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Nearly all major economies have responded to the environmental challenge with the European Union leading the global initiative. EU has placed a major focus on solar where PV capacity addition during 2010 was 13.3 GW. Germany has led the world in the solar initiative with 7.4 GW in 2010 and a target of 51 GW by 2020.
India also devised many policy initiatives looking to the challenge. The National Action Plan on Climate Change required minimum renewable energy purchase standard of 12% by 2017 and 17% by 2020. India’s renewable energy installed capacity has grown to about 27.3 GW. Issues on land acquisition were required to be addressed. States like Gujarat, Rajasthan, Karnataka, MP and Maharashtra were quite active in promoting renewable energy but their policies tend to be in isolation.