“Growing economies like China and India, which are set to contribute more than half of the global increase in carbon emissions in the next 25 years, will play a critical role in any effort to address climate change” (news.nationalgeographic.com).
For India, not only is this renewable incentive an opportunity to unleash a new financial market within their own country, it is the environmentally responsible thing to do with such a massive population that only continues to grow. With coal currently responsible for generating 59% of India’s electricity, the amount of coal burnt to supply energy to such a dynamic population would have a devastating effect on the ozone.
The last budget passed in July will allot for additional funds to be channeled into the renewable energy market: “But in some respects, the budget's scale was modest: It allotted funding for large solar power projects in just 4 of India's 29 states. Bhushan of the Center for Science and Environment said this money might have been better spent setting up 20,000 mini-solar plants that together could provide electricity to 40 to 50 million households in rural India” (news.nationalgeographic.com).
Many officials see this as more of a symbolic commitment to “going green” and that the industry requires a much larger investment if it is to develop as rapidly as Modi’s plans suggest. At least the country that possesses over 17% of the world’s population is taking steps in the right direction towards a brighter future and, hopefully, one day their developing renewables market will be open to foreign investment.