Factors to Promote Ocean Energy in India

Abstract

India's energy demand is expected to rise to 4000 TWh by 2030. The country will require five times more renewable energy (RE) in 2030 to meet the policy targets. The current RE development plans are land-intensive, highly intermittent, low-capacity utilization, and the inability to support the baseload requirement. It is time for India to diversify its RE basket and accommodate ocean energy (OE) in its policy landscape. Studies have identified factors for RE sources such as solar, onshore wind, and offshore wind etc. Literature clarifies that policy plays a vital role in developing RE. Hence, this study aims to identify the factors for OE development. The responses were collected from the stakeholders interested in RE development in India. This study has ranked grid connection and capacity building as the top two variables using the weighted average method. Factor Analysis results identified six factors: government support, regulatory and fiscal incentives, financing mechanisms, economic tools, promotion of local content, and capacity-building for research and skill development. Promotion of local content and capacity-building are additions to the literature as factors. This paper advocates the socialisation of evacuation cost, financial, fiscal certainty and continuity, priority sector lending, and demand-supply side support for OE development.