Sales Decline of Biggest Indian Carmaker

Maruti Suzuki India Ltd. reported the biggest decline in sales in almost seven years
as a slowdown in consumer spending, the largest driver of growth in the $2.7 trillion
economy, became more pervasive. Total sales dropped about 34% from a year
earlier to 109,264 units in July, according to a statement on Thursday. Deliveries of
its hatchback models fell 23%, even as sales of the premium Ciaz sedan jumped to
2,397 units from 48 a year earlier.

The worst drop in sales since August 2012 at the unit of Suzuki Motor Corp.
indicates that the slowdown in Asia’s third-largest economy may be worsening, as
the ongoing credit crisis prompts creditors to go slow on granting new loans. Maruti’s
shares are down more than 40% from a record reached last July.

Rivals also reported a drop in demand. Mahindra & Mahindra Ltd. said vehicle sales
fell 15%, while deliveries of tractors dropped 12%. Commercial vehicles sales also
sank. Ashok Leyland Ltd., India’s second-largest maker of trucks and buses,
reported 28% drop in dispatches, and Eicher Motors Ltd., the local partner for Volvo
Group, posted a 32% reduction.
The government’s annual budget last month lacked specific measures to help
companies, leaving the Reserve Bank of India to do the heavy lifting to boost
economic growth from a five-year low. The central bank has cut interest rates three
times this year.
ReNew Power : The Indian unicorn build on green energy
Indian startup ReNew Power has now raised more than $1 billion in funds
this year alone for its wind and solar business. By the end of June, ReNew
Power raised $300 million from investors, with Goldman Sachs, Abu Dhabi
Investment Authority, and Canada Pension Plan Investment Board each
contributing $100 million. As much as a vote of confidence in ReNew, one
of India's top unicorns, it's a sign of the country's shift towards renewable
energy.
ReNew is the biggest independent renewable energy producer in the
country, generating about 5 GW, with another 3 GW of new projects built.It
has more than 100 wind and solar plants, generating about 1% of all India's
electricity. It also has a rooftop solar business that operates in about 20
states.

India now produces the world's cheapest solar power, according to an

International Renewable Energy Agency survey. Half of the world's 10
largest solar parks under construction were in India, according to a report
published last year.Other company in green energy field, Greenko Energy
Holdings has raised $495 million from sovereign wealth funds Abu Dhabi
Investment Authority and GIC Holdings Pte Ltd.
Last year, the Indian government introduced a two-year 25% tariff on solar
panels imported from China and Malaysia, in an attempt to promote
domestic manufacturing, but there’s a fear that it might make solar power
more expensive.
India's demand for energy is forecast to more than double by 2040,
according to the International Energy Agency, which means coal will
continue to play a key role in the energy mix.