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(28 Apr 2025, 15:47)

Renewable energy set to dominate India's energy generation mix driven by shifting preferences, tech and reforms

The Indian Energy Exchange says that there will be changes in Indian Generation Mix of electricity and the drivers of energy transition.


The Indian Generation Mix for April to Feb FY 25 consists of the following: Gas + Diesel 2%, Nuclear 3%, Wind 5%, Solar 7%, Hydro 9%, Coal + Lignite 73% and Others 1%. The thermal generates 75% of India’s electricity and renewables contribute to 22% to generation.

IEX has the world’s largest transmission network with the One Nation One Grid notion and 99.9% times no congestion. For distribution & consumption, there are reforms underway - Improving credit ratings of distribution companies, Generators being paid on timely basis and DISCOMS resorting to power procurement optimization. Government aims to increase share of non-fossil fuel in India's electricity generation capacity to 50% by 2030. The drivers of energy transition are new market models, technology progress, changing preferences and regulatory framework.

Outlook

India’s electricity generation is undergoing a steady shift towards renewables, supported by technological advancements, changing market dynamics and government reforms. Technology advancements and evolving consumer preferences are key drivers for energy transition.

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