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The National Energy Policy

legislation type Executive
Passed in 2010
The vision for the energy sector is to develop an 'Energy Economy' that will ensure secure and reliable supply of high quality energy services for all (both urban and rural) homes, businesses, industries and the transport sector while making significant contribution to the export earnings of the country.
 The Energy Policy proposes to achieve these objectives through various measures such as fiscal incentives, private participation, institutional reform and capacity building.
 The Policy outlines goals, challenges and policies including:

1) Renewable Energy
 The Renewable Energy sector covers biomass, solar and wind resources. Biomass policy focuses on improved production and efficient use of biomass. In the longer term it aims to increase regeneration and fuel substitution, and substitute away from biomass towards alternative energy sources.

 2) Energy Efficiency and Conservation
 The policy focuses on the application of fiscal incentives, awareness creation, institutional and financial intermediation, and regulation to promote energy efficiency and conservation.
 The policy sets the following targets :
1) In the power sub-sector it proposes toachieve installed power generation capacity of 4,000 MW and also universal access to affordable electricity by 2015
2) Increase installed generation capacity from the current 1,986 MW to 5,000 MW by 2020
3) Achieve 80% national electricity access by 2015 and universal access by 2020
4) Achieve 10% contribution of modern Renewable Energy in the electricity-mix by 2020
5) Reduce demand on wood fuel from current 66% to 30% by 2020.
6) Ensure the effective & transparent management of oil and gas revenues
7) Achieve 90% of local content within 10 years from the commencement of specific energy projects


from the Grantham Research Institute
from the Grantham Research Institute
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