India is a market of 1,200 million inhabitants where inspite of experiencing an increasing demand of energy by a growing middle class, the lack of infrastructure is limiting industrial development. The School of Industrial Organization (EOI by its acronym in Spanish) last week hosted a panel discussion on challenges and opportunities where H.E. Mr. Sunil Lal Ambassador of India to Spain , explained the business opportunities offered by the country. Not only do they need expertise in the tourism arena but also in infrastructures and technologies which Spain can offer.
As H.E. Mr. Sunil Lal, the director of Spain India Business Circle and Associate, DEVIN International Consulting, Pradeep Bhargava stated that «it is not an easy market given its bureaucracy that fortunately is being resolved over recent years.» And yet «one must take into account local conditions, given the diversity of the country and look for tailor- made solutions, choosing the right local partner with whom we want to partner.» The Brand Spain according to Carlos Franco, Director Africa EPTISA and former Director India, PROINTEC, is highly regarded in the construction and engineering business environment.
Pradeep Bhargava noted that economic evolution is still today strongly influenced by the lack of infrastructure, which is one of the biggest inhibitors to the country»s future development. He also pointed out that the Government is aware that the country must take advantage of its industries» operational capacities and to do so, it has launched programs to develop energy infrastructure, solar energy, water management, power generation with waste rail and road infrastructures. «Having a strong industry helps create more infrastructure,» he added. This is the reason why under a government initiative they have undertaken a project to build logistic parks and improve the transport of goods in areas like Mumbai, Delhi and Calcutta.
Potential and statistics
Some Spanish companies have already developed renewable projects in India. In May 2012, Acciona inaugurated its third wind farm in Tuppadahalli, completing 86 MW in total. But the wind potential in India is tremendous. At December 31, 2012 18,421 MW had already been installed, representing an increase of 15% over the previous year, and now it is close to the 22,000 MW (the cumulative MW installed in Spain), although according to the latest statistics from the Government of India, the potential is 49,000 MW.
The Indian delegation that visited our country in April 2012 surprised us all when reporting a forecast of 22,000 MW including photovoltaic and solar thermal energy by 2022. The Indian government also mentions some potential figures for: small hydropower with 15,000 MW, biomass power with 17,500 MW, or cogeneration with 5,000 MW. As for the geographical areas with better prospects noteworthy are Gujarat with 14%, Karnataka with 12% and Maharashtra with 11% mainly in wind.
March 2011 data show that India had an installed electrical capacity of 206 GW, of which 64% was in thermal power plants, 18% in hydro power plants, 16% in renewable energy, and 2% in nuclear energy.
