A business case for rationalisation of Green Tariffs in India

Only about 6% of total C&I demand is met from direct procurement of renewable power. In face of multiple challenges faced by established routes like open access and rooftop solar, Green Tariff could be a potentially attractive alternative source for corporates to increase consumption of renewable power. This report outlines role of Green Tariffs in India and evaluates their growth potential under alternate scenarios. It also investigates various market barriers in greater adoption of Green Tariffs and draws parallels from international markets to suggest some solutions.

Figure: Current scenario of adoption of Green Tariffs

This report is prepared under the aegis of RE100, a global initiative by Climate Group and CDP, in partnership with BRIDGE TO INDIA. It is part of a set of three reports on Scaling up RE100 in India: The role of increasing corporate RE demand and high potential RE sourcing options.

The report emphasise role of C&I consumers in uptake of renewable power and suggest possible changes in policy framework to help companies in achieving RE100 target. RE100 brings together the world’s most influential businesses committed to 100% renewable electricity. Its purpose is to accelerate change towards zero carbon grids at scale. As of December 2021, over 75 companies (including 8 India headquartered companies) across the globe had signed up to RE100 commitment.

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