Madhumitha Jaganmohan
Research expert covering climate and environmental sustainability
Energy sector in India - statistics and facts
As one of the critical components of infrastructure, energy is essential for economic growth. India has a diverse power sector ranging from conventional sources like coal, natural gas, oil, hydro and nuclear energy to unconventional sources including wind, solar, and bio-waste. The demand for electricity has increased significantly through the years and is only expected to grow. With the promise to bring electricity to every home in the country, the government continues to accelerate capacity addition in the country. India is third in the world for primary energy consumption after China and the United States, consuming about six percent of the global primary energy.
Apart from coal and crude oil as main sources of energy, Indians use LPG or liquefied petroleum gas domestically for cooking. Most of this is imported and subsidized to reach the poorest households. Another method is using animal waste for fuels, such as dry manure or biogas. Maharashtra had the highest number of biogas plants, followed by Karnataka.
While the Indian energy sector is predominantly dependent on coal, with the country’s current ambitious targets for renewable energy, its dependence could see a shift.
Coal is India's primary energy source
While India is still highly dependent on coal, in the nuclear segment, the country currently has 23 power reactors, with plans of almost doubling by 2030. It is the fifth largest source of power in the country, as Indians working in the field continue to make advances to fulfill the three-stage nuclear power program to secure India’s long-term energy dependence.Apart from coal and crude oil as main sources of energy, Indians use LPG or liquefied petroleum gas domestically for cooking. Most of this is imported and subsidized to reach the poorest households. Another method is using animal waste for fuels, such as dry manure or biogas. Maharashtra had the highest number of biogas plants, followed by Karnataka.
India's efforts towards clean energy
With the climate agreements of Copenhagen and Paris, Indians are on the road to increased investments and clean energy installations. In 2023, India's energy transition investments amounted to almost 31.4 billion U.S. dollars. In the solar energy sector, the country has seen a significant ramp up over the last decade, with central and state governments auctioning tenders to build large-scale solar projects. Rooftop solar capacities have not warmed the market as quickly because of the high purchase cost.While the Indian energy sector is predominantly dependent on coal, with the country’s current ambitious targets for renewable energy, its dependence could see a shift.
