Clean Energy Policy Landscape in the SME Sector

‘Clean energy policy landscape in the SME sector’, a new report published by WWF India in association with cKinetics maps the clean energy ecosystem, undertakes a segment-level analysis of the sector to identify individual constraints, and offers policy recommendations to propel the growth of cleantech SMEs in the country. The report delves into six segments, including solar rooftop, electric mobility, energy efficiency, smart energy, waste-to-energy and energy access, that are expected to have a considerable impact across key sectors such as industries, buildings, and transportation. Illustrating 6 sector-specific barriers, and 11 cross-cutting challenges, the report stipulates short, medium and long term recommendations along with interventions to actualize a boom in clean energy segments.
 
According to the report, while India’s move towards clean energy transition has led to the emergence of various startups and SMEs, there are only a handful of policies that help accelerate the growth of these companies to meet India’s clean energy demands. While almost 140 government interventions focus directly or/and indirectly on clean energy and startups and SMEs, only 38 policies actually target SMEs in the clean energy ecosystem, making it difficult for SMEs to reap the benefits of the provisions. The report also attributes the slow growth of India’s mass transition to clean energy to limited policy support mechanisms for R&D and innovation for clean energy segments
 
A few of the recommendations mentioned in the report include:

• Provision to procure at least 20 per cent of capacity (MW procurement target) from SMEs under the DISCOM-led aggregation model in solar-rooftop segment.
• Ensuring passing on the benefits in implementation of solar rooftops to the residential consumers in terms of 80C benefits
• Lowering GST slab of energy-efficient appliances and setting targets to procure a percentage of energy efficient goods from SMEs for entities such as EESL.
• Set up of short-term targets for EV roll-out over a time span that helps in achieving the long-term targets
• Provisions to procure 10% of compressed bio gas from start-ups (under SATAT)

Click here to read the full report