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1000 KW off the shelf in India. The Indian Ministry of New& Renewable Energy (MNRE) will provide a new windincentive of Rs. 0.50 (U.S. 1 cent) per kWh up to the first49 MW of overall new production with the expectation toraise the cap significantly over time to further encourageadditional new construction.India also has commenced a major solar power initiative.It is encouraging the installation of solar photovoltaictechnology systems for the generation of electricity andsolar thermal technology for the production and capture ofheat. Solar thermal power plants are expected to beconstructed in the near future. Solar PV panels are beinginstalled on rooftops as thin sheets plugged into householdwiring systems. Recently, the Maharashtra EnergyDevelopment Agency received proposals for 25 MW ofsolar photovoltaic and solar thermal electricity generation.Nagpur is slated to be India’s first “solar city.”Biomass and biofuel production are nascentindustries in India, entirely based in the privatesector, and present tremendous upsidepotential.India has a new biofuels policy with an emphasis onbiodiesel production from Jatropha. The biodiesel marketis targeted to be at nearly $32 billion in installed projectsby 2017. Indian Railways has floated a tender invitingproposal for setting up four biodiesel methyl esterificationplants for 20 years, targeting a capacity of 50,000 liters ofbiodiesel from each unit per day. Today, approximately100 million gallons per year of biodiesel capacity (versusnearly 2.61 billion gallons per year current capacity in theUS) and 767 million gallons per year of fuel ethanolcapacity (versus approximately 13 billion gallons per yearcapacity in the US by the end of 2009) exist in India. Onlast available information, by December 31, 2007, India’sfuel ethanol capacity was projected to be in a range of1.3-1.6 billion gallons per year. Similarly, biodieselcapacity was projected to be more than 150 milliongallons per year at the end of 2007.Since early 2000, the government of India has repeatedlyset fuel ethanol-blend mandates on a regional basis forpetrol. However, the government has not carried out themandates in any dedicated manner. As of November 1,2007, the government had mandated fuel-ethanolblending in petrol nationwide at 5%, and mandatory. As ofOctober 1, 2008, the mandatory blend percentage wasincreased to 10%. However, the government recentlydelayed implementing this mandate nationwide and,instead, established pilot programs at that blend percentagesin two districts in the States of Karnataka and UttarPradesh. The government intends a further increase ofthis blend mandate to 20% by 2017. The government doesnot have a similar mandate for biodiesel. Nevertheless, ithas considered a mandated biodiesel blend range of 5%to 20% in diesel fuel.Developing CountriesRural electrification is not only an energy issue,it is an education, health, environmental, social,humanitarian, economic, agricultural,communication, and water issue as well.The Alliance for Rural Electrification reportedthat 1.6 billion people worldwide—morethan one-quarter of the world’s population—donot have access to electricity in their homes.Four out of five people without electricity live inrural areas of the developing world. A totalcapital investment of $8.1 trillion US, equivalentto an average of $300 billion US per year isneeded until 2030 for the developing andtransitional economies to meet their energyneeds. Most developing countries offer excellentnatural conditions for the use of renewableenergy systems (RES) for rural electrification.RES are more cost effective than traditionaldiesel generator sets. Moreover, thesestandards can make important contributions infighting climate change.Rural electrification means more than justlighting. Electrification provides a sustainableelectricity power supply.The rural electricity supply, the same as in developedcountries, has a significant social impact on communicationand social activities, health and educational services,and on facilities. Rural electrification also prevents urbanmigration, provides a stronger sense of community,1.6 billion people worldwide—more thanone-quarter of the world’s population—donot have access to electricity in their homes.– Ernesto Macias Galan, President, Alliance for RuralElectrificationAmerican Council On Renewable EnergyExecutive Summary Report 40