As a result of various central government initiatives, the demand-supply gap when it comes to power generation in India has reduced significantly over the past few years.
Intermittent power supply and frequent outages directly affect the businesses. Diesel Generator (DG) sets have been the go-to option for most people seeking backup power. However, all that is changing. With the advent of renewable energy and the availability of the same (with access to Grid-connected power), India is continuing to take rapid strides in generation, as well as usage of renewable power.
At the global stage, India has demonstrated its intent in using renewable energy at scale. For example, in October 2021, R.K. Singh, Minister of Power, New and Renewable Energy said that India is already ahead of what we pledged in our Nationally Determined Contributions (NDCs) saying that, “Already 39% of our installed capacity is from non-fossil based sources. By 2022 we will reach our target of 40%,” he said.
Under the vision of Prime Minister Narendra Modi, India is set to achieve 450 GW of renewable energy installed capacity by 2030. Agrees KG Deenathayalan, Business Head – Energy Division.
“The country has witnessed a paradigm change in the energy sector.”
Further, the government of India’s policies have been supporting- whether it is Digital India or Atmanirbhar Bharat, which will develop the industry in a well-rounded manner. The market in India is characterized by the dominant presence of the unorganized sector, even though there’s hardly enough difference between the price point at which products from the organized and unorganised sectors sell.
This is due to the fact that customers are becoming increasingly conscious about what they are buying, the quality, reliability and the impact of the product on its immediate surroundings.
Shift in Power
The power backup market in India is expected to grow to INR 504.66 billion by 2023, expanding at a compound annual growth rate (CAGR) of 11.28% during 2018-2023.
“We are seeing a shift from power just as a backup (solution) to efficient power solutions for sustainable growth. Increasingly, customers are asking for solutions which are in sync with the environment, have less carbon footprint and support green infrastructure,” says Deenathayalan.
Surge in Data Centres
Post the pandemic, usage of data centers has grown manifold. Capacity expansion by existing and new players in the data centre industry is expected to result in an additional capacity of 804 MW during 2022-2024, translating to 34 per cent CAGR for the period, according to JLL’s report India’s data centre report card 2021.
A notable feature of this supply growth has been that a large share has been pre-committed by hyperscale and is expected to become operational in the next three years, JLL said. Mumbai and Chennai to lead in capacity expansion Mumbai and Chennai are expected to witness higher growth owing to their infrastructure advantages.
In this backdrop, how has the requirements for power Back-up Solutions changed? “Digital push created the requirement of more and more data centres and its uptime become crucial, this is where Fuji Electric plays a critical role in making data centre reliable, efficient and up 24x7x365. Now data centre operators are looking for complete power solutions rather than just a power backup,” points out Deenathayalan.
The company has high-efficiency UPS, accumulated since 1970s and delivered more than 20,000 UPS units for a combined total of 3.5GVA for IDC customers worldwide and which ensures reliable operation along with saving energy and supporting green infrastructure. Fuji Electric power solutions are designed to support uninterrupted operation.
“We ensure our customers critical operations are up and running when during power blackouts. Our solutions work even in a harsh environment designed for Indian conditions,” opines Deenathayalan. We focus on in India for India strategy to have local design and local manufacturing for local consumption for global products.
It gas 1000+ employees, 12 plus sales office and 400 service engineers. Further, it has set up R&D centres in India to support the design and development of global products and 4 manufacturing facilities to realise Japanese manufacturing quality in India.
As a company, Fuji Electric aims to reduce greenhouse gas emissions from production processes by more than 46% at the end of 2030. We also aim to achieve carbon neutrality by 2050, stated Deenathayalan.
