Accelerating India%E2%80%99s Energy Transition through Industrial Clusters 2025

The country is rapidly transforming its energy landscape, with significant progress in clean energy adoption, industrial decarbonization and the emergence of industrial clusters supporting low-carbon development. India’s energy transition has gained momentum in the last decade since aligning with the Paris Agreement commitments.8, 9 At the COP26 climate change summit in 2021,10 India announced its aims to increase its non-fossil energy capacity to 500 GW by 2030,11 which is enough power to supply electricity to around 400 million homes and set a target to achieve net-zero carbon emissions by 2070.12 India has implemented multiple missions under the National Action Plan on Climate Change and introduced strategic policies to accelerate its energy transition. One such example is the launch of the National Green Hydrogen Mission in 2020, aimed at driving green hydrogen development and positioning India as a global hub for green hydrogen production. India has demonstrated a commendable ability to attract green finance with a 150% increase13 in 2019-2020 from 2017-2018. India’s major corporations like Tata Power and Reliance Industries14 are investing heavily in renewable energy, transforming the country’s energy landscape. Backed by government policies, these investments are fast-tracking India’s industrial shift towards emission reduction. The nation has already crossed a significant milestone in its clean energy transition, with total renewable energy capacity exceeding 200 GW.15 India’s 2030 500 GW renewable energy target requires substantial investments in emerging technologies, estimated at $385 billion by Moody’s.16 FIGURE 1 India’s Energy Transition Journey 2008 2013 2015 2021 2023 2024 2030 2070Launched eight missions for climate mitigation and adaptation National Action Plan on Climate Change (NAPCC) National Electric Mobility Mission Plan (NEMMP) Establishing the International Solar Alliance (ISA) Promoted electric vehicle (EV) adoption through incentivesCOP26 Climate CommitmentsNational Green Hydrogen Mission Total renewable energy capacity 500 GW India pledged Net Zero emissions by 2070Renewable energy capacity crosses 200 GWPromoted scaling up solar deployment. Set an ambitious target of 175 GW of renewable energy by 2022.2480 MtCo2eq 3095 MtCo2eq3302 MtCo2eq 3679 MtCo2eq 4133 MtCo2eq GHG EmissionsNet Zero Promotes hydrogen technologies and positioning India as a global green hydrogen hub Source: India Energy Transition Journey 17,18 ,19 ,20, 21, 22, 23