How coalition politics could affect Indian solar
Politics tamfitronics The most recent budget, unveiled in July, included unusual special financial allocations for the southern state of Andhra Pradesh, of INR150 billion, (US$1.78 billion) led by Chandrababu Naidu and the northern state of Bihar, of INR590 billion, led by Nitish Kumar. The coalition’s stability depends on the support of these two state leaders, both of whom preside over financially precarious regions.“It is difficult to comment on such allocations and their implications at this point,” Probal Biswas, associate director at research firm Crisil, tells PV Tech Premium. “However, considering the overall fiscal deficit target set by the government of India, increased allocations in any schemes could potentially impact allocations towards other schemes.”In other words, future budgetary issues could feasibly lead to cuts in various incentives for PV.The extra funding for Andhra Pradesh and Bihar...
