India is making significant progress in its transition to cleaner energy, despite its continued dependence on coal and the challenges of meeting the growing electricity needs of its population, according to geopolitics expert Sachin Yadav.
Yadav, a PhD scholar in International Studies at Jamia Hamdard in New Delhi, said the country’s energy transition was more complex than it is often portrayed in international climate discussions. While coal remains a major source of electricity, India is also expanding its renewable energy capacity at a remarkable pace.
He argued that focusing only on India’s coal consumption and rising emissions overlooks the broader changes taking place within its energy sector.
India recorded the largest absolute increase in carbon emissions globally in 2024, while coal fired power plants continued to generate about 70 per cent of its electricity. However, Yadav maintained that these figures do not fully reflect the direction in which the country is moving.
India has made notable progress towards its renewable energy targets. At the 2015 Paris climate conference, the country pledged to source 40 per cent of its installed electricity capacity from non fossil fuel sources by 2030. It achieved that target in November 2021, nearly nine years ahead of schedule.
The government subsequently raised its ambition to 50 per cent, a milestone India reached in June 2025, five years before its original deadline.
The expansion has continued. By July 2026, India’s non fossil fuel energy capacity had exceeded 300 gigawatts, accounting for more than half of its total installed power capacity. The country added a record 55 gigawatts of clean energy capacity during the 2025 to 2026 financial year, strengthening its position as the world’s third largest country for installed renewable energy.
Another important milestone came on July 29, 2025, when renewable sources supplied more than half of India’s electricity demand for a period, highlighting the growing contribution of clean energy to the national power system.
Despite these achievements, India faces the difficult task of expanding its economy while reducing its reliance on fossil fuels. Unlike many wealthy countries that industrialised using coal before gradually moving towards cleaner energy, India is attempting to increase electricity access, support industrial development and reduce emissions at the same time.
With a population of about 1.4 billion people, the country must balance environmental commitments with the need for affordable and reliable electricity.
One of the biggest challenges is the difference between installed capacity and actual electricity generation. Although non fossil fuel sources account for more than half of India’s installed power capacity, they produce less than one third of the electricity consumed.
Solar power generation is strongest during daylight hours, while electricity demand often reaches its peak in the evening. Battery storage facilities and transmission networks are needed to close this gap, but the infrastructure is still being developed. Until sufficient storage and grid capacity are available, coal will remain essential to maintaining a reliable electricity supply.
Growing electricity demand is adding to the pressure. Economic expansion, urbanisation and increasingly frequent heatwaves are pushing consumption higher. As a result, India’s emissions continue to rise even as renewable energy becomes a larger part of its power system.
The industrial sector presents another major obstacle. Industries such as steel and aluminium production are difficult to decarbonise because their manufacturing processes require large amounts of energy and, in some cases, generate emissions beyond those associated with electricity consumption.
Indian exporters are also facing stricter carbon requirements in overseas markets. The Global Trade Research Initiative has estimated that steel and aluminium exporters could be forced to reduce their prices by between 15 and 22 per cent to remain competitive in Europe as carbon related trade rules take effect.
Smaller businesses face additional difficulties because measuring, reporting and reducing emissions can be expensive.
Financing remains another major concern. India’s transition requires substantial investment in renewable energy, electricity transmission, modern grids and battery storage. These projects often involve high initial costs and take years to generate returns.
At the COP29 climate summit, India opposed the new climate finance target of $300 billion annually for developing countries, arguing that the amount fell far short of the $1.3 trillion a year sought by developing nations.
Nevertheless, India continues to introduce measures aimed at reducing emissions. Its national carbon market became operational in January 2025, creating a framework intended to encourage industries to cut their carbon output.
Projections also indicated that the growth of India’s fossil fuel emissions slowed sharply in 2025, although the country still faces considerable work to reduce its overall carbon footprint.
Yadav noted that energy transitions rarely follow a straight path, pointing to Europe’s experience during the 2022 energy crisis, when several countries temporarily increased their use of coal to protect electricity supplies before renewable energy expansion regained momentum.
He argued that the experience demonstrates how governments must balance climate commitments with energy security and affordability. For India, those decisions are particularly challenging because the country has a lower average income and millions of people still require more reliable access to electricity.
International cooperation, he added, could help India overcome some of these barriers. Increased financing for electricity grids and battery storage would improve the country’s ability to use renewable energy more effectively.
He also suggested that recognising domestic carbon pricing systems, including India’s carbon market, could help reduce the burden of international carbon rules on smaller exporters.
The International Solar Alliance, co founded by India, also provides a platform for countries to cooperate on clean energy technology, investment and supply chains.
While coal is expected to remain part of India’s energy mix for years, Yadav believes that judging the country’s climate performance solely by its continued use of the fuel gives an incomplete picture of its progress.
He argued that assessments should consider how quickly a country is moving towards cleaner energy, alongside its per capita emissions and historical contribution to global warming.
India’s average annual carbon dioxide emissions per person stand at about 2.2 tonnes, less than half the global average. The country has also contributed less than four per cent of cumulative carbon dioxide emissions since the Industrial Revolution.
These figures, he said, should form part of a broader assessment of India’s climate responsibilities, alongside the challenges it faces in meeting the energy needs of its population.
For India, the task ahead is not simply to expand renewable energy capacity but to ensure that clean electricity can be generated, stored and delivered reliably as demand continues to grow.
The country’s experience highlights the difficult balance between economic development, energy security and climate action, while demonstrating that a continued reliance on coal does not necessarily mean a lack of progress towards a cleaner energy future.
