Since the Industrial Revolution, the energy mix of most countries across the world has become dominated by fossil fuels. This has major implications for the global climate and human health.
Over a third of global greenhouse gas emissions, today result from the burning of fossil fuels for energy. And fossil fuels are responsible for large amounts of local air pollution—a health problem that leads to at least several million premature deaths each year.
To reduce GHG emissions, we need to rapidly shift towards cleaner sources of energy like renewables that not only strengthen energy security and enhance economic competitiveness—but yield significant additional benefits, such as improved health and more jobs. Renewable energy cannot reduce the emissions intensity of India’s power sector but also drastically improve energy access. Decentralized renewable energy is a boon for rural India where the supply of grid-based electricity is not reliable.
India has pledged to increase its non-fossil fuel power generation capacity to 500GW and meet 50% of its energy requirements from renewable energy sources by 2030. The National Hydrogen Mission will play a significant role in achieving India’s decarbonization goals, and the green push is expected to help India meet climate commitments made at the COP-26. India’s leadership of the International Solar Alliance has made it dominant renewable energy force.
The increased prioritization of clean energy projects and policies are helping India develop a more cleaner energy mix. Solar is on a fast growth trajectory due to advances in technologies, investments and markets. With the cost of solar power decreasing, it has become more attractive for distribution companies. Facilitating polices and regulations have supported the growth of India’s renewable energy market, which has consistently been among the top ten countries in terms of attractiveness.
The 500 GW of non-fossil fuel capacity target is a welcome affirmation of India’s commitment to climate action. It is an ambition that requires strategic actions across the entire power eco-system from generation to transmission to distribution. With power demand expected to triple by 2040 as India’s population continues to achieve upward mobility, fossil fuels are poised to see continued growth even as the clean energy market grows. The variable nature of the renewable energy—in contrast to the stable, on-demand flow of power from traditional fossil fuel generation—will require fundamental changes in how India invests in and operate its grid.
India’s high Renewable Energy transition will require the adoption of clean energy technologies, improved infrastructure and alternate fuels, along with robust policy and regulatory solutions. In fact, the increased share of renewables in the generation-mix needs cohesive and proactive interventions to establish grid stability.
India’s 500 GW non-fossil fuel goal by 2030 demands synergistic actions across the power sector value-chain. Shakti aims to accelerate the development and adoption of renewables in India’s power system to support the energy transition. Based on our work with distribution companies, regulators, industry and civil society, we propose a three-pronged approach towards this goal: