India has been facing severe environmental challenges, including air pollution and climate change, for the last couple of years. Renewable energy sources such as solar, wind, and hydroelectric power produce little to no greenhouse gas emissions, which help to mitigate climate change and reduce air pollution, thereby improving public health. India currently relies heavily on imported fossil fuels like coal and oil to meet its energy needs. By investing in abundant domestic renewable energy sources, such as solar and wind power, India can increase its energy security and reduce its dependency on imported fuels, thereby mitigating the risks associated with volatile international energy markets. Transitioning to renewable energy can stimulate economic growth by creating new job opportunities in manufacturing, installation, and maintenance of renewable energy infrastructure. Additionally, investing in renewable energy technologies can encourage innovation and attract investment, driving economic development in related sectors.
The costs of renewable energy technologies, particularly solar and wind power, have decreased significantly in recent years, making them increasingly competitive with fossil fuels. Switching to renewables can help India reduce its reliance on expensive imported fossil fuels and stabilize energy prices in the long term. Many renewable energy projects, such as small-scale solar installations and decentralized wind farms, can be implemented in rural areas, providing electricity to communities that are currently underserved by the grid. This can improve living standards, stimulate economic activity, and empower rural communities. India is a signatory to several international agreements, such as the Paris Agreement, which aims to limit global warming to well below 2 degrees Celsius. Transitioning to renewable energy is essential for India to fulfil its commitments under these agreements and demonstrate leadership in the global fight against climate change. Overall, transitioning to renewable energy is not only essential for addressing India’s energy and environmental challenges but also offers significant opportunities for sustainable development and economic prosperity.
Fig: 1
India has demonstrated significant potential for generating renewable energy from various sources, including wind, solar, biomass, small hydro, and cogeneration bagasse. At the end of FY 2023, the total estimated potential for renewable power generation in the country stood at 2,109,654 MW. This figure highlights the vast scope for renewable energy development across various sectors. Among these, solar power potential accounted for 35.50% (748,990 MW), wind power potential at 150m hub height represented 55.17% (1,163,856 MW), large hydropower constituted 6.32% (133,410 MW), small hydropower (SHP) potential was 1% (21,134 MW), biomass power stood at 1.35% (28,447 MW), and 0.66% (13,818 MW) came from bagasse-based cogeneration in sugar mills. Wind and solar energy collectively contributed an estimated 91% of the nation’s renewable energy resources.
Fig: 2
Biomass power, which involves generating electricity or heat from organic materials, has seen significant contributions from states like Punjab (10.6%), Uttar Pradesh (9.8%), Gujarat (9.3%), and Maharashtra (9.2%). These states have effectively utilized organic materials, such as agricultural residues and animal waste, to enhance renewable energy production. Madhya Pradesh has also contributed notably to this sector.
Cogeneration, also known as combined heat and power (CHP), is a highly efficient process that simultaneously generates electricity and useful thermal energy from a single fuel source. In the sugar industry, bagasse, the fibrous residue left after sugarcane is crushed, has been extensively utilized. Uttar Pradesh (35.6%), Maharashtra (28.3%), and Karnataka (12.8%) have led in using bagasse for cogeneration, demonstrating the sugar industry’s commitment to energy efficiency and sustainability.
Solar energy, a widely available and abundant renewable source, has gained prominence in recent years. By utilising their plentiful sunshine through photovoltaic installations and solar farms, Rajasthan (19%) and Jammu & Kashmir (14.8%) have become leaders in the potential for solar energy. These initiatives have significantly boosted electricity generation and contributed to regional economic growth. Maharashtra and Madhya Pradesh have also made notable progress in diversifying India’s solar energy portfolio.
Large hydroelectric projects, which harness the energy of flowing water through dams and reservoirs, continue to be an essential part of India’s renewable energy landscape. Arunachal Pradesh (37.8%), Himachal Pradesh (13.7%), and Uttarakhand (10.1%) have emerged as frontrunners in this domain, while Jammu & Kashmir and Sikkim also hold substantial potential. However, these projects often face challenges such as high initial costs, displacement of communities, and ecological impacts.
Fig: 3
The potential of India’s renewable energy resources significantly varies by state. As a result, specialised approaches are necessary for optimal utilisation. The dominance of wind and solar energy in the renewable energy mix reflects the country’s natural advantages in these areas. Investments and supportive policies have been pivotal in maximizing these opportunities, and continued focus on these sectors will further strengthen the renewable energy ecosystem.
The role of biomass power and cogeneration has underscored the importance of agriculture and agro-industrial residues in fostering sustainable energy solutions. The effective use of bagasse in cogeneration by states like Uttar Pradesh, Maharashtra, and Karnataka serves as a model for other industries to adopt energy-efficient practices. Scaling such practices to other sectors can significantly enhance resource efficiency.
Solar energy’s prominence stems from its abundance and declining costs. Rajasthan and Jammu & Kashmir’s leadership in harnessing solar power has set a benchmark for other states. Expanding solar infrastructure and addressing storage challenges will be critical for further scaling this energy source and ensuring its reliability.
Large hydroelectric projects, despite their challenges, provide steady and reliable energy. Arunachal Pradesh, Himachal Pradesh, and Uttarakhand have leveraged their geographical advantages effectively, but future projects must balance energy generation with environmental and social considerations to ensure sustainable development.
A holistic approach, informed by state-level potentials and challenges, is essential for India’s renewable energy future. By capitalizing on its diverse resources, India can achieve energy self-sufficiency, mitigate environmental challenges, and foster inclusive growth. Strategic investments and comprehensive policies remain key to unlocking the country’s full potential for renewable energy.
About Author
Pankaj Chowdhury is a former Research Assistant at the International Economic Association. He holds a Master’s degree in Demography & Biostatistics from the International Institute for Population Sciences and a Bachelor’s degree in Statistics from Visva-Bharati University. His primary research interests focus on exploring new dimensions of in computational social science and digital demography.
Disclaimer: The views expressed in this article are those of the author and do not necessarily reflect the views of 360 Analytika.
Acknowledgement: The author extends his gratitude to the Ministry of Statistics and Programme Implementation for providing data support.
This article is posted by Sahil Shekh, Editor at 360 Analytika.