Technology upgradation

Set clear policy signals and develop further incentives to seek energy efficiency

Enabling

MSME lack of incentive to adopt energy efficiency measures

Short-term

MoMSME; BEE

Facilitating finance

Implement direct interest subsidies to MSMEs for energy-efficient technology upgradations

Financial

MSME challenges with high cost of finance

Short-term

BEE

Cross-cutting

Use the Energy Efficiency Finance Platform (EEFP) as a one-stop shop for data, informational tools and knowledge products

Enabling

MSME lack of awareness;

MSME lack of technology/service providers;

Financial institutions lack of data

Short-term to Mid-term

BEE (with international partners)

Training and capacity building under EEFP to pool and coordinate efforts

Enabling

MSME and financial institutions’ lack of awareness and capacity to carry out energy efficiency finance and investments

Mid-term to Long-term

BEE (with international partners)

Energy savings insurance product and complementary measures for energy services market development

Financial

MSME lack of confidence in ESCO market;

Financial institutions lack of capacity;

Financial institutions high default risk perception

Short-term to Long-term

SIDBI (with international partners)

Improved flexibility and efficacy of existing credit guarantees and lowered guarantee costs

Financial

MSME lack of collateral / guarantees;

MSME inability to afford high cost of available finance and / or credit guarantees;

Financial institutions high default risk perception

Short-term

SIDBI, SBI, private sector banks

Supplying finance

Develop a pilot targeted foreign exchange hedging facility providing concessional hedging products

Financial

International lenders’ hedging costs

Mid-term to Long-term

SIDBI (with international partners)

Equipment and supply chains

Enable early domestic manufacturing capacity via export credits, tax relief, concessional finance or Production Linked Incentives (PLI) scheme

Financial

Lack of domestic manufacturing capacity

Short-mid term

MNRE; MoF; MoCI; foreign Export Credit Agencies

Logistics and related infrastructure

Build a long-term infrastructure plan to support offshore wind capacity additions and track the investment within the National Infrastructure Pipeline.

Enabling

Required support infrastructure

Short-mid term

MNRE; State transmission authorities; Port authorities

Operations and maintenance

Assess role of InvITs to recycle capital from operating units

Enabling

High capital requirements

Mid-term

MNRE; MoF; NIIF

Cross-cutting (Facilitating Finance)

Design and implement the Viability Gap Fund (VGF) scheme and clarify the amount and volumes in the Strategic Paper for Establishment of Offshore Wind Energy.

Financial

High capital requirements

Short-term

MNRE; MoF

Set up a blended finance facility to facilitate investment

Financial

High capital requirement; Lack of co-ordination across actors

Short-term

MNRE (IREDA); NIIF; International organisations and donors such as MDBs

Design a pipeline of GW-scale green hydrogen hubs

Enabling

Policy mid/long-term clarity

Short-mid term

Public-Private taskforce