Noida: In view of the rising concerns of climate change internationally, rising energy needs of the growing Indian economy, favorable government environment and huge demand supply gap in power sector, the renewable energy sector will play an increasingly important role and throw huge business opportunities for investors, according to the market report on renewable energy released by Vijya Research & Advisory.

The report states that with abundant renewable energy sources available in India, including wind energy, biomass, solar and small hydropower, India could eventually become the largest renewable market in the world. India has eight times more potential in renewable energy than its present capacity. India needs 347,000 additional megawatts of energy through 2020, of which renewable can account for 24 per cent of the needed capacity. One of the major requirements for developing this sector is the availability of cost-effective technologies and successful demonstrations.

The clean energy report by Vijya Research also highlighted that investments in clean technology have grown considerably as a result of high energy prices, ever-improving technology and increased environmental concerns, falling costs of renewable energy and supportive government policies and initiatives. India is investing substantially in solar and wind energy and other green sectors such as electric vehicles, smart grids, etc. The report also undertakes geographic potential of the renewable energy as different states In India have varying potential to develop different sources of renewable energy.

Government policy is also aligned towards boosting the business environment and ensuring overall development and promotion of renewable energy technologies (RETs) and applications. Policy initiatives encourage private as well as FDI including provision of fiscal and financial incentives for the private sector players.