BUDGET 2024 EXPECTATIONS LIVE UPDATES: WHAT COULD BE ON SITHARAMAN'S AGENDA FOR RENEWABLE INDUSTRY?

Budget 2024 Expectations Live Updates: "As the nation aims to strengthen its renewable energy leadership, stakeholders have outlined key expectations for the Budget 2024. There is a pressing need for increased financing and relaxed regulations to foster investment. Streamlining land acquisition and resolving Right of Way (RoW) issues are critical for facilitating project implementation and reducing costs. The February 2024 Interim Budget introduced the PM-Surya Ghar Muft Bijli Yojana, promoting solar rooftop installations and viability gap funding for offshore wind energy. Key expectations include Viability Gap Funding for Battery Energy Storage Systems and capital subsidies for smart grid implementation. Import duties on solar cells should be reduced to zero to lower costs and tariffs for consumers. The Production-Linked Incentive (PLI) Scheme aims to significantly boost solar PV module manufacturing capacity," said Jeetu Bairathi, Partner, Financial Due Diligence, BDO India.

"Additionally, the automotive sector anticipates the launch of FAME-III, aimed at promoting hybrid and electric vehicles in India through public charging infrastructure investments and potential GST reductions. Investment in solar, wind, green hydrogen, and battery storage is crucial, with the National Green Hydrogen Mission's funding doubled to INR 600 crore this year. Lowering GST rates for materials like cement and iron & steel used in Pumped Hydro Storage to 5% could enhance competitiveness and optimize capital expenditure," added Bairathi.

Overall, these budgetary measures are essential for achieving the target of 500 GW of non-fossil fuel-based energy by 2030 and aligning with net-zero goals by 2070, ultimately fostering a greener and more sustainable future, said Bairathi.

Source:- Economic Times