The beginning of September might witness India unveil its first solar power target, which the nation claims will enhance output from near zero to 20 gigawatts (GW) by 2020, as it firms up its national plan to fight global warming.

The draft document informs, "The target, which would help India close the gap on solar front-runners like China, is part of an ambitious $19 billion, 30-year scheme that could increase India's leverage in international talks for a new U. N. climate pact in December, one of several measures meant to help cut emissions."

It should be noted that solar power will be equal to one-eighth of India's current installed power base, if the plan is fully implemented. This will aid the world's fourth-largest emitter of planet-warming greenhouse gas emissions limit its heavy reliance on dirty coal andassuage the nagging power deficit that has crimped its growth.

It should be noted that a draft of the plan - which provided detailed proposals for the first time - entailed that the creation of a statutory solar authority that would make it mandatory for states to buy some solar power is envisioned by the "National Solar Mission", yet to be formally adopted by Prime Minister Manmohan Singh's special panel on climate.

The policy draft said: "The aspiration is to ensure large-scale deployment of solar generated power for both grid connected as well as distributed and decentralized off-grid provision of commercial energy services."

The plan, which offers financial incentives and tax holidays for utilities, will see money being invested for incentives for production and installation as well research and development.

There would be three phases in the plan starting from -1.5 GW by 2012, along with steps to drive down production costs of solar panels and spur domestic manufacturing. Presently, the world produces about 14 gigawatts (GW) of solar power, about half of it added last year.

Via this move, India's huge renewables' potential can be judiciously exploited; along with bringing notable benefits to companies such as Tata BP Solar, a joint venture between Tata Power (TTPW. BO) and BP plc's (BP. L) solar unit, BP Solar, and Bharat Heavy Electricals Ltd (BHEL. BO), a state-run power and engineering equipment firm, and Lanco Infratech (LAIN. BO).