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The power deficit has reduced, since India has more than doubled its electricity generation capacity between 2005 and 2017 with coal-based plants accounting for more than 60 per cent of the new capacity.

Simarpreet Singh, Director, Strategy, Hartek Group is of the opinion that the refinancing or the bond opportunity in the power sector in view of 14,000 circuit km of the Inter-State Transmission System (ISTS) present a Rs 300 billion refinancing opportunity for the bond market over the next four years.

Ved Mani Tiwari, Chief Executive Officer (Global Infra Business), Sterlite Power Transmission, believes that transmission projects offer a significant change in risk profile, post the commissioning of projects on account of low collection risks and these projects generally get a priority in funding over other infrastructure projects.

Manoj Gupta, Vice President-Solar Business, Fortum India opines most of the financing received for the renewable energy development comes from the domestic banks. However, with the current level of fund generation, it is difficult to sustain solar energy goals.

The domestic manufacturers have had a long history of conflict against the imported solar components as foreign (Chinese) suppliers continued dumping solar components in India at a much lower rate than the existing market price. Therefore, the domestic manufacturers requesting the Government of India to safeguard the domestic industry growth was quite a valid appeal.

While large-scale projects of over 100 megawatt (MW) are now common, the investment risks caused by climate, poor installation and lack of proper maintenance are on the rise in the solar sector.

Confusion regarding GST rate on solar and safeguard duty on SEZ-based manufacturing units are not allowing the domestic manufacturing industry to grow, feels Ivan Saha, BU Head- Solar Manufacturing and CTO, Vikram Solar.

However, according to Krishnan Rajgopalan, Director-BD, Statkraft BLP India, difficulties with respect to synchronised working with grid (voltage and frequency) and hybrid inverter behaviours are the key.