New Delhi, 31/01/2025: The Union Budget 2025 is shaping up to be a defining milestone for India’s energy sector, at a time when the country faces a dual challenge: meeting its growing energy demand while ensuring that energy solutions are sustainable and environmentally responsible. With climate change increasingly threatening global ecosystems and economies, India has a unique opportunity to recalibrate its energy strategy toward clean and renewable sources, including solar, wind, and emerging green technologies. The budget will likely play a pivotal role in shaping investments and policies that could determine the trajectory of India’s energy landscape for decades.
India has already set ambitious renewable energy targets, committing to generate 500 GW of non-fossil fuel energy by 2030 and achieving net-zero carbon emissions by 2070. Achieving these goals will require a multi-pronged approach that combines policy support, financial investment, and technological innovation. Experts emphasize that the upcoming budget must prioritize funding for large-scale renewable projects, incentives for green technologies such as green hydrogen, and the development of robust energy storage systems that can stabilize the national grid.
Energy storage, in particular, is emerging as a critical component of India’s transition to clean energy. As the share of intermittent sources like solar and wind grows, reliable storage solutions will ensure a consistent and uninterrupted power supply. Subsidies and incentives for battery storage, grid-scale energy storage systems, and other innovative technologies could smooth this transition and make renewable energy more dependable and economically viable. Green hydrogen, meanwhile, offers a promising avenue to decarbonize industrial and transport sectors, reducing dependence on fossil fuels while helping India move closer to energy independence.
India’s progress in renewable energy has already been impressive. As of October 2024, the country’s total renewable energy capacity reached 203.18 GW, with solar power leading the way at 92.12 GW, followed by wind, hydro, and other sources. However, analysts caution that sustained and scaled-up investment is essential, with estimates suggesting that India will need $150–200 billion annually over the next decade to meet its renewable energy ambitions.
The Union Budget 2025 presents an opportunity to accelerate India’s clean energy transition, making the nation a global leader in sustainable energy solutions. By channeling resources into renewable infrastructure, incentivizing green technologies, and supporting energy storage systems, the government can build a resilient, innovative, and climate-conscious energy ecosystem. Such investments will not only help meet the country’s energy demands but also position India as a pioneer in the global fight against climate change, demonstrating a model of sustainable development that balances economic growth with environmental stewardship.
