During the interim budget presentation in 2024, the Finance Minister announced several initiatives promoting sustainable energy and electric mobility. One of the notable initiatives is the plan to install rooftop solar plants in 10 million households under “Pradhan Mantri Suryodaya Yojana,” which aims to reduce electricity costs for low-income and middle-class households and at the same time save between Rs 15,000 to Rs 18,000 annually by selling extra power to distribution companies.
The Finance Minister has given approval to viability gap funding (VGF) for financial support for offshore wind projects with a total capacity of 1,000 MW. This funding is expected to speed up the development of these projects and help India achieve its renewable energy goals.
In addition, the government plans to support the electric vehicle industry by providing assistance for manufacturing and charging infrastructure. The focus will be on promoting the use of electric buses in public transportation systems through the implementation of a secure payment system. This effort is expected to enhance public transportation and create a more sustainable and eco-friendly urban mobility environment.
In order to promote cleaner and more environmentally friendly options in transportation, the government plans to require the blending of compressed biogas with compressed natural gas and piped natural gas.
The government is preparing to launch a Biomanufacturing and Bio Foundry program that aims to provide sustainable options for producing biodegradable materials.
The Indian budget saw changes in the funding for various programs, such as an increase in the budget for on-grid solar power, the National Green Hydrogen Mission, and the green energy corridor. The budget allocation for on-grid wind power was reduced from Rs 12.14 billion to Rs 8 billion, and the budget for the program promoting hybrid and electric vehicles in India was reduced from Rs 51.72 billion to Rs 26.71 billion.
Reference- Economic Times, HT Auto, Mint, Mercom India, Business Standard, Money Control, CNBC