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FARMINGDALE, N.Y., Sept. 1, 2015 /PRNewswire/ — Cemtrex, Inc. (NASDAQ: CETX) (www.cemtrex.com) today announced that the company plans to venture into the emerging renewable energy sector in India to participate in a market that is expected to grow from 1,500 Megawatts in 2014 to 100,000 Megawatts in 2022.
The Company is in preliminary discussions with several state agencies in India who are giving incentives to independent developers for procurement of energy in phased manner over a 25 year period. The Company plans to set up a wholly owned subsidiary in India to setup and operate a 100 MW solar power plant and thus carry out its objectives of expansion into the renewable energy sector.
The wider energy goal of the Indian government is to reinforce the country’s energy security, and Prime Minister Narendra Modi has targeted renewable energy as the most likely route to energy independence. The goal is to hit 175 GW of solar PV, wind, and biomass generation by 2022, and the country has earmarked around $200 billion in investment required.
Saagar Govil, Chairman and CEO of Cemtrex said that "The ‘Make in India’ initiative of the Indian government provides a perfect incentive for us to take advantage of lucrative opportunities in this emerging market."
According to Mercom Capital, India is on course to grow its solar capacity by 2.5 GW in 2015 and is certainly poised to become a leading player in the global solar landscape. "India is replicating Germany’s and China’s systematic electricity sector transformation, with the added advantage that the cost effectiveness of this is accentuated by the fact that the price of solar electricity has dropped by 80% in five years," said Institute for Energy Economics & Financial Analysis (IEEFA) director of energy finance studies, Tim Buckley.