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    India Must Aim for 600 GW of Clean Energy by 2030 to Ensure Reliable and Affordable Power Supply: CEEW Report

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    India Must Aim for 600 GW of Clean Energy by 2030 to Ensure Reliable and Affordable Power Supply: CEEW Report

    India’s peak power demand reached a record 238 GW in February 2025, surpassing estimates due to unseasonably warm weather. Summer peaks are expected to touch 260 GW, reinforcing the urgency for a robust clean energy roadmap.

    India needs to scale up to 600 GW of non-fossil-fuel capacity by 2030 to meet its growing electricity demand reliably and affordably, according to a new study by the Council on Energy, Environment, and Water (CEEW). The report, launched at the National Dialogue on Powering India’s Future in Delhi last week, provides a first-of-its-kind modelling of India’s power system despatch for every 15 minutes in 2030.

    The study, titled How Can India Meet Its Rising Power Demand? Pathways to 2030, found that if India’s electricity demand aligns with the Central Electricity Authority’s (CEA) projections, the country’s current and under-construction generation capacities — targeting 500 GW of non-fossil energy — will be adequate to meet its needs. However, if demand surpasses these projections due to rapid economic growth or extreme weather conditions, an expanded renewable energy (RE) capacity of 600 GW will be the most cost-effective solution.

    As India moves toward its clean energy ambitions, proactive policy actions, financial investments, and technological advancements will be crucial to achieving the 600 GW target and securing a sustainable, resilient power future, the report says.

    The Case for a High RE Pathway

    A high RE pathway, consisting of 377 GW of solar, 148 GW of wind, 62 GW of hydro, and 20 GW of nuclear energy, will offer multiple benefits:

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    • Lower generation costs: Reducing costs by 6-18 paise per unit.
    • Eliminating new coal dependency: Preventing the need for 10-16 GW of new coal capacity.
    • Cost savings: Saving between INR 13,000 crore and INR 42,400 crore in power procurement costs.
    • Employment generation: Creating 53,000 to 1,00,000 additional jobs.
    • Emission reductions: Cutting carbon emissions by 9-16 per cent compared to current projections.

    India’s peak power demand reached a record 238 GW in February 2025, surpassing estimates due to unseasonably warm weather. Summer peaks are expected to touch 260 GW, reinforcing the urgency for a robust clean energy roadmap.

    The report’s launch saw attendance from key policymakers, including Shripad Naik, Minister of State for Power and New and Renewable Energy, who emphasised the role of renewables in securing India’s energy future.

    “We have set ambitious targets to increase non-fossil fuel capacity and achieve net-zero emissions by 2070. Our clean energy journey has been remarkable—from 76 GW in 2014 to 220 GW in 2025. This report is timely in highlighting the pathways to 2030. Renewable energy is the foundation of our future energy security,” said Naik.

    Suresh Prabhu, former Union Cabinet Minister and Trustee at CEEW, highlighted the importance of policy innovation: “Scaling up to 600 GW requires a future-ready policy and regulatory framework. Industry collaboration and research-driven solutions are essential for addressing challenges in grid management, deployment, and financing.”

    Addressing Clean Energy Challenges

    The CEEW report outlines significant hurdles to clean energy expansion, including:

    • Land procurement delays impacting RE project execution.
    • Grid connectivity and balancing issues slowing deployment.
    • Supply chain constraints affecting component availability.
    • Coordination challenges between central and state authorities.

    To overcome these obstacles, the report recommends:

    1. A clear national target of 600 GW non-fossil capacity by 2030.
    2. A technologically diverse RE portfolio that maximizes state-specific renewable potential.
    3. Co-located projects combining wind, solar, and storage to optimize land and infrastructure use.
    4. A Uniform RE Tariff (URET) to stabilize prices.
    5. Improved energy storage deployment, with 70 GW of battery storage and 13 GW of pumped storage hydro.
    6. Strengthened Centre-state coordination for efficient policy implementation.

    The Cost-Effective Transition to 600 GW

    The study analysed multiple scenarios:

    • 400 GW non-fossil capacity: Would lead to power shortages, requiring 16 GW of additional coal capacity and extensive transmission upgrades.
    • 500 GW non-fossil capacity: Could face shortages if demand grows at 6.4 per cent CAGR instead of 5.8 per cent, necessitating an extra 6 GW of coal capacity.
    • 600 GW non-fossil capacity: Ensures reliable power with 4-6 per cent higher supply margins to handle demand uncertainties, while significantly cutting costs and emissions.

    CEEW CEO Dr. Arunabha Ghosh emphasized the broader benefits of this transition: “India has rapidly expanded its power sector, becoming the world’s third-largest electricity producer. Now, we must decarbonize while ensuring reliable, affordable energy. Achieving 600 GW by 2030 is about energy security, cleaner air, and economic growth. This requires policy innovation, smart grid planning, and decisive Centre-state coordination.”

    Energy Storage and Flexibility

    Integrating 500-600 GW of clean energy will increase system ramping requirements by 5-6 times over 2022 levels, necessitating:

    • Battery storage systems to support variable renewables.
    • Upgraded coal plants for flexible power supply.
    • Demand-side management strategies to shift peak consumption.

    With storage costs declining — standalone battery tariffs have dropped 65 per cent in two years — energy storage is becoming a viable solution. The government’s mandate for solar project tenders to include energy storage further strengthens grid stability.

    Since 2014, India has improved electricity access, strengthened energy security, and set a foundation for clean energy transition. However, meeting the 2030 goal requires adding 56 GW of non-fossil capacity annually. To stay on course, India must:

    • Accelerate renewable energy deployment.
    • Invest in energy storage and transmission.
    • Ensure coal fleet maintenance to manage peak demand.
    • Promote demand flexibility to reduce storage needs and costs.

    Disha Agarwal, Senior Programme Lead at CEEW, summed up the urgency: “India already has the third-largest operating renewable energy fleet. Now is the time to collaborate, innovate, and shape a new electricity system to make India the world’s fastest-growing green economy.”

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