GOING GREEN

Indian government has an ambitious plan of achieving 100 GW of solar generation capacity by 2022. In line with this, the center set a target of 48 GW of solar power capacity by March 2019. Apart from investments in solar, India is also promoting other renewable energy sources such as Wind, Bio Fuel etc.

Furthermore, the government is implementing its green initiatives in mobility as well. For this, it introduced National Electric Mobility Mission Plan (NEMMP) 2020, which sets certain targets of electric vehicles in the country by year 2020. In addition, the government provided aids to this program in Budget 2016 and Budget 2017.

Benefits:

Saving energy along with renewable methods to generate it are likely to help India achieve its going green mission in the upcoming years. These initiatives may primarily benefit the following sectors:

Renewable Energy: As the government is incentivizing the companies to transform from traditional power generation methods to use renewable mediums of power generation, these initiatives are likely to benefit the companies generating power through these sources.

Batteries: Battery is heartbeat of the government’s electric mobility plan. Hence the NEMMP is likely to benefit Battery companies the most.

Based on positive impact of Green Power on the sectors, mentioned above, we have chosen three quality stocks from ‘Renewable Energy’ / ‘Energy Saver’ Sector, and two Battery stocks. These stocks are fundamentally good and are amongst the most appropriate beneficiaries, of the measure.