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Reforms to catalyze investment and adoption of renewable energy
The GST Council's 56th meeting will be remembered as a landmark in India's tax reform journey. The decision to simplify the GST structure is a bold, proactive step toward a "Good and Simple Tax," and it is a testament to the government's trust in the industry to drive economic growth. The increase in GST rates on coal and specific goods and services used in oil and gas exploration, combined with the rationalization of GST rates on renewable energy devices and allied inputs such as cement, marble and wood products, indeed reflects a strategic shift towards promoting renewable energy and making clean energy technologies more affordable and attractive for investment.