ESG Presentation 2022 by CKR_23rd Jan 2022.pdf

USEFULL SCRIPT

1. Emerging Energy Technologies
Clean Energy Ideas for 2022
CHERUKURI KUTUMBA RAO
23-01-2022

2. Preventingglobalwarmingfrombecomingaplanetarycatastrophemaytakesomething
evenmoredrasticthanrenewableenergy,superefficienturbandesign,andglobalcarbon
taxes.
JamaisCascio
Thefutureisgreenenergy,sustainability,renewableenergy.
ArnoldSchwarzenegger
Anincreasedpushforenergyefficiency,renewableenergytechnology,electricmobility-
alongwiththegrowingdigitalizationmovementandauniversalcarbonpricingstructure-
wouldspeedupthecarbon-freefutureandtheriseofaglobalmiddleclasswedesperately
need.Wecanandmustalldoourpart.
JoeKaeser

4. Environmental,SocialandGovernance(ESG)criteriaareasetofstandardsforafirm’soperations.
Corporatebehavior
Thereisgrowinginterestinenvironmental,socialandgovernance(ESG)considerationsinthebusinesscommunity.Manypeoplehave
strongviewsandexpectationswhenitcomestocorporatebehaviorandatthesametimeanappreciationthatbusinessesarepartofthe
solutiontomanyoftheworld’scurrentandemergingenvironmentalandsocialchallenges.It’snotjustinvestorsthataretakinganincreasing
interestinthebehaviorofbusinesses,it’scustomerstoo.AlthoughtheoriginsofESGcriteriastemfromtheinvestmentandasset
managementindustry,allbusinessescanengageinbeingmoreenvironmentallyandsociallyresponsible.
Brandenhancement
Inthepast,sustainabilitymayprimarilyhavebeenlookeduponasawaytomanagereputationalrisk.Butinrecentyears,theseobjectives
havebecomeinadequateandsomewhatoutdated.TheexpectationtoconductbusinesssustainablybyintegratingESGobjectivesintothe
businessmodelhasmoreorlessbecomemainstreamandisconsideredahygienefactorformoderncompanies.ESGisalsoanopportunity
forbrandenhancement,attractingtalentandcustomers,andstreamliningthebusinessmodel.Whilelargebusinesseshavetheadvantage
ofresourcesandbigsustainabilityteamstodraftuppoliciesandguidelines,developgreenproductsandenterintohigh-levelagreements,
smallbusinessestendtohaveswifterdecision-makingprocesses,lessbureaucracy,moreflexibilityandaresometimesclosertothe
customer.Entrepreneursandsmallfirmsoftenhavetheadvantageofbeinglocal,withastorytheconsumercanidentifywith.
Goinggreen
Goinggreenjustmakesitbetter.Smallermarginsmeanasmallbusinesscouldsavealotthroughrelativelysimplechangessuchas
switchingtodigitalreceipts,usingnon-disposablecoffeecups,switchingtorenewableenergy,usingrecycledproductmaterial,improve
wastemanagement,andsoforth.Adjustmentsthatcouldmakeasignificantfinancialdifferenceforasmallcompany,whilesimultaneously
decreasingitscarbonfootprint.
ESG –What’s It All About?

7. Initscurrentform,ESGmaynotprovidea
distinctedge.Further,wehavelimiteddata
onwhichtobaseourdecisions.Butasmore
companies become ESG-conscious,
investmentmanagement teamswould
automaticallyembraceESGintheir
investment-evaluationapproach.Andifthe
superiorperformanceclaimsofESGdo
materialize,thenahigherdegreeof
representationofsuchcompanieswould
naturallybethereinmainstreamdiversified
funds.Afterall,morecompanieswhichare
genuinelyresponsivetowardsthe
environmentandsocietyareineverybody's
interest.
Tillthattimeisitbettertostayonthe
sidelinesandwatchthistrendunfold.One
cancontinueinvestingingooddiversified
fundsthathaveallofthebasescoveredin
termsofrisk,whetherESG-relatedornot.

8. Top 10 Energy Industry Trends in 2022
1.Renewables
Usingrenewableenergyhelpspreservetheenvironmentasitproducesminimaltozeroharmfulemissions.Thebasic
principleofusingrenewablesistoextractitfromaconstantsourceintheenvironment,likethesun,thewind,orthrough
geothermalsources.Thenextimportantfactoristoconvertthesourceintoproductiveelectricityorfuels.Therangeof
technologiesthatcatertothedifferentaspectsofgeneratingpowerorheatfromrenewablesformsoneofthebiggestenergy
industrytrends.Thisincludesreducingcostsforthemanufacturingofrenewablesinfrastructureandgeneratingpowerwith
higherratesofefficiency.
2.InternetofEnergy(IoE)
Traditionally,electricpowersystemsuseacentralarchitectureduringconstructionthatbringsanewsetofchallengestothe
industry.IoEaddressesseveralofthesechallengesandoffersgreaterefficiencyandoptimaldesignforbuildingenergy
systems.TheInternetofEnergyimplementsintelligentdistributedcontrolthroughenergytransactionsbetweenitsusers.This
newenergygenerationparadigmdevelopsasmartgridandimprovescoordinationandoptimizationinthemacro-energy
system.
3.EnergyStorage
Today’stechnologiesprovideasufficientlevelofgeneration,however,theylackcost-effectiveenergystoragesolutions.
Energystorageenablesstablepricingbyproactivelymanagingdemandfromconsumers.Byhavingtheopportunityto
purchaseenergyforfutureuse,consumerspotentiallystockitupduringidealconditions.Thisaccumulatedenergylaterhelps
inreducingthegridloadsduringpeaktimes,whileprosumersearnmoreasbuyingenergybecomesexpensive.

9. 4.Blockchain
Blockchaintechnologyintendstouniteallenergystakeholdersunderasingledecentralizednetwork.Electricityproducers,
distributionnetworkoperators,meteringoperators,providersoffinancialservices,andtraderspotentiallybenefitfrom
utilizingsmartcontracts.Thesecontractsensurethatallenergy-relatedtransactionspassthroughasecureand
immutablenetwork,thuseliminatingpotentiallosses.Blockchainalsoholdsthepotentialforachievingsomedegreeof
equalitybetweenenergyproducersandconsumersbymakingelectricityaffordableformorepeople.
5.Energy-as-a-Service(EaaS)
Somevisionsoftheenergysysteminthefuturemainlyrevolvesarounddistributedenergyresources(DERs)thatare
monitoredbyacombinationofAIandIoT.Togetherwithblockchainandagrowingnumberofenergyprosumers,these
componentscompriseenergy-as-a-servicesolutions.EaaSallowsforthetransitionfromsellingelectricitytoselling
servicessuchasconsumptionmanagement,optimizationofproduction,andtrackingconsumption.Thepresenceoflocal
energysourcesandstorageoptionsaccelerateenergyefficiencyacrossthegridwhileprovidingaccesstomorepeople.
6.DistributedEnergyResources
Distributedenergyresources(DERs)enablethegenerationofelectricityorheatattheplaceofitsconsumption.The
absenceofanetworkeliminatesthelossandcostofenergytransmission.Thisimpliesthepresenceofmanyconsumers
whoproduceenergyfortheirownneeds,directingtheirsurplustothecommonnetwork.Withintheframeworkofthis
concept,smallandmediumpowergenerationunitsactasdistributedenergygenerators.Further,itreducesenergy
productioncostsandmakesoptimumuseofexistingenergygenerationcapacity.

10. 7.DemandSideManagement(DSM)
DSMreferstotherationalizationofdemandtoensurecompliancewiththecurrentorpredictedcapabilitiesofapower
system.Rationalizationconsistsoftwomaincomponents–demandmanagementandenergyefficiency.The
managementofdemandforelectricityusuallyreferstotheshiftingofconsumptionfrompeaktooff-peakperiods.
Simultaneously,energyefficiencyimpliesacontinuousreductioninelectricityconsumptionbyintroducingefficient
consumptionequipmentorprocesses.
8.QuantumComputing(QC)
Quantumcomputingintheenergysectorfocusesondevelopingnewenergysolutions,improvingenergyefficiency,
andreducingtheuseofgreenhousegases.Thescaleandcomplexityofchallengesfacingtheenergysectorgo
beyondmoderntechnologyandarewellsuitedfortestingonquantumones.Recentscientificstudiesrevealthe
advantageofusingquantumcomputingplatformstosolveseeminglymundaneproblems.Forexample,allocating
spacefordevelopingenergyinfrastructureorincommittingquantityorunitsofelectricitygeneration.
9.Vehicles-to-Grid(V2G)
V2GisasysteminwhichEVssellenergyinresponsetodemandeitherbyreturningelectricitytothegridorbycutting
theirchargerate.IfEVbatterieslaterreturnenergytothegridthroughchargingstations,itispossibletouseitasan
energystorageasset.ChargingEVsforlowercostsduringweakdemandsupportsthenetworkduringpeakloads.
Theseflexibleandaccessiblebufferspotentiallyreducethehoursofapoweroutage.

11. 10.Power-to-X(PtX)
Reducinggreenhousegasemissionsbyimprovingenergyefficiencyandusingrenewableenergysourcesareplaying
anincreasinglyimportantroleworldwide.Power-to-Xtechnologiesforelectricityconversion,energystorage,and
reconversionpathwaysseeincreasinginterestfromtheindustry.StartupsandemergingPtXtechnologiesconvert
energyandcarbondioxide(CO2)intonewproductsandmaterialsthatareusedforseveralotherpurposes.
Theenergysectorfacesincreasingpressurefromvariousstakeholders,fromconsumerstoutility-scalepower
plants,toreducethecostofrenewableswhilesimultaneouslyimprovingtheadoptionrateofrenewableenergy.
Startupsandemergingcompaniesdeveloparangeofsolutionsthatcatertobothenergyproducers,consumers,
aswellasprosumers.Technologiestoreducethecostofsolarandwind,increasethecapacityofenergy
storage,andimprovetheefficiencyofbatteriesgeneratesinterestandinvestmenttodevelopnoveltechnologies.
Inaddition,implementingAI,blockchain,machinelearning,andtheinternetofenergytechniquestransformthe
processesandbusinessmodelscurrentlyemployedintheenergysector.

12. Electric mobility 2.0: Tracking the next wave in India
FromEVproducersandbatterymakerstocompaniesbuildingcharginginfrastructure,anycompanywithatie-into
electricvehicleshasgottentheTeslabump.Industryleaders,marketparticipantsandpolicymakersincreasedtheir
investmentsinEVsin2021andsawhugegainswithreturnsonpure-playEVsrangingbetween5-10times.Thisshift
toEVsisundeniableandthemomentumislikelytocontinuein2022.
Driversofgrowth
Withincreasedenvironmentalawareness,severalindividualsarechoosingtoswitchfromfossilfuel-poweredvehicles
toelectricvehicles(EV)eachyear.Favorablegovernmentpoliciesandsupportintermsofsubsidiesandgrants,tax
rebatesandothernon-financialbenefitsintheformofeasyaccesstofinancealongwithdecliningbatterypricesare
settoboosttheIndianelectricvehiclemarket.
Theecosystem
Thekeyenablersforelectricmobilityalsoincludeamultitudeofotherplayers—fromcharginginfrastructureproviders
toinformationservices.Businessmodelssuchasbatteryleasing,batteryswapping,charginginfrastructure,
stationarystorage,andsmartgridsolutionsareworkingtomaketheEVpropositionmoreattractive.Policyhas
playedanimportantroleinpromotingelectricmobility.TheNationalElectricMobilityMissionPlan(NEMMP)and
FasterAdoptionandManufacturingof(Hybrid&)ElectricVehiclesinIndia(FAMEIandII)helpedcreateinitialinterest
andexposureforelectricmobility.Afterthat,schemesandinterventionshavedrivenelectricmobilityatthecentral
andstatelevels.

15. Theelectricvehicles(EVs)disruptioninIndiaisbeingledbykeyfactorslikeitsaffordability,sustainability,performance.
EVsareanemergingopportunitywithgovernmentpoliciestoreducerelianceonoilimports,andrecentlyannounced
subsidieslikeFAMEthathavebeenprovidingimpetustoEVsalesinseveralstates.ExpertsbelievethatadoptionofEVs
wouldbeatransitionalchangeratherthananabruptone.EVadoptiontobeprominentinthe2-Wheelersegmentfollowed
byPublicMobility.Theadoptionwouldbeslowandgradualinthe4-Wheelersegmentowingtobettereconomies
associatedwithupcomingbiodieselandhybridvehiclesinIndia.2-Wheelersareinabetterpotentialadvantagefrom4-
WheelersasfarasEVtransitionisconcernedascarelectrificationlooksabitfarawayandmaynotbewidelyadopted.
India'sEVrevolutionthathasjuststartedwillleadtocreatemanybeneficiaries.Lookforcompaniesthatengagewith
multipleproductswithkeyoriginalequipmentmanufacturers(OEMs)andthosethatcanbetop3marketsharepositionin
mostoftheirproducts.RememberthatEVisevolvingwithreallynocleartechnology.Indiamightevenhavecombination
ofethanolblended,CNG,hydrogen,LithiumbasedEVornon-lithiumbasedEVs.Analystsbelievethatthemain
roadblocksduringthetransitionwouldbethehighinitialpurchaseprice,rangeoftravel,andtheissuerelatedtothelackof
charginginfrastructureinthecountry.

16. WhichcompanieswillbenefitfromelectricvehiclesinIndia?
MajorautomobilecompaniesandbatterymanufacturerslikeMahindra&MahindraLimited,TataMotorsLimited,
AmaraRajaBatteriesLtd,andExideIndustriesLtdaregoingtogetbenefitedfromelectricvehiclesinIndia.
Whichstockwillbenefitwhileimplementingelectricvehicles?
Electricvehiclestocksofmajorautomobilemanufacturersandbatteryproducersaregoingtogetbenefitedfromthe
launchofelectricvehicles.
Whicharethestocksrelatedtoanelectricvehicles?
Someofthemajorstocksrelatedtoelectricvehiclesarefromtheautomobilegiantsandbatterymanufacturerslike
Mahindra&Mahindra,MarutiSuzuki,HeroMotocorp,AshokLeyland,Exidebatteries,andAmarRajabatteriesLtd.
WhicharethetoplistedelectricvehiclecompanystocksintheIndiansharemarket?
SomeofthetopelectricvehiclecompaniesintheIndianstockmarketare:
–Mahindra&MahindraLimited
–TataMotorsLimited
–TataPowerCompanyLimited
–MarutiSuzukiIndiaLtd
–AshokLeylandLtd
–OlectraGreentechLtd

17. Whichareelectricvehiclebatterymanufacturer’sstocksinIndia?
TopelectricvehiclebatterymanufacturersstocksinIndiaare:
–AmaraRajaBatteriesLtd
–ExideIndustriesLtd
–HighEnergyBatteries(India)Ltd
–HimadriSpecialityChemicalLtd
WhicharesomeoftheelectricvehiclepennystocksinIndia?
SomeoftheelectricvehiclepennystocksinIndiaare:
–HimadriSpecialityChemicalLtd
–IndianOilCorporationLtd
–AshokLeylandLtd
–Tatapowercompany
WhatisthebestelectricvehiclestocktobuyinIndia?
ThebestelectricvehiclestockstobuyinIndiaare:
–Mahindra&MahindraLimited
–TataMotorsLimited
–TataPowerCompanyLimited
–MarutiSuzukiIndiaLtd
–AshokLeylandLtd

18. Predictions 2022 for opportunities in EV Ecosystem
#Charging infra rise to take EVs beyond metros. Tier-II and III cities are an attractive market for any company, and we will see a
rise in charging and swapping infrastructure there.
Mainstream adoption of battery swapping
2021sawsomebatteryswappinginpockets,withafewOEMslaunchingswapping-firstproductsandvisibleswapping
infrastructureinmetrocities.Thishashelpedbreakthemythsassociatedwithswappingasasolutionandshowcasedhowitis
superiortocharging.Itsavesdowntime,removestherecurringcapexproblem,andlowerstheupfrontcosttopurchasethevehicle.
2022willseebatteryswappingbecomeamainstreampropositionfortwo-wheelersandthree-wheelers,especiallyincommercial
usecases,whichwillbeoneofthemostsignificantchangesintheEVspace.Toputthisintoperspective,today,withallswapping
playerscombined,Indiahaslessthan1lakhbatteriesincirculation.Thisnumberissettogrowby100timesin2022,with10crore
batteriesbeingutilized.
Theyearoftwo-wheelers
Onelakhelectrictwo-wheelersweresoldthisyear,whichis1%ofthetotaltwo-wheelersales.Observersanticipatethistoincrease
to4-5%shareinthecomingyear.Everythingfromthepricepointtosubsidiesfromthegovernmentandpoliciestoinfrastructure,
IndiaisexactlywhereChinawasin2016withrespecttoEVtwo-wheelers.Fastforwardfiveyears,Chinanowhas300million
electrictwo-wheelersontheroad.Followingthesametrend,Indiamightreachsimilarheightsinthenext6-7years.Alreadywecan
seeearlyindicators,asthesecondhalfof2021sawsignificantlauncheslikeOla’sElectricS1,Ather’s450x,andBounce’sInfinity
E1.Alloftheseproductshavejuststartedtohittheroad.

19. India's Top Renewable Energy Stocks: Big Returns Or Boring Returns?
Investingindisruptiveandnichebusinesseshasbecometheinvestmentthemelately.However,ifyouthinkaboutit,thereisn'treally
anythingnewaboutit.Thishasalwaysbeenthewayoflifeandbusinesses.Traditionalbusinessesaretoobigandsetintheirold
ways.Andtheoneindustryseeingahugeamountofmoneybeingpumpedinistherenewableenergyspace.Investorsarefalling
headoverheelswhenevertheyheartheterm‘renewableenergy'.Let'slookatthetopcompaniesfromtherenewableenergysector
andseeifthey'regivinginvestorstheirmoney'sworth.Herearesomeexamples:
#TataPower
TataPowersharesareonadreamrunthisyear.Why?Becausethislegacypowercompanyisforayingintonew-agetechnologies
andthemarkethasfactoredinthenews.TataPowerisoneofIndia'sleadingplayersintherenewableenergyspacewithrenewable
powercapacityof2.6gigawatt(GW)in11states.It'swell-positionedtorespondtotheshiftinglandscapeofIndia'srenewableenergy
push.TataPowerisplanningtotakeitsrenewableproductiontomassive15GWby2025.Thecompanyisafront-runneracrossthe
renewablespectrumthroughitssubsidiaries,TataPowerRenewableEnergy,TataPowerSolarSystems(TPSSL),andWalwhan
RenewableEnergy(WREL).Apartfromrenewableenergy,TataPowerisacingtheEVrace.TataPowerhasvariousordersupits
sleeveintheelectricvehicle(EV)chargingstationssegment.Overthepastthreemonths,TataPowersharepriceisup72%.
Whencomparedyearly,thestockisupawhopping210%inthepast12months.Althoughtheprospectslookgood,thesharprunup
inthestockpriceoverthelastfewmonthsseemstohavecapturedalotofthatupside.Infact,inourview,themarketsmayhave
overdonethebullishnessabit.Thus,ifyouhavenotinvestedinthestockalready,itmaybeagoodideatostaggeryourpurchase
andnotbuyeverythinginonego.Afterall,itpaystobeconservativeifonehasanydoubtsaboutthevaluationofastock.

20. #AdaniGroupStocks
ItwasinSeptemberthisyearwhentheAdanigroupdecidedtotakeonRelianceIndustries.
BillionaireGautamAdanihasmadeitclearhehasbigplansforthisspace.Herecentlyannouncedplanstoinvestupto$70
billion(Rs5.3lakhcrore)inrenewableenergyoverthenextdecadeandproducethecheapestgreenhydrogenintheworld.
Infact,heplanstoinvestthemoneyacrosstheentiregreenenergyvaluechain.
Toincreaseitspresenceincleanenergyspace,recently,GautamAdani,chairpersonofAdaniGroup,sealedthelargestdealin
India'srenewablesectorwithacquisitionofSBEnergyfor$3.5billion.
#JSWEnergy
JSWEnergysharepricehasoutperformedalltheabove-mentionedstocksbyagoodmargin.
Fromtradingat₹65ayearago,JSWEnergycurrentlytradesat₹300pershare.That'sa360%gaininjustoneyear.
#RelianceIndustries
RelianceIndustrieshasformedaslewofpartnershipsforitsgreenenergyplans.Thisincludessolar,battery,andhydrogen
investments.Theoil-to-retailconglomerateannouncedawaveofpartnershipswithREC,NexWafe,SterlingandWilson,Stiesal,
andAmbriforanestimatedcostof$1.2billion.Thecompanyrecentlyannounceditsplanstobecomeanetcarbon-zerofirmby
2035.Itaimstoreplacetransportationfuelswithcleanelectricityandhydrogen.
Reliancewillinvest₹75,000croreoverthenextthreeyearsinrenewableenergy.Outofthis,itwillinvest₹60,000croreina
5,000-acre,greenenergyintegratedcomplexcalledDhirubhaiAmbaniGreenEnergyGigaComplexinJamnagar,Gujarat.
Thecompany'sintentionstofocusonrenewableenergyandreducehydrocarbonfootprintbecameevenmoreevidentwhenit
announceditsexitfromtheshale-gasbusinessinNorthAmericalastmonth.

21. Hydrogen Technologies
Somecallitthenewoil,somecallittheblueenergy.Asthenumberofgreenenergyresearchesandprojectsis
skyrocketingaroundtheworld,hydrogenenergywillchangetheworldthroughdecarbonizingarangeofsectors.This
cleanenergycarriercanbeproducedfromanyenergysourcesuchascoal,gas,andby-productsbesidesrenewable
sources.Hydrogengenerationfromrenewablesourcesisbasedonelectrolysiswhichistheprocessofusingelectricity
tosplitwaterintohydrogenandoxygen.However,hydrogenproductionfromconventionalresourcescauses
greenhousegaseswhichisthemainreasonforclimatechange.Thankfully,advancesincapturingCO2haveeased
someofthoseconcernsaboutconventionalhydrogenproduction.Nevertheless,therearesomedrawbacksthathave
tobetackled.Hydrogenenergyfaceschallengesintermsofsupplylogisticsandproductionupscaling.Inaddition,
productionfromrenewablesourcesisstillcostly.
Whenitcomestohydrogenenergy,costisthekeyconcernforcompanies.Hydrogenproductioncosts3-7.5USD/kg
fromrenewablesourceswhile0.9-3.2USD/kgfromnaturalgas,accordingtotheIEAhydrogenreport2018.
Fortunately,thecostsofproducinghydrogenfromrenewableelectricityarefallingrapidly.AccordingtoIRENA,itis
expectedthatthecostofproducinghydrogenfromrenewablesmightbe0.9-1.2USD/kgfromwindand1.1-2.5
USD/kgfromsolaruntil2050.US,SaudiArabia,Australiaplantotakeadvantageofsolarenergytoproducegreen
hydrogeninadditiontohydropowerforNorway.Thedemandforhydrogenisincreasingintheindustry.Anotherareaof
useispowergeneration.Hydrogenmaybeoneoftheleadingoptionsforstoringrenewableenergy.Thereareseveral
hydrogencompaniesyoucaninvestintoridethewaveofgreenenergy.

22. Budget 2022: Expectations for the EV Industry
RevisedguidelinesandstandardsforcharginginfrastructureforEVpromulgatedbyMinistryofPowerisagreatprecursorto
Budget2022.Goingbythat,EVindustryhashighhopesforthisyear'sunionbudgetandareconfidentthattheGovernmentwill
continuetotakethenecessarystepstoputIndiaontheglobalEVmap.Unlikeearlieryears,EVisnowmainstream,andthe
Budgetmusttreatthisasasunriseindustry.Foradecade,weasanationmissedtheboatonproductdevelopmentand
manufacturingforthesolarindustry.
ThefundamentalkeyexpectationfromBudget2022isthatcharginginfrastructureinthecountryshouldbeenabledatafaster
rate.FAMEschemeshouldincreasinglyencompassEVcharginginfrastructurealotmorethanwhatweseeinthepreceding
years.
TheBudgetshouldaddresstheinclusionofretrofitincentiveprogrammesinFAMEIIpolicy.Buttoreachtheplansandgrowth
envisagedintheEVspace,theGovernmentwillneedtotakeastandonthechickenandeggstoryandhelpfuelupthe
charginginfrabyallocatingahigherbudget.
TheEVcharginginfrastructureshouldnotbeconfinedtobuildingnewchargingstations;itneedstobroadenthehorizon.
Significantinvestmentshouldbemadeintheinfrastructureindustryasawhole,particularlyinspecializedfreightcorridorsand
highways.Furthermore,additionalinformationandspecificsonthePLIprogrammetoassistthelocalizationoftheEVsupply
chaininthenationtoenableinnovationshouldbedisseminated.Amoreefficientregulatoryapprovalmechanismwillalso
benefitthesector.

23. FromanEVchargingperspective,industryhopesthattheBudgetwillcoveronecrucialaspect:toaddresstheelectrificationof
EVchargingviaopenaccessandthetaxationandwheelingchargestherein.ThiswillrequirerelookingattheCERCandopen
accessfromanon-traditionallensofthelicensedactivity.AdropinthetaxrateonEVcharging-as-a-servicewouldalsoencourage
moreChargePointOperatorstosetupthebusinessandremovethefearofnothavingenoughchargingstationsfroma
consumer'sheadwhenitcomestoadoptingEVs.WerequesttheGovernmentalsotobeliberalwithinfrastructurespendingand
associatedsubsidiesatresidentialareas,whichwillincreaseEVpenetrationacrossthecountry.
FromanEVchargermanufacturingperspective,tominimizeworkingcapitalblockage,theGovernmentshouldextendend-use-
basedbenefitstotheEVindustrylikeloweringGSTratesonrawmaterials,allowingdutyrefundsforresearchanddevelopment,
andcapitalexpenditureoncapitalexpenditureEVchargers.Especiallyforstart-upslikeoursinafledglingandever-changing
industry,offsettinginputsonsuchR&DviaGSToffsetswillgoalongway.TheGovernmentshouldprovideincentivestoEV
businessesforR&D.GiventheGovernment'sgoalforAtmanirbharIndia,Indiamusttaketheleadindevelopingnewtechnologies
thatwillreshapetheEVIndustry.TheGovernmentshouldincentivizemanufacturersandacademiatoworktogethertomakethis
happen.
FromEVFleetoperatorsperspective,EVadoptionislowinIndiaduetoalackofcharginginfrastructure;hence,policies
promotingEVusewillbenefit.ThelegislationrequiringtheuseofEVfleetsfordeliveryandhyperlocalenterprises,backedupby
taxbreaks,willbeawelcomechange.OnewaytoexcitethefleetindustrytoturnelectricquicklycouldbetowaiveofftollsforEV
fleetsforoneyear.ThiswouldreducethecostofoperationsforMaaSprovidersandallowthemtopassonsomeofthe
advantagestocustomers,allowingtheentireecosystemtoadoptEVssooner.
ForIndiatorealizeitsfullpotentialandtransitiontoaneraofelectricVehiclemobility,itisvitalthatallrelevantstakeholders
recognizethesignificanceoftheissueandworktomakeitarealitybycombiningallvariables.

24. CITY GAS DISTRIBUTION
Atypicalcitygasdistributionprojectconsistsofthefollowingsegmentswhichitcatersto:domestichouseholduse;
commercialuseinhotels,hospitals,restaurantandoffices;transportsectoruseinthreewheelers,buses,trucksand
cars.Itisalsousedbysmallscaleindustriesforpowergeneration.HouseholduseofgashaspickedupinIndia
especiallywhenmultipleuseofNaturalGasinhouseholdshasbeeneffectivelydemonstrated.Fromgasbeingusedfor
cooking,waterheating,spaceheating,airconditioning,refrigeration,powergenerationandfuellingthevehicle,the
conceptofasingleswitchsolutioninthehouseholdsectorispickingupmomentum.Thisconceptprovidesthata
householdcouldbeself-containedasgasuserstomeetitsallenergyneedsatonegothatmeansoncethegassupply
isswitchedon,alltheseservicescanbesecuredwhichareallgasbasedofcourseselectivelyorneedbased.Inthe
commercialsector,citygasisfoundtobeveryusefulinapplicationslikecooking,airconditioning,powergeneration.
TheconceptofCombinedHeat&Power(CHP)isgettingpopularinIndiawhereinthesystemhasmuchhigherthermal
efficiencyascomparedtootherconventionalservices.
TheuseofNaturalgasinthetransportsectorhascontributedsignificantlyinthecontrolpollutionduetovehicular
exhaustemissions.Apartfromthis,naturalgasasCNG,hasbeenabletoreplacehighpricedhydrocarboncommodity
likepetrolanddiesel,furtherhelpingthecountrytoreduceoilimports.
BenefitsofPNG
Safeandassuredsupplyofgastodomestic,commercial&industrialsectors;Convenienttouse;Economicallymore
viablecomparedtootherfuelsinsamesector;Notrafficdisruptionassuppliedthroughpipelines;Continuoussupply;
andNowastage,nohassleforreplacementofcylinder,noneedforcylinderbooking

25. RecentDevelopments:
Astrongemphasishasbeenlaidonexpansionofcitygasdistributionnetworksacrossthecountrybycovering407
districtswithpotentialtomakegasaccessibletoover70%ofpopulation.Thereisanexpectedinvestmentof
Rs120,000croresinoverthenext10years.Gascomprisesabout6.2percentofIndia’sprimaryenergymix,far
behindtheglobalaverageof24percent.Theregulatorhasauthorisedapproximately33,764kmNaturalGas
PipelineNetworkacrossthecountry.
Intherecent10thround,PNGRBhadgivenawaycitygasdistributionlicencesfor50geographicalareas.At
present,thereare228geographicalareasauthorisedbyPNGRBin27statesandUnionterritoriescoveringabout
53percentofthecountry’sgeographyand70percentofthepopulation.
Duringthebiddingforthe11throundofcitygasdistributionauction,theregulatorsaidallthe65geographical
areasgotmultiplebids,whichindicatesgrowingcompetitioninthecleanenergyfueldistributionbusiness.Thecity
gasdistributionnetworkhasreceivedabout430bidsin65geographicalareas,whichisexpectedtoresultin
investmentsworthRs80,000crore,thePetroleumandNaturalGasRegulatoryBoardhassaid.Afterthe
completionofthe11thCGDround,96percentofIndia’spopulationand86percentofitsgeographicareawould
becoveredundertheCGDnetwork.
Gascomprisesabout6.2percentofIndia’sprimaryenergymix,farbehindtheglobalaverageof24percent.The
governmentplanstoincreasethisshareto15percentby2030.India’sgasdemandisexpectedtobedrivenby
thefertiliser,power,citygasdistributionandsteelsectors.India’senergydemandisexpectedtogrowat4.2%per
yearoverthenext25years.

26. Greenflation
Renewabletechnologiesrequiremorewiringthanthefossilfuelvariety.Solarorwindpowerplantsuseuptosix
timesmorecopperthanconventionalpowergeneration.It’swellknownthatthefightagainstglobalwarmingis
raisingdemandforgreenmetalssuchascopperandaluminium;lesswellknownisthatgreenpoliticsis
reducingrawmaterialsuppliesofallkinds.Investmentinminesandoilfieldshasdroppedsharplyoverthepast
fiveyears.Sincethelowpointearlylastyear,thepriceofcopperisupmorethan100percent,whilealuminiumis
up75percent.Unusually,theirupwardclimbhasbarelyweakenedwithrecentsignsofwaningmomentumin
globalgrowth.Theresultis“Greenflation”incommodityprices,whichjustsawtheirbiggestyearlyincreasesince
1973.Inthe2000s,analystswerebullishoncommodityprices,owingtodemandfromChina.Now,iftheyare
bullishitisbecauseofincreasingdemandfromgreenprojects.ThegreeneconomyisthenewChina.
Newgovernment-directedspendingisdrivingupdemandformaterialsneededtobuildacleanereconomy.Atthe
sametime,tighteningregulationislimitingsupplybydiscouraginginvestmentinmines,smelters,oranysource
thatbelchescarbon.Theunintendedresultis“Greenflation”:risingpricesformetalsandmineralssuchas
copper,aluminiumandlithiumthatareessentialtosolarandwindpower,electriccarsandotherrenewable
technologies.Tounderstandthisnewinflationarypressure,readBillGates’spresentationofthe“green
premium”inhisbookHowtoAvoidaClimateDisaster.

27. THANK YOU