This time, Japan has shown interest in the Indian energy market focusing on renewable energy. The investors have also given green signal for the project as it is the country’s clean energy sector.
Mr Toshiro Kudama, senior executive vice president of Jera Co. said – “Our first step towards India’s energy market will surely bring a revolution in the country, thus creating job opportunity for youths and young working minds.” He also added Jera Co. is equally owned by Tepco Fuel & Power Inc., which is a subsidiary of Tokyo Electric Power Company Holdings Inc. and Chubu Electric Power Co.
Kudama made his statement very clear by adding that renewable energy sector is going to grow to the peak in India as investors like Jera Co will be investing more and more in the near future. He also mentioned in a short interval of time they will be exploring in other segments of the energy market in India and will also involve in developing energy infrastructure.
Jera Co., which got a 10% stake in ReNew Power Ventures last week for $200 million, is the latest entry to the renewable energy business of India – a sector that’s getting promoted by the country’s Prime Minister.
By the year 2022, the Indian Government has a target to generate 175 gigawatts of electricity to help millions of people to get access to power connectivity. As per record, the total energy generated from all sources is about 307 GW, which is not sufficient. If opportunities are given to such projects, then there will a growth of 15 percent to the total production, which will show a good result in the future demand.
As per government record, the foreign direct investment is about $1.77 billion towards nonconventional energy sector in India, which is a good figure, but needs to be improved.
If we match the records for the year 2014 with 2015 then Abu Dubai plays a vital role in investment in Indian market by investing $265 million followed by Singapore with a total investment of $256 million.
Mr Vinay Rustagi, the Managing Director of a research firm said India has a great renewable market and will attract lot of foreign investors from overseas. He added to his speech by saying investment required for the project is very high and can be estimated around $100 billion over the next five years for generating 175 GW of energy.