How India can tap into the $20 billion renewable energy market with AI and SCADA

As the global energy landscape shifts towards sustainability, India’s renewable energy sector is experiencing unprecedented growth. With a total non-fossil fuel-based energy capacity reaching 217.62 GW as of January, 2025, the nation is steadfast in its commitment to achieving 500 GW by 2030.

This ambitious expansion necessitates innovative solutions to manage and optimise the burgeoning infrastructure, and Remote Asset Management (RAM) emerges as a pivotal strategy in this endeavor.

The Rise of Remote Asset Management in Renewable Energy

Remote asset management leverages advanced data technologies, such as Supervisory Control and Data Acquisition (SCADA) systems, to monitor and control renewable energy assets from centralised locations. By integrating SCADA data directly with solar panels and wind turbines, operators gain real-time insights into performance metrics, enabling proactive interventions like adjusting operations during non-productive periods and scheduling timely maintenance. This data-driven approach not only enhances operational efficiency but also extends the lifespan of assets.

A Comprehensive Approach to Asset Management

Beyond monitoring, a holistic RAM strategy encompasses maintenance, analytics, financial management, and regulatory compliance. This integrated framework empowers renewable energy providers to make informed decisions, maximise energy yield, and minimise operational costs. In an era where digitalisation is paramount, such an approach streamlines operations, conserves resources, and translates asset-level performance into tangible financial outcomes—a critical factor as renewable energy’s share in the global energy mix continues to rise.

Economic Implications and Investment Opportunities

The financial prospects of RAM in India’s renewable sector are substantial. To achieve the 500 GW renewable energy target by 2030, an estimated capital expenditure of around $350 billion is required over the next 4-5 years, according to an internal study from TruBoard Partners. A large part of this investment will be driven by institutional investors and foreign funds through their domestic or international renewable platforms.

Of this investment, approximately 70-73% is allocated for Engineering, Procurement, and Construction (EPC), covering equipment procurement and plant commissioning. Operations and Maintenance (O&M) account for 15-20%, while technology-driven remote asset management comprises about 5-7%. This allocation indicates a potential $20 billion investment in RAM solutions within the next five years, underscoring the significant market opportunity for technology providers and investors. 

Enhanced participation and compressed IRRs (Internal Rate of Returns)

Government initiatives and policies have attracted participation from new entrants in the sector resulting in healthy competition and IRRs getting compressed under the reverse auction. To preserve the project IRRs, there must be consistent improvement in people/MW for all projects. Faster adoption of technology plays a crucial role in enhancing and preserving IRRs as per the business case. Data related insights further improve the project operations.

 

Technological Advancements and Industry Initiatives

Companies at the forefront of this technological revolution, offer cloud-based platforms tailored for end-to-end renewable energy asset management. Their enterprise-level solutions integrate centralised monitoring systems with paperless maintenance management, digital procurement processes, and compliance management. By digitising physical activities and connecting on-site operations with corporate offices, these platforms enhance efficiency and reduce administrative burdens.

With significant influx of capital from foreign investors, investment in RAM provides enhanced governance, ease of access to information and tailormade reporting dashboards to aid the decision-making process. These dashboards are available on handheld devices with real time updation.

Global Context and Future Outlook

According to Metastat, the global renewable energy asset management software market is projected to reach $13.4 billion by 2031, growing at a compound annual growth rate (CAGR) of 13.2% from 2024 to 2031.

This growth is driven by the increasing demand for renewable energy production worldwide and the need for efficient management of these assets. As India continues to scale its renewable energy infrastructure, the adoption of advanced RAM solutions will be instrumental in ensuring the sector’s sustainability and profitability.

Remote asset management stands as a cornerstone in India’s renewable energy expansion, offering a pathway to operational excellence and financial viability. As the nation progresses towards its ambitious energy goals, embracing comprehensive RAM strategies will be essential in navigating the complexities of large-scale renewable energy deployment.

(TruBoard Partners is a tech first asset management platform for enterprises)

Views are personal. Author is CEO, Infra Solutions at TruBoard Partners