India’s Renewable Ambitions Could Define Asia’s Energy Future

India’s Renewable Ambitions Could Define Asia’s Energy Future

Rituraj Phukan

Asia’s economic surge and population growth makes it the global epicentre of energy demand.

The International Energy Agency (IEA) projects that Asia will account for the lion’s share of global electricity demand growth through 2026, with China contributing the most in absolute terms and India recording the fastest growth rate among major economies.

The energy choices made by Asian countries today will directly influence the planet’s ability to stay within the Paris Agreement goal of limiting warming to 1.5°C above the preindustrial period.

The Energy Conundrum

While Asia beganthe clean energy transition later than some regions, it is now accelerating at an impressive pace. Currently, solar and wind power make up 27% of the region’s electricity mix, on par with the global average. Countries such as India, Indonesia, and Vietnam have set ambitious goals, targeting more than 40% renewable electricity generation by 2030. Investment patterns are also shifting towards renewables, overtaking spending on fossil fuels in several Asian economies.

Asia is currently the only region on track to meet the global goal of tripling renewable energy capacity by 2030, largely driven by the efforts of China andIndia. Despite being home to 82% of global coal power generation and pursuing some gas expansion projects, the region has shown that renewables can shoulder a significant portion of its energy needs.

Between 2016 and 2023, Asia accounted for 90% of the world’s electricity demand growthand half of that demand was fulfilled with clean energy supply.

Globally, the share of renewables in electricity supply is expected to grow from 30% in 2023 to 35% by 2025. Although clean energy generation is set to surpass coal, fossil fuels are still central to many Asian economies including India. In fact, India and the ASEAN countries are projected to be among the main drivers of gas demand in 2025, even as China begins to reduce its coal consumption.

India’s Green Energy Vision

India offers one of the most promising clean energy narratives in the world with our energy strategy illustrating both the possibilities and the challenges of green transition. Significantly, India has been recognized by the World Bank as a global leader in impactful climate policies for theunprecedented progress in scaling up renewable energy.

We are now the fifth-largest solar market in the world with a vibrant, growing domestic clean energy manufacturing sector. The government of India plans to install 319 GW of solar, 110 GW of wind, and 80 GW from hydro, bioenergy, and other renewables, scaling the share of clean energyto 42% by 2030.

Efforts to reduce air pollution and promote legislative action on climate change have gained momentum since 2019. Meanwhile, the government’s focus on energy storage, hydropower, and improving national grid infrastructure points to a broader vision of a modernized, resilient power system capable of supporting large-scale decarbonisation.

At the same time, India is the world’s second-largest coal producer and aims to double annual output to over 1.5 billion tonnes by 2030. Besides having one of the largest coal plant pipelines globally, alongside China, the low priority accorded toretiring old coal plants underscores our continued reliance on coal for energy security and economic growth.

Despite these challenges, the IEA has emphasized, India is making real headway. The share of renewables in India’s electricity mix is expected to reach 25% by 2026, up from current levels. The government is also prioritizing the integration of cleaner energy into the grid and improving power system efficiency which are critical for phasing down coal use in the future.

As the world’s third-largest greenhouse gas emitter, India’s upcoming Nationally Determined Contribution (NDC) update will be a focal point in international climate negotiations. There is growing anticipation that the country will strengthen its climate ambitions across sectors, including electricity, transportation, industry, and agriculture. Stronger cross-sectoral commitments could amplify India’s leadership role in global climate efforts.

The Road Ahead

India faces the challenge of meeting energy demand while addressing climate risks. The country is proving that economic growth and environmental responsibility can coexist. Solar power, clean tech manufacturing, and innovative policies show India’s potential to lead Asia’s energy transformation.

With strategic investments and a focus on reducing fossil fuels, India can secure a sustainable future and inspire global clean energy efforts. India’s role in the world’s energy evolution may be pivotal.

Rituraj Phukan: Founder, Indigenous People’s Climate Justice Forum; Co-Founder, Smily Academy ;National Coordinator for Biodiversity, The Climate Reality Project India; Member, IUCN Wilderness Specialist Group; Commission Member – IUCN WCPA Climate Change, IUCN WCPA Connectivity Conservation, IUCN WCPA Indigenous People and Protected Areas Specialist Groups, IUCN WCPA South Asia Region and IUCN WCPA-SSC Invasive Alien Species Task Force; Member, International Antarctic Expedition 2013; Climate Force Arctic 2019 ; Ambassador, Marine Arctic Peace Sanctuary. Rituraj Phukan is the Climate Editor, Mahabahu

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