Driving the Green Shift!
“A transition to clean energy is about making an investment in our future”
India’s Strategic Path to Energy Independence :
India has made significant strides in balancing its economic growth with a climate action plan. The country’s commitment to sustainable development is evident in the policies and initiatives like National Solar Mission and PAT Scheme that have been implemented to address climate change while ensuring economic progress.
As one of the few countries where the growth of green energy and related ecosystems has kept pace with economic expansion, India is seen as one of the leaders in this space. The National Action Plan on Climate Change (NAPCC) has been instrumental in this success, featuring nine missions focused on solar energy, energy efficiency, water conservation, sustainable agriculture, the Himalayan ecosystem, sustainable habitats, green India, strategic knowledge for climate change, and the Health Mission.
Some initiatives towards this green transition are: –
- Green Energy Corridors: Facilitating renewable power integration into the national grid
- Open Access Rules: Lowered threshold to 100 kW for small consumers to access green energy
- Low Carbon Development: Aiming for a 45% reduction in GDP emission intensity by 2030 and reduce total projected carbon emission by 1 Bn tonnes by 2030
- International Solar Alliance: Target of 450 GW by 2030 for solar, wind, and other renewables, aligning with the broader 500 GW non-fossil fuel goal (Net Zero 2070)
- Green Hydrogen Mission: $2.4B investment to produce 5M metric tons of green hydrogen by 2030
As a result of these initiatives, India has achieved the following and envisions further progress
- 4th Largest: Global leader in installed renewable energy capacity
- Solar power capacity: 82.63 GW, ranks fifth globally
- Climate Change Rank: #8 in CCPI 2023, top among G-20 nations
- Energy Independence by 2047: Vision to become energy self-sufficient
The union budget 2024-25 identified energy as a priority sector, with an overall allocation of an estimated US$8.29 Bn , and reflected a strategic approach to promote clean energy adoption,
enhance domestic manufacturing through reduced customs duties on solar panels, and support the development of critical minerals necessary for renewable energy production.
India has effectively decoupled its economic growth from emissions, with emissions growth lagging behind GDP expansion. This accomplishment underscores a significant reduction in the emission intensity of its GDP, demonstrating the country’s effective climate policies. Notably, India is the only G20 nation on track to meet the 2°C warming target , highlighting its leadership in aligning economic development with environmental sustainability.
The Indian Carbon Market (ICM) is a pivotal element of India’s climate strategy, designed to price carbon emissions through a structured national framework. Compliance targets emissions from key sectors, while offsets incentivize voluntary reductions . Managed by the National Steering Committee, the ICM aims to drive effective greenhouse gas reduction by issuing carbon credits, each representing one tonne of CO2 equivalent removed from the atmosphere.
To sustain its progress in green transition, India should further increase investments in solar power, green hydrogen, and low-carbon technologies to further advance towards the SDGs. This expansion will create significant opportunities in green jobs such as solar panel installation, wind turbine maintenance, and green hydrogen production, driving economic growth while safeguarding the environment. Additionally, there is a need to raise awareness about the green transition, starting from the school level, to ensure that future generations are sensitized to the importance of sustainability. New concepts like green finance and ESG investing are also emerging, and these should be encouraged to promote sustainable development.
Key Areas of Interest:
The focus is on expanding renewable energy sources like solar and wind power, advancing green hydrogen technology, improving the energy storage systems, and supporting the growth in the EV sector.
Therefore, opportunities surely await in various sectors such as renewable energy, energy storage and grid modernization, sustainable agriculture, green transportation, and waste management etc.
As India strides forward with its renewable energy revolution, it is not only setting a global benchmark but also securing its own sustainable future. The massive growth in solar power, combined with advancements in diverse energy sources and a commitment to innovation, marks a bright horizon for India’s energy landscape. By tackling challenges and fostering international collaboration, India is not just navigating the path to a greener future but leading it with resilience and vision. The journey ahead promises a robust, clean energy future, affirming India’s role as a pioneer in global sustainability.
