Auto sector

Auto Sector

Greening Solutions for Auto Industry

Indian Auto industry’s electricity demand is expected to increase by 50% in the next five years, in line with market growth

FMCG chart

As Quoted By

Favorable demographics

According to Hyundai Motor India, buyers are restless following the lockdowns and restrictions and the threat of a third wave of infections, and this is leading to impulsive purchases

-Moneycontrol

Increasing investments in auto

The government said that there were over a dozen entities – existing plyers as well as new entities – looking to invest upwards of $4 billion in the automobile sector.

-Times of India

Favorable Government Policy

Government’s PLI scheme for auto and auto component industry is set to disrupt the industry in a big way, bringing in several newer players into the fray competing for a share of expanded market.

-Business Today

Green Advanced Solution offers Auto players high greening with RTC power; Combining it with Green Max can provide 100% greening

Parameter
Bio Energy 1 My Green
Solar Panel 2 Green Touch
Windmill 3 Green Advanced
Solar 3 Green Max
  • Greening potential
    0-5%
    20-30%
    50-70%
    100% (In combination with option 2/3 or standalone)
  • Power Reliability & Technological maturity
    Intermittent power; Mature tech.
    Intermittent power; Mature tech.
    Intermittent power; Mature tech.
    vPPA emerging in Indian market; iRECs more mature
  • Cost saving & tariff reliability
    High savings, use of own land
    Limited saving; tariff locked
    High saving; tariff locked
    Limited saving; variable tariff in vPPA
  • Regulatory support
    Most states have mature policies
    Most states have mature policies
    Hybrid policies upcoming in states with RE potential
    iRECs more mature; vPPA evolving
  • Favourable Context
    Can be bundled with Virtual Greening to provide 100% greening
    Can be bundled with Virtual Greening to provide 100% greening
    Befits players looking for stable power with commercial benefits and high degree of greening Can be bundled with Virtual Greening to provide 100% greening
    Only suitable for firms with high focus on

Our “Green Max” solution provide direct purchase option backed by i-REC standard regulations to achieve 100% green energy objectives

1 Key characteristics

  • 1) Existing/New offsite plant set up for sale of power on shortterm market/grid
  • 2) Customer procures electricity from existing sources
  • 3) Green attributes of power generated by RE plant provided to customer
  • 4) Direct purchase route: Fixed price paid for green certificates with no physical consumption of electricity by customer

2 Our approach

Auto Sector

3 Our preferred solution achieves 100% green power

  • 1) Additionality to grid through construction of new RE plants
  • 2) Enable 100% green power achievement by offsetting grid consumption
  • 3) Immediate execution, no changes required for physical setup
  • 4) Immediate execution, no changes required for physical setup

ReNew has been at the forefront of greening FMCG majors; For a consumer goods company, ReNew achieved 100% greening with commercial benefit

1 Client situation

The client is embarking on a solar plan for multiple locations facilities

  • 1) The client has manufacturing facilities all across the country
  • 2) Client was yet to make investments in renewable energy, and wanted to make a start with a solar project
  • 3) Cost-savings a large factor for developing the solution
  • 4) Client had a daytime focused consumption pattern, making solar the optimal solution construc

2 Contribution of each source for 100% greening

Each solution designed achieved 65% greening; through physical power from captive offsite plants

Auto Sector

3 Our preferred solution achieves 100% green power

Our preferred solution attains 35% savings

  • 1) Higher savings on account of power costs will free up profit margins to increase market competitiveness and profitability
  • 2) Power costs also had long term certainty, reducing price risk associated with grid energy