India to invest USD 67 bln in energy sector in the next five years – EQ
In Short : India’s plan to invest USD 67 billion in the energy sector over the next five years signals a significant commitment to advancing and expanding its energy infrastructure. This investment is likely aimed at supporting renewable energy projects, enhancing energy security, and meeting the growing demand for power in the country.
In Detail : Prime Minister Narendra Modi has announced plans for significant investments in India’s energy sector over the next five years, totalling to approx. USD 67 billion during the inaugural ceremony of India Energy Week (IEW) in Goa.
PM Modi also highlighted the government’s vision to transform the energy landscape. In primary energy mix, the government is pushing to increase natural gas to 15 percent from six percent. For this, in the next five to six years around USD 67 billion will be invested. The government is working on the infrastructure building mission, and in this financial year it is investing about Rs 10 lakh crore on infrastructure. It has set a target to achieve net zero emission by 2070.
The Central government announced a slew of measures for the promotion of green growth and renewable energy while tabling the Interim Budget 2024-25. Through rooftop solarization, one crore households will be enabled to obtain up to 300 units of free electricity every month. India is anticipated to soon become a hub of hydrogen production and exports. The country’s solar installed capacity has risen by over 20 times over the decade.
Blending of ethanol has risen from 1.5 percent to above 12 percent. The country has already rolled out 20 percent blended fuel, though, in a phased manner, in April 2023 and widespread availability is expected in days to come. By 2025, a full 20 percent rollout is expected. Further, India is focusing on building infrastructure at an unprecedented pace. Demand for EVs is continuously increasing, it is also estimated that India’s primary energy demand will double by 2045.
As part of the government’s waste-to-wealth management programme, as many as 5,000 compressed biogas plants are being worked upon. At COP26 held in 2021, the government committed to a five-part Panchamrit pledge. It included reaching 500 GW of non-fossil electricity capacity, generating half of all energy requirements from renewables, and reducing emissions by one billion tonne by 2030.
