ambiguities or amplify some provisions in the Electricity Act, 2003, relating to provisions dealing with renewable electricity generation. Such clarifications and amplifications deal with issues of access to the grid, grid expansion costs, charges for access to the grid network and tariff setting. In all these areas, preferential and priority treatment to renewables has been proposed to hasten its growth.
DECENTRALIZED RENEWABLE MICROSYTEMS
To address the energy problems faced by the rural areas and to facilitate faster growth of grid-independent distributed and small-scale (micro) generation, numerous provisions have been included in the draft law. Special provisions for meeting dispersed pumping energy needs of the agricultural sector using modern technologies have been included. Other advanced provisions relating to renewable stand-alone and microsystems are as follows:
BIOFUELS
A separate chapter of the law deals with accelerating biofuel development and transportation energy to displace fossil fuels. A time-bound Renewable Fuel programme covering ethanol and biodiesel has been proposed. Backward and forward linkages of the programme to facilitate employment and rural livelihood improvements are also included. Time-bound programmes for biodiesel engine production, introduction of hybrid vehicles, fuel cell bus demonstration, increasing railroad efficiency and development of ultra-efficient aircraft technology have been proposed. Most importantly, modern concepts of Renewable Transport Fuel Obligations have been proposed.
HYDROGEN ROAD MAP
A very futuristic provision made in the proposed law is a definite road map for developing a hydrogen and fuel cell economy. Hydrogen has extremely varied applications, from electricity storage, as transportation fuel, to fuel cells which can power all imaginable devices, as well as huge multi-storeyed buildings. Care has been taken to include safety and environmental protection safeguards while developing a futuristic hydrogen energy infrastructure.
THREE TECHNOLOGY MISSIONS
Three separate time-bound Technology Missions have been proposed, to begin with, to achieve the objectives of energy independence. Such technology missions are to be established in the areas of: Solar Energy, Biofuels and Hydrogen.
GROWTH WITHOUT SUBSIDY
All the growth and development is proposed to be achieved through introduction of innovative market-based policies and instruments. WISE has done extensive documentation of over 4000 pages of such international best practices. Some of them are renewable energy certificates, renewable rebate programmes, etc. Their introduction would facilitate market growth, without government subsidies. Government participation would, however be necessary in research and development and infrastructural improvements. Establishment of Renewable Energy Development Funds in all states (on the pattern of Maharashtra) has also been proposed.
USER & STAKEHOLDER PARTICIPATION
Involvement of all National Research Laboratories, IITs, universities, industry, specialist, institutions, non-government institutions and user groups has been proposed. Participatory approaches have become most important in sustaining our development.
NATIONAL RENEWABLE ENERGY COUNCIL
To guide and advice comprehensive achievement of the objectives of the Act, a national level apex body called the Renewable Energy Council with the Central Minister for New and Renewable Energy as its Chairman has been proposed. The Council shall have 15 members drawn from the government (only 5), industry, academia, non-government institutions, researchers, and user-groups.
ACTION PLAN FOR ADOPTION OF THE LAW
The proposed model law is the distilled experience of many experts from around the country and international best practices. If adopted and enacted by Parliament, it will go a long way in achieving energy independence. An Action Plan and a Working Group to implement the plan aimed at advocating adoption and enactment of such legislation by Parliament have been created. We have declared 2007 as the year of the R.E. Law for India. An advocacy campaign has been launched.
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