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Coal’s hold on India clouds PM Modi’s G-20 green leadership drive

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Coal’s hold on India clouds PM Modi’s G-20 green leadership drive

Posted on : 08-09-2023 | Author : Bloomberg

Photo by Moneycontrol

Indian Prime Minister Narendra Modi will advocate for enhanced clean energy cooperation during this week's Group of 20 (G-20) summit. However, this may be a challenging task for a nation that still heavily relies on coal for its energy needs.

India has set ambitious targets for hydrogen, solar, and biofuels, achieving significant progress in renewable energy. Over the past decade, the country has installed 71 gigawatts of solar capacity, despite starting from a negligible amount. This includes a record deployment of utility-scale solar capacity in the previous year.

Despite these advances, coal remains the source of approximately 70% of India's electricity generation. Modi's agenda for the G-20 summit does not include a fresh appeal for countries to transition away from polluting fossil fuels.

In a significant development, G-20 nations are expected to commit to tripling their renewable energy capacity by 2030, marking a rare breakthrough in climate diplomacy this year. The agreement also acknowledges the continued use of fossil fuels when combined with emissions reduction technology, a crucial caveat to secure support from countries like Russia and Saudi Arabia.

This concession highlights India's concerns about the challenges and speed of transitioning to a greener energy system. New Delhi is apprehensive about the potential risks of abandoning coal, a fuel known for its affordability and widespread availability. This concern arises at a time when energy security and cost considerations are of paramount importance.