Green energy research report calls for GST cut on hydropower, wind projects

India's renewable energy capacity saw modest growth in FY24, adding just over 18GW, falling short of the ambitious 500GW target by 2030. A study by IEEFA and JMK Research highlights recommendations to bolster this sector. Key proposals include slashing GST on hydropower and wind projects to alleviate financial strain on developers, maintaining a sub-5 percent GST on energy storage for five years, and revamping solar PV supply chain and rooftop solar. With investments slightly declining to $11.4 billion, the report emphasizes the need for over 2.5 times the installation compared to the previous fiscal year. Other suggestions entail extending ISTS charges exemption until 2030, reevaluating wind tender processes, and exploring innovative financing models like InvITs. Additionally, facilitating visa approvals for skilled technicians from China is urged to expedite solar manufacturing expansion plans.