The huge plummet in prices of solar energy in India has helped leaders to walk away from its plans of building nearly 14 gigawatts of coal-fired power stations. Analyst Tim Buckley said this shift will have “profound” ramifications for global energy markets.

Reuters

In his article on the Institute for Energy Economics and Financial Analysis’s website, he said that 13.7GW of planned coal power projects have been cancelled so far this month and this goes to show the rate of change regarding solar energy.

In January 2016, Fortum, a Finnish company, got on board to generate electricity in Rajasthan at record low prices.

Reuters

The Director of energy finance studies at the Institute for Energy Economics and Financial Analysis said, “For the first time solar is cheaper than coal in India and the implications this has for transforming global energy markets is profound.

“Measures taken by the Indian Government to improve energy efficiency coupled with ambitious renewable energy targets and the plummeting cost of solar has had an impact on existing as well as proposed coal fired power plants, rendering an increasing number as financially unviable.

Reuters

“India’s solar tariffs have literally been free falling in recent months.” According to him investors from the world over are interested in India’s fast-growing solar market.