DELHI: The Government of India has asserted significant progress in bridging the gap between energy supply and demand, yet challenges persist as the country’s growing energy needs continue to strain resources. According to data presented in the Lok Sabha, India has achieved near self-sufficiency in energy supply, with the energy deficit reduced from 3.6 per cent in 2014-15 to 0.1 per cent by October 2024. However, experts point out that even this marginal gap reflects constraints in state-level transmission and distribution networks.
The current installed power generation capacity stands at 4,54,452 MW, with conventional energy sources like coal, lignite, and natural gas contributing 65.62 per cent. Renewable energy sources, including solar, wind, and biomass, account for 34.38 per cent, a testament to the government’s push for green energy. Solar power alone contributes over 92,000 MW, making up more than 20 per cent of the renewable share.
The energy landscape reflects the country’s heavy reliance on thermal power, which constitutes over half of the total installed capacity. Coal remains the dominant source, providing 46.44 per cent of the national energy supply. Despite these strides, the government acknowledges that enhancing green energy is vital for long-term sustainability.
The government has committed to increasing non-fossil fuel-based energy capacity to over 5,00,000 MW by 2030. Several initiatives aim to meet this target, including:
Developing 1,27,050 MW of renewable capacity under construction and tendering 89,690 MW.
Attracting foreign direct investment by allowing 100 per cent automatic route approval in renewable projects.
Implementing the Green Energy Corridor scheme to facilitate the evacuation of renewable energy through new transmission lines.
Promoting solar energy production with schemes like PM-KUSUM and the Production Linked Incentive (PLI) programme.
Additionally, the government has launched the National Green Hydrogen Mission to position India as a global hub for green hydrogen production and export. These efforts are bolstered by policies such as waivers on interstate transmission charges for solar and wind energy projects commissioned by June 2025.
While national energy availability has improved, regional imbalances due to distribution and transmission constraints remain a hurdle. Initiatives under the Deen Dayal Upadhyaya Gram Jyoti Yojana (DDUGJY) and the Integrated Power Development Scheme (IPDS) have aimed to strengthen the rural and urban distribution systems. These measures have significantly improved power supply hours, with rural areas now receiving 21.9 hours of supply per day, up from 12.5 hours in 2014.
India’s energy transformation underscores a dual challenge: meeting immediate demands while transitioning towards a greener, sustainable future. With ambitious renewable energy targets and ongoing reforms, the nation aims to achieve energy security while paving the way for environmental sustainability.
