the Union ministry of non-conventional energy sources ( mnes ) is planning to increase the output of non-conventional energy sector by 10 per cent. The ministry hopes to achieve its aim till the year 2012. The new policy statement of the ministry also shows a shift of policy for the non-conventional sector: from giving incentives through subsidies to commercialisation of technologies and strengthening research and development.

The ministry also plans to electrify, on a priority basis, 18,000 villages across the country. Since the new agricultural policy of the Union government greatly concentrates on rural electrification, mnes is planning to utilise renewable energy sources for this purpose.

The progress in the development of renewable energy sources has been slow so far. According to the figures given by the Central Electricity Authority, the entire energy generated by this sector so far is only 1698.5 megawatts ( mw ) which is only 1.74 per cent of the total installed capacity of 97,837 mw of renewable energy. The ministry is already promoting and encouraging the use of renewable technologies like fuel cells, biogas plants and biomass gasifiers.