Following Trump, Modi govt "favours" coal-based power, claims: Renewable energy has higher social costs

In a surprise move, the Ministry of Finance, Government of India, has favoured coal as the source of power instead of renewal, especially solar, energy. An environmental overview of the second volume of the Economic Survey, released recently, says, the top report has "raised issues with investing in renewable energy attributing a social cost of Rs 11 per unit of electricity."
The analysis, published in a well-known environmental journal, run by the Centre for Science and Environment (CSE), New Delhi, says that the "social cost" of renewal energy, as seen by the Economic Survey, is "three times to that of coal", insisting, "This gives the wrong signal to the investors, more or less questioning why renewable energy is being pushed so hard."
Carried out by Aruna Kumarankandath, who specializes in renewable energy with the CSE, which is headed by well known environmentalist Sunita Narain, the analysis says, the social cost of Rs 11 per unit has been arrived at on the basis of several components -- the private costs of generation, the opportunity cost of land, social cost of carbon, health costs, and costs of stranded assets.
"In simpler terms", says Kumarankandath, the Economic Survey appears to believe that "more investment in wind and solar would reduce the operation of coal power plants, which in turn will lead to job losses and coal plant loans turning bad in the books of banks".
Pointing out that "this is similar to the argument US President Donald Trump makes for increasing investment in coal mining jobs", the expert says, "The survey alleges that shift in renewables would leave conventional power plants underutilised, lower than their maximum technically feasible level."

The investments made in these plants, according to the survey, would be deemed “sunk” and would result in loss of revenue. And these stranded assets would impact the banking sector. "It is estimated the total advances to coal sector were Rs 5,732 crore with ratio of non-performing assets at 19.8 per cent", Kumarankandath quotes from the survey.

Aruna Kumarankandath

Wondering why this was not included in social cost estimate of coal-fired energy, Kumarankandath says, "The survey says that the social costs would include the opportunity cost of land required for solar. However, no specific cost is mentioned, which some may argue, is the same as the cost private developers pay for it, which is already reflected in the cost of generation, even if it is as low as Rs 2.44. In addition, the opportunity cost of land is not put on the social cost of coal power plants."
According to the expert, "The estimate assumes that land required of coal power plant is around 2,023 square meters or 0.5 acres per megawatt (MW), while for solar its 10 times in comparison. This is considered a barrier in solar development."
Contradicting this, she quotes a CSE estimate according to which, "on an average, coal power plant require 1.7 acres of land per MW but this does not include the area under coal mines, which increases the requirement to 5.95 or 6 acres per MW." This is comparable with the estimate by the Ministry of New and Renewable Energy, according to which "the land requirement for ground mounted solar is around 5-6 acres per MW."
Noting that "the survey also does not consider installations on rooftops and already developed areas, which will reduce the space needed", the expert says, "According to an analysis by Bridge to India, a renewable consultancy, half the desert area in Barmer, Rajasthan can install 1,000 giga watt (GW) solar. Solar plants largely use barren and unproductive land. Thus, 1000 GW can be installed in the 3.5 per cent of the waste land in the country."
Also not calculated in the social cost of coal are the 115,000 "premature deaths every year, including those of the coal miners, or 800,000 deaths due to ‘chronic obstructive pulmonary disease’ (Lancet estimate), and 100,000 more due to asthma, all of which especially become acute in coal mining areas or the areas where thermal power plants operate.
Sharply criticising the survey for cautioning investment in renewable energy and suggesting a “calibrated” approach due to the total cost accrued to the society, the expert believes, "In essence, it suggests to slow down the pace of renewable energy development."

Comments

Shyam Benegal's Mathan a propaganda film that supported 'system'? No way

A few days ago, I watched Manthan, a Shyam Benegal movie released in 1976. If I remember correctly, the first time I saw this movie was with Safdar Hashmi, one of the rare young theater icons who was brutally murdered in January 1989. Back then, having completed an M.A. in English Literature from Delhi University in 1975, we would often move around together.

Beyond the Sattvik plate: Prof Anil Gupta's take on food, ethics, and sustainability

I was pleasantly surprised to receive a rather lengthy comment (I don't want to call it a rejoinder) on my blog post about the Sattvik Food Festival, held near the Sola Temple in Ahmedabad late last year. It came from no less a person than Anil Gupta, Professor Emeritus at the Indian Institute of Management-Ahmedabad (IIM-A), under whose guidance this annual event was held.

Would Gujarat Governor, govt 'open up' their premises for NGOs? Activists apprehensive

Soon after I uploaded my blog about the Gujarat Governor possibly softening his stance on NGOs—evidenced by allowing a fisherfolk association to address the media at a venue controlled by the Raj Bhawan about India’s alleged failure to repatriate fishermen from Pakistani prisons—one of the media conference organizers called me. He expressed concern that my blog might harm their efforts to secure permission to hold meetings on state premises.

No to free thought? How Gujarat's private universities are cowing down their students

"Don't protest"—that's the message private universities across Gujarat seem to be conveying to their students. A senior professor told me that students at the university where he teaches are required to sign an undertaking promising not to engage in protests. "They simply sign the undertaking and hand it over to the university authorities," he said.

'Potentially lethal, carcinogenic': Global NGO questions India refusing to ban white asbestos

Associated with the Fight Inequality Alliance, a global movement that began in 2016 to "counter the concentration of power and wealth among a small elite", claiming to have members in the United Kingdom, South Africa, Kenya, Zambia, the Philippines, and Denmark, the advocacy group Confront Power appears all set to intensify its campaign against India as "the world’s largest asbestos importer".

In lieu of tribute to Pritish Nandy, said to be instrumental in collapse of Reliance-controlled daily

It is widely reported that Pritish Nandy , journalist, author, animal activist, and politician, has passed away. While it is customary to pay tributes to a departing soul—and I, too, have joined those who have posted heartfelt condolences on social media—I cannot forget the way he treated me when he was editor of the Reliance-controlled Business and Political Observer (BPO), for which I had been working informally in Moscow.

Challenging patriarchy? Adopting maternal and marital surnames: Resistance continues

Anandiben Patel The other day, I was talking with a group of family friends. The discussion revolved around someone very close to me who had not changed her official name in documents, including her Aadhaar and passport, after her marriage. However, on social media and within her husband's family, she had adopted her husband's surname as a suffix to her own. I mentioned that there is a growing trend—though not yet widespread—where women prefer to retain their maiden names or add their maiden surnames alongside their husband's surname. Another emerging trend is where men choose to add their mother's name, or even their wife's name, to their own. This revelation surprised my family friends.

Barred premise allowed? 'Modi govt fails to seek release of fishermen languishing in Pak jails'

Are the Indian authorities or their Gujarat counterparts softening their stance toward NGOs that flag human rights concerns? I can't say for sure, as only recently the foreign funding license of one of the most prominent NGOs, Janvikas, headed by the well-known civil society leader Gagan Sethi, was canceled. This NGO has been working on livelihood issues for underprivileged sections of society for several decades.

Sattvik Food Festival: Shouldn't one question notion of purity, cultural exclusion in food choices?

Recently, I visited the Sattvik Food Festival, an annual event in Ahmedabad organized by Anil Gupta, professor emeritus at the Indian Institute of Management-Ahmedabad (IIM-A). I have known Prof. Gupta since 1993, when I sought an appointment to meet him a few months after joining The Times of India in Ahmedabad—one reason why I have always been interested in the activities he is involved in.

Search This Blog