India Energy Transition and Decline of Fossil Power

Context:

According to the Global Electricity Review 2025 released by Ember (a global energy think tank), fossil fuel-based electricity generation declined globally in 2025, driven by India and China, while India recorded a sharp rise in clean energy generation.

  • Electricity generation sources include fossil fuels (coal, oil, gas) and renewables (solar, wind, hydro, biomass); coal dominates India’s power mix.
  • Fossil fuels are major contributors to greenhouse gas emissions, particularly COâ‚‚, driving climate change.
  • Renewable energy is cleaner and sustainable; India targets 500 GW non-fossil fuel capacity by 2030 under its climate commitments (Panchamrit).
  • India is the world’s third-largest electricity producer and a major coal-dependent economy.
  • Solar and wind energy are variable (intermittent), requiring grid management, storage, and balancing mechanisms.
  • Hydropower acts as a flexible source supporting renewable integration.
  • Global energy transitions are tracked through reports like Ember’s Global Electricity Review.
  • A decline in fossil-based generation indicates progress in decarbonisation but may be temporary due to factors like weather (monsoon, rainfall).
  • India added significant renewable capacity (solar, wind), surpassing some developed countries in annual additions.
  • Electricity demand is influenced by climate (heatwaves, monsoon), economic growth, and irrigation needs.
  • Institutions like CEA (Central Electricity Authority) and agencies like IREDA support planning and financing of renewable energy in India.

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India Energy Transition and Decline of Fossil Power

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