Page 85 - Nuvama | IC Report 2023

INDIA: THE 5D ADVANTAGE

Why New Energy is critical

The need for New Energy, i.e. renewable energy, principally originates from three aspects:
• reducing carbon emissions
• evolving geopolitics, which warrants energy security
• India’s competitiveness, given it has abundance of sun and sand—key resources for new energy.
We discuss each of the three points.
Exhibit 2:
Key drivers of
New Energy
1 2 3

Reducing Energy India’s
carbon emissions security competitiveness
Source: Nuvama Research
Reducing carbon emissions

The real cause of global warming is centuries of carbon emissions since the Industrial Revolution (1760 Exhibit 3:
Surface
to 1840). Consequently, the global surface temperature has been rising rather alarmingly lately. temperature
anomalies are rising

1.5 ˚C

1.0 ˚C

0.5 ˚C

0 ˚C

-0.5 ˚C
1950 1960 1970 1980 1990 2000 2017
United States' surface temperature anomaly India's surface temperature anomaly
Source: Surface temperature anomaly, HadCRUT4

83