India has crossed 300 gigawatts of non-fossil fuel energy capacity, reaching key renewable energy targets ahead of schedule. An article in The Diplomat argues that international debate often overlooks the pace of India’s clean energy expansion and the challenges it faces…reports Asian Lite News Desk
India’s rapid expansion of renewable energy capacity is receiving insufficient attention in Western discussions about climate change, according to an article published in The Diplomat, which highlights the country’s progress in developing clean energy while meeting the needs of its growing population and economy.
The article argues that many high-income countries relied on coal for more than a century during industrialisation before moving towards cleaner energy. India, by contrast, is attempting to expand electricity access and industrial production for its population of 1.4 billion while developing a large-scale clean energy system.
India pledged at the 2015 Paris climate conference that non-fossil fuel sources would account for 40 per cent of its installed electricity capacity by 2030. It achieved that target in November 2021, almost nine years ahead of schedule.
The country subsequently raised its target to 50 per cent and crossed that threshold in June 2025, five years before the deadline, the article said.
India’s non-fossil fuel energy capacity exceeded 300 gigawatts in July 2026, accounting for more than half of its total installed power capacity. The article also noted that the country added a record 55 gigawatts of clean energy capacity in the 2025-26 financial year, placing it third globally for installed renewable energy capacity.
Renewable energy sources supplied more than half of India’s electricity demand on July 29, 2025, according to the article.
However, the rapid growth in installed capacity has not yet translated into an equivalent share of electricity generation. Although non-fossil sources account for more than half of installed capacity, they produce less than a third of the electricity India consumes.
The difference reflects the challenges of relying on renewable sources to meet demand throughout the day. Solar power generation peaks during the afternoon, while electricity demand often reaches its highest level in the evening. Energy storage systems and transmission networks that could help bridge this gap are still being developed.
Coal therefore remains central to ensuring a reliable electricity supply while demand continues to rise. The article noted that India’s clean energy capacity is expanding quickly, but electricity consumption is growing at a comparable pace.
Decarbonising heavy industry presents another challenge. Steel and aluminium production are among the sectors where reducing emissions is particularly difficult, while Indian exporters face carbon-related trade requirements in important overseas markets.
The Global Trade Research Initiative estimates that Indian steel and aluminium exporters may need to reduce prices by 15 to 22 per cent to remain competitive in Europe. Smaller businesses face particular difficulties in meeting the costs of measuring and reporting their emissions.
Financing remains another major obstacle to the transition, the article said. Large investments are needed to expand electricity grids and energy storage infrastructure, both of which can involve long repayment periods.
“At COP29, India objected to the new climate finance goal of $300 billion a year, which was less than one-fourth of the $1.3 trillion that developing countries had demanded,” the article pointed out.
Despite these constraints, India is continuing to introduce measures aimed at reducing emissions. Its national carbon market became operational in January 2025, creating a mechanism intended to encourage industries to cut their carbon output.
The article also said the growth of India’s fossil fuel emissions was projected to have slowed sharply in 2025.
It argued that the country’s experience illustrates the complexity of energy transitions, which do not follow a uniform path. While India has made substantial progress in expanding non-fossil capacity, the pace of further change will depend on investment, infrastructure development and the ability to meet rising electricity demand while reducing reliance on coal.
