India’s Renewable Energy to Double by 2030
India’s renewable energy capacity is set to grow at twice the rate of the country’s overall energy capacity, according to a report by CRISIL. By 2030, renewable energy capacity, excluding large hydro projects, is expected to reach 360-370 GW, growing at a rate of 16.5% to 17% annually. In contrast, the overall power capacity will grow by 7.5% to 8% from 442 GW in March 2024.
As of March 2024, India’s total power generation capacity was 442 GW, with renewable energy accounting for 191 GW, including large hydroelectric projects. The report highlights that this growth is driven by government policies, competitive tariffs, and the development of solar parks and green energy corridors.
India is projected to add 175-180 GW of solar capacity between 2025 and 2030. Solar energy has been a major growth driver, with capacity increasing from 0.9 GW in 2012 to 82 GW by 2024.
India’s peak electricity demand rose from 164 GW in 2018 to 243 GW in 2024, with an average growth rate of 6.8%. Although there was a 4.2% peak deficit in 2023, supply improved in 2024, reducing the deficit to 1.4%.
Power demand is expected to grow by 5.5% to 6% over the next five years, supported by infrastructure investments, railway electrification, metro rail projects, and electric vehicle adoption. However, energy efficiency and off-grid renewable generation may moderate demand growth.
These developments position India as a key player in the global renewable energy transition, aligning with its sustainable and green energy goals.
Doubts Revealed
CRISIL -: CRISIL is a company in India that provides ratings, research, and risk and policy advisory services. They help businesses and governments make informed decisions by analyzing data and trends.
Renewable Energy -: Renewable energy comes from natural sources that can be replenished, like sunlight, wind, and water. It is a cleaner and more sustainable way to produce electricity compared to burning fossil fuels.
GW -: GW stands for gigawatt, which is a unit of power. One gigawatt is equal to one billion watts, and it is used to measure the capacity of power plants or the amount of electricity they can produce.
Solar Capacity -: Solar capacity refers to the amount of electricity that can be generated using solar panels. Increasing solar capacity means more electricity can be produced from sunlight.
Peak Electricity Demand -: Peak electricity demand is the highest amount of electricity used at any one time. It usually happens when many people use electricity at the same time, like during hot summer days when air conditioners are on.
Electric Vehicle Adoption -: Electric vehicle adoption means more people are starting to use electric cars instead of those that run on petrol or diesel. Electric vehicles are better for the environment because they produce less pollution.
