Sustainable Business in India: Potential and Challenges

Transcription

1 Sustainable Business in India: Potential and Challenges R. Arun Prasath, Assistant Professor Laboratory for Energy, Materials and Sustainability Centre for Green Energy Technology Pondicherry University Puducherry

2 Outline Introduction (Motivation) Scope for green business in India Green Building in India Green Energy in India Firms in Green Business Green Business Challenges Conclusion 2/27

3 Motivation 3/27

4 Motivation Burns Cataracts Cancer Cancer Aging Smog 4/27

5 Motivation 5/27

6 Motivation Rapid economic growth, Looming environmental and social threats. Shrinking forests, species loss, fisheries collapse and freshwater stress. The unlimited business opportunity to solve global problems BEING GREEN

7 Opportunity Buzz Environmental. Management Corporate Social Responsibility Greening Industrial Ecology Stakeholder Management Life-Cycle Management Pollution Prevention (P 2 ) Sustainable Development Design for Environment (DfE) Green Design Urban Reinvestment Redevelopment Waste Reduction Resource Productivity Sustainable Technology Radical Transactiveness Systems Thinking Corporate Governance Clean Technology Eco-Efficiency Eco-Effectiveness Biomimicry Triple Bottom Line (3P) Inclusive Capitalism Community Capitalism Corporate Citizenship Voluntary Regulation Civic Entrepreneurship Full Cost Accounting EMS Risk Management Leapfrog Technology Cradle to Cradle Restorative Technology Take-Back Transparency 7/27

8 Green Business Green building Renewable energy (Solar/wind/SHP/bioenergy/fuel cell/clean coal/..) Energy conservation -Energy Efficiency & Audits Water-waste water management Sustainable design New product development Remanufacturing Recycling Transport ( ITS, LCTS, HT (diesel/biodiesel/bioethanol/fuel cell, CNG,) Environmental management Facility management Operations management Consulting (Toxic use reduction, Waste & Emission reduction, ) Microfinance Social venturing Rural development NGOs Development banks (IDBI, NABARD, NHB and SIDBI) Science and Technology (Life science, Nanotechnology, Green Chemistry, Biotech ) Clean Tech Start-Ups Eco-agriculture, Eco-tourism, Eco-fashion.. 8/27

9 Scope in India Rapid growth , GDP 8% and estimated same for Hub for research and development for green solutions - World s third largest pool of scientists and engineers, - Innovation in technology, - Low-priced manufacturing and services, (e.g) significant achievements in information technology, professional services and communications - Traditional knowledge and processes - Green innovation and high amount of venture capital is flowing (e.g) 3 rd attractive country for renewable energy investment Limited resources, social responsibility, competition, cost reduction (recycle, reuse) 9/27

10 Scope in India Consumers and employees are becoming increasingly conscious of environmental issues National policies to promote green business - NAPCC, ECBC, energy conservation building code 30-40% reduction of energy), Solar Mission, Clean Energy Funds, REC-renewable energy certificate & energy efficiency certificate trading scheme, Corporate Social Responsibility Practices, publicity through media TV such as Save the Environment, light the billion NGOs create awareness of being green Govt. support hybrid and electric vehicles, opt policies which reduce of harmful goods- democratic, MUD promote green travel- bicycle scheme, shift towards public transport, electric vehicles, buy back used electric products, biofuel blending International carbon markets (CDM) (carbon credits wind power, biomass, hydropower, use of waste heat, energy efficiency, biogas, avoidance of GHGs, afforestation and reforestation, transportation, etc,), CII, confederation of Indian industry encourages green business in all sectors The climate disclosure project WARNS of negative growth without GB! 10/27

11 Scope in India Total (No. of Projects) through CDM 11/27

12 Green Building Construction Industry growth rate in India 10% of India s GDP. -growing at a rate of 9.2% as against the world average of 5.5% Indian Green Building Council (IGBC) has taken on the initiative of promoting the Green Building concept IGBC estimates 100 billion USD business by ~120 green building products/technolgies (Fly ash cement to green roof) Under IGBC there are 1,656 registered buildings for LEED rating - already 253 certified building, 1.18 billion sq.ft Green building footprint. Platinum rated Infosys IT major Gold rated Terminal 3 IGIA, Delhi Silver rated Orient Craft Ltd., 12/27

13 Green Building 1,656 registered 253 certified Building (2012) Green Materials: name a few - Fly-ash cement, Fly-ash block, Recycled Aluminum, Recycled steel, Recycled tiles, Low VOC paints, Bamboo based products, HFC based high efficiency chillers, Building Controls, Green Roof, Recycled wood, High albedo roof paints, PV, BIOGAS, WIND, certified cooling towers, etc., 13/27

14 Green Energy in India Wind Biomass, Bio fuel co - generation Green Power Generation in India Solar Municipal Wastes Small Hydro Hybrid systems Fuel cell RES contribution as of now is about ~12% from total power 201 GW 400 million live without electricity in over 90,000 villages Power deficit is around ~ 11-12% Potential for green energy is huge 14/27

15 Green Energy India s Solar Energy business Potential Currently India produces only MW via grid-connected and 72.5 MW by off-grid (August 2011, MNRE) The Indian Energy Portal estimates that if 10% of land used for solar energy harvesting, the installed solar capacity would be at 8000 GW! Jawaharlal Nehru National Solar Mission Aimed to establish Solar India ~ 20GW power in 3 phases by 2022 ~100GW by 2030 and to 200GW by 2050, and beyond! Promote domestic content : modules made in India 2012 and beyond: both cells and modules made in India Achieve grid parity of solar power by year 2022 Policy support and schemes by MNRE 15/27

16 Solar business potential 16/27

17 RE business /Jobs Annual growth at 18% in the 11 th plan ( ) compared to 5% Non-RE. Separate Ministry, Ministry of New and Renewable Energy (MNRE) India aims for 50% renewable by 2050 from current 12% RE/clean technology for energy business estimated to $135 billion by 2020 JNNSM targets CII-MNRE estimated employment for solar PV/Thermal at 225,000 by the year 2022 at the rate of 10% growth In wind sector 75,000 jobs by 2020 at the medium growth rate of 10% In bioenergy sector it is estimated to have 561,000 by the year 2020 In SHP it is estimated to have 30,000 by /27

18 RE business challenges Lack of skilled and knowledgeable trainers High capital costs, Lack of primary data, Lack of clarity on technologies- still evolving, Inadequate infrastructure, Lack of technological advancement, Incentive challenges, Difficulty in raising finance, Technical feasibility to biogas from human excreta Vs social acceptability, Lack of coherent long term policies/policy instruments, Inadequate R&D sector, etc. 18/27

19 Top companies in green business Nokia Corporation (Greenpeace ranking 3 rd 2011) --Clean up its products by eliminating hazardous substances. --Take-back and recycle its products responsibly. --Reduce the climate impacts of their operations and product BSNL- Telecom sector goes green telecommunications - 50% rural towers powered by renewable energy - All products, equipments and services to be certified GP - Insist all tele-service providers to declare carbon footprints -17% redction in carbon foot print by Indian Toy Industry- Toy Association of India -Adopt non-toxic materials and to recycle toys -Use nontoxic polymers such as HDPE, SAN, ABS OORJA- part of BP -Biomass stove fuel made of agriresidue pelletized -Freedom from smoke and eco-friendly Other companies- SBI GREEN IT, Lead free paints from Kansai NerolacSuzlon energy, Tata, Pepsi, Vodafone, Hindustan unilever, TNPL, Wipro, HCL, Mahindra & Mahindra, 19/27

20 Green Business Challenges New Concept -lack of awareness and skills Lack of standard and public consensus -by eco-labeling Cost Factor R&D spend and promotional programme Long term investment- Sustainability issue Low penetration in rural India Non cooperation--difficulties in convincing the stakeholders Avoiding green Myopia (two objective environmental and customer satisfaction) Inadequate and inappropriate policies- inadequate Govt support, credit facilities, tax incentives, promotion of eco-labelling, 20/27

21 Principles for Green Business Ministry of Corporate Affairs, Govt of India-Voluntary guidelines for green business 1: Businesses should conduct and govern themselves with Ethics, Transparency and Accountability 2: Businesses should provide goods and services that are safe and contribute to sustainability throughout their life cycle 3: Businesses should promote the wellbeing of all employees 4: Businesses should respect the interests of, and be responsive towards all stakeholders, especially those who are disadvantaged, vulnerable and marginalized. 5: Businesses should respect and promote human rights 6: Business should respect, protect, and make efforts to restore the environment 7: Businesses, when engaged in influencing public and regulatory policy, should do so in a responsible manner 8: Businesses should support inclusive growth and equitable development 9: Businesses should engage with and provide value to their customers and consumers in a responsible manner 21/27

22 PU green business/research Pondicherry University GREEN BUSINESS! Installed solar hot water systems in hostels Installed ~160 solar street lights Green mobility vehicles (battery operated ), Energy efficient lighting systems (CFL/LEDs) New upcoming buildings with GRIHA rating Solar campus- Approved solar PVs of 100 KV power through rooftop grid-interactive inverters (~78,000 square meters, ~30% GE ) Institutional biogas plants using kitchen wastes (2200 Kg food waste to biogas) Water conservation/waste water management My involvement in GE HPNs materials for Thin Film Solar cells, solar campus and biogas project, biodiesel from micro algae 22/27

23 Pondicherry 23/27

24 Pondicherry 24/27

25 Pondicherry 25/27

26 Pondicherry 26/27

27 Pondicherry Thank you very much 27/27