An Investigation on the Prospects, Challenges and Policy Consequences

of Renewable Energy Technology Development for India’s

Environmental Sustainability

ASIF RAIHAN1, TAPAN SARKER2, GRZEGORZ ZIMON3

National University of Malaysia,

Bangi 43600,

MALAYSIA

Abstract: - This study aims to comprehensively analyze the status and prospects of renewable energies in India.

India ranks third globally in terms of renewable energy production. India's population and economic growth are

fueling increasing energy demand. Renewable energy has emerged as a viable solution for addressing the

energy crisis and environmental issues, replacing fossil fuels. The Indian government is actively promoting and

pursuing large-scale renewable energy projects as part of its commitment to increase the utilization of

energies and Sustainable Development Goals (SDGs), such as poverty reduction, gender equality, improved

health, and environmental preservation. The research not only presents empirical data on India's renewable

energy capabilities but also offers policy recommendations to facilitate a transition from fossil fuels to

renewable energies. These recommendations address economic, social, and environmental aspects. The article

outlines a strategic plan for India's sustainable energy future, emphasizing the importance of robust government

regulations, private sector investments, international collaboration, and public awareness initiatives. This study

contributes to the ongoing discussion on renewable energy adoption in India by providing a strategic and

practical framework. This study provides valuable insights for policymakers, researchers, and industry

competitors regarding energy transition and environmental sustainability.

1 Introduction

In India, the increasing population and expanding

economy are driving up the energy demand. This is

a challenge to fulfill this requirement while also

addressing environmental considerations.

Renewable energy has become a vital participant in

India's pursuit of a sustainable and environmentally

friendly energy solution. As the global population

expands, there is a corresponding rise in the need for

energy to converge with the expanding demand for

settings, [1]. Since the Industrial Revolution, several

nations have relied more on fossil fuels for energy

sources (coal, oil, gas). The phenomena affect

global climate and human health, [2]. One of the

most significant issues of concern in the 21st

century is global warming and climate change,

mostly attributed to greenhouse gas (GHG)

emissions due to the increased utilization of fossil

fuels, [3]. Approximately 75% of worldwide GHG

emissions are attributed to the combustion of fossil

urgent global imperative to transition expeditiously

towards energy sources characterized by low carbon

emissions, such as nuclear and renewable

technologies, [6]. The development and

proliferation of renewable energies play a crucial

role in upholding sustainable energy levels and

safeguarding the environment against the effects of

climate change, [7]. The present world is confronted

with the dual imperative of meeting the escalating

energy requirements and mitigating GHG emissions

enhancement of environmental preservation and the

augmentation of employment opportunities

throughout diverse nations, [10]. Thus, renewable

energy sources are currently of great interest to

nations worldwide due to their pollution-free nature,

widespread availability, cost-effectiveness, and

abundant reserves on Earth, [11]. Renewable energy

technology necessitates the utilization of naturally

occurring energy resources, for instance, solar

radiation, wind, water, biomass, and geothermal

component of their policy frameworks, [14]. The

significance of low-carbon development has become

increasingly crucial due to the progress in national

policies and the advancement of renewable energy

technologies, [15]. Recently, there has been more

focus on the utilization of clean energy sources for

proposed by the United Nations that serve as a

blueprint for the advancement of global human

well-being, material conditions, and the preservation

of the natural environment, with a projected timeline

of achievement by the year 2030.

Moreover, by 2022, renewable energy sources

had contributed to about 30% of the total worldwide

electricity generation, marking a significant 10

percentage point rise compared to the year 2010,

[16]. The rise of renewable energy was supported by

globally. The International Energy Agency (IEA)

predicts that by 2028, renewable energy sources will

provide 42% of the world's electrical supply, with

wind and solar power accounting for 25% of that

total, [18]. This anticipated increase represents the

most rapid when compared to the expansion

observed since the 1970s, [19]. China is projected to

provide over 50% of the worldwide growth in

renewable electricity in the year 2021, with the

United States, the European Union, and India

PV technology, while the United States is

anticipated to experience further growth because of

sustained legislative backing from both federal and

state governments. Wind energy is projected to see

the most substantial growth in renewable

generation, with an estimated rise of 275 TWh,

equivalent to over 17%, [22]. This growth is much

higher compared to the levels observed in 2020. In

the upcoming years, it is projected that China will

produce 600 TWh of wind energy, while the United

is expected to be driven by energy from waste

power projects, mostly because of the presence of

incentives, [22]. The anticipated growth in power

generation derived from various renewable sources

is expected to result in a substantial increase in the

share of renewables in the mix of energy sources

peak of 30% in the year 2021, [24]. In the year

2021, the collective energy production from nuclear

power and other low-carbon sources has surpassed

the total output generated by coal plants worldwide.

The IEA predicts that this proportion will increase

to 30% by the year 2024, [25].

However, India is currently ranked as the third

largest user of power globally, as well as the third

greatest producer of renewable energies, [26]. The

use and expansion of renewable energies in India

imperative to shift from fossil fuel-dependent

energy systems to more environmentally friendly

and sustainable substitutes is widely acknowledged

throughout the nation. The Indian government has

demonstrated a robust dedication to the progression

of renewable energies, [28]. India, following the

targets outlined in the Paris Agreement's Intended

Nationally Determined Contributions for the year

2016, pledged to produce 50% of its overall

electricity from non-fossil fuel sources by the year

methods like feed-in tariffs, tax inducements,

subsidies, and renewable energy goals have been

used to stimulate the extension of the renewable

energy segment. The Indian government has

employed a range of programs and initiatives,

including the National Solar Mission, the

Renewable Energy Certificate Mechanism, the

Wind Power Program, and the Green Energy

Corridor Project, intending to promote and

incentivize investments in renewable energy

designed to ensure equitable and widespread

provision of electricity to every household inside the

nation, [22].

Furthermore, India is currently making

significant financial commitments toward renewable

energy resources, such as solar, wind, and

prominent player in the global renewable energy

segment, securing the position of the third-largest

solar market and the fourth-largest wind power

installed capacity worldwide, [22]. The present

circumstances witness the renewable energy

industry exerting influence on various aspects of the

country, encompassing the augmentation of

productivity, attraction of foreign investors,

stimulation of domestic investment, amelioration of

substandard living conditions, stabilization of

of sufficient financial resources, technology

limitations, poor grid infrastructure, and gaps in

policy implementation, [22]. Successfully

addressing these difficulties necessitates the

implementation of collaborative approaches,

innovative strategies, and the establishment of

international cooperation and assistance.

However, while there exists a considerable body

of research on the progress of the renewable energy

sector in China and the United States, [31], the

the country. Moreover, it is essential to pinpoint and

emphasize the specific areas that require further

investigation to gain a deeper understanding of the

obstacles and possibilities in India's shift towards

renewable energy. This is vital to achieve the Indian

government's objective of increasing the country's

installed capacity for renewable energies to 500 GW

by 2030. Furthermore, it is important to maintain

ongoing endeavors to effectively tackle obstacles

and guarantee the long-term viability of renewable

carbon economy aligns with the contemporary

imperatives of sustainable economic and social

progress. A comprehensive comprehension of both

international and domestic policies, legal

frameworks, and market mechanisms is crucial in

effectively addressing energy-related challenges,

production and consumption, and ultimately

transitioning from a high-carbon to a low-carbon

era. Moreover, with the ongoing acceleration of the

worldwide movement towards cost-effective,

environmentally friendly, and highly productive

energy systems, there exists a genuine imperative to

augment the comprehensive comprehension of the

interconnection between energy and the promotion

of sustainable development. Hence, the primary

objective of this research is to provide an in-depth

India, encompassing an examination of government

policies, challenges, inducements, and the impact of

renewable energies on the nation's economic

development. Furthermore, this study provides

evidence of the potential of renewable energy sector

expansion in India to contribute towards the

accomplishment of all 17 SDGs outlined by the

United Nations. The findings of this research hold

the potential to support the formulation and

execution of suitable policies targeted at the

2 Renewable Energies

Renewable energies serve as a viable substitute for

conventional energy sources, which heavily depend

on fossil fuels, and exhibit a significantly reduced

cost reductions and the realization of the anticipated

benefits of clean energy, [33]. Figure 1 presents

different types of renewable and sustainable

energies.

Fig. 1: Different types of renewable and sustainable

energies

construction of a dam or barrier enables the

establishment of a substantial reservoir, which can

be effectively utilized to regulate the flow of water

and afterward activate a turbine, facilitating the

generation of electrical energy, [35]. The

contribution of hydropower beats nuclear power by

55% and surpasses the joint contributions of other

renewable energies, for instance, wind, solar,

biofuel, and geothermal. Hydroelectricity was

responsible for 17% of the world's total electricity

United Kingdom, as wind power continues to make

a growing contribution to the National Grid. Wind

energy is the foremost non-hydro renewable

technology, having produced a substantial amount

of over 2100 TWh in the year 2022, [39]. The share

of global power generation that came from wind

energy sources increased significantly in 2022,

reaching around 7.33 percent, compared to the share

of 6.6 percent that it had in the previous year, [39].

electricity through the operation of turbines, [44].

The utilization of wave and tidal energy constituted

nearly 1.5% of the global aggregate installed

electricity, 4.5% of the overall capacity of

renewable energies, and approximately 7.5% of the

aggregate hydropower capacity worldwide, [22].

heating of biomass feedstock materials enclosed and

pressured tanks known as gasifiers, operating at

elevated temperatures, [50]. Globally, the total

electricity generation from biomass in the year 2020

amounted to 685 TWh. Solid biomass supplies 69%

of the total biopower produced, while municipal and

industrial waste contributes 17% of the whole

biopower production, [22]. In 2019, the continent of

Asia was responsible for 39% of the total global

biopower generation, amounting to a production of

uranium and plutonium within nuclear power plants,

[52]. Nuclear power, in conjunction with

hydropower, represents one of the earliest low-

carbon energy systems in existence. Nuclear energy

is derived from the process of nuclear fission within

a reactor, wherein atoms are split to produce thermal

energy that is subsequently used to convert water

into steam. This steam is then employed to drive a

turbine, facilitating the generation of electricity,

[53]. About 10 percent of worldwide electricity, or

abundance of renewable energy resources, as

indicated in Table 1.

As of February 2023, the collective installed

capacity of renewable energy in the nation of India

amounts to 169 GW. Among the aggregate power

capacity of 168.96 GW, solar electricity generates

64.38 GW, hydropower constitutes 51.79 GW, wind

energy contributes 42.02 GW, and bioenergy

represents 10.77 GW. An additional 82.62 GW of

renewable energy capacity is currently being

in India, [27]

second spot with a capacity of 21.07 GW, while

Karnataka occupies the third position with a

capacity of 20.60 GW. Tamil Nadu is ranked fourth

with a total installed capacity of 20.35 GW, while

Maharashtra is positioned fifth with a capacity of

16.10 GW. The combined installed capacity of

renewable energies in India is predominantly

concentrated in these five states, representing

around 61% of the total.

The Indian government has established specific

long-term goal of reaching net-zero carbon

emissions by the year 2070. To support these

efforts, the government plans to expand India's

installed capacity for renewable energies to 500 GW

by 2030. India achieved the third position on a

global scale in terms of overall additions to its

renewable power capacity, recording a substantial

15.4 GW in 2021. This ranking places India behind

China, which added 136 GW, and the United States,

which added 43 GW. This nation established the

early 1980s.

India possesses the fifth-largest hydropower

capacity globally and hosts numerous substantial

hydroelectric power facilities that produce

environmentally friendly and sustainable electricity.

India possesses a total of 197 hydroelectric power

facilities with nine pumped storage stations. The

five leading hydroelectric power plants in the

country are in the states of Uttarakhand,

Maharashtra, Andhra Pradesh, Himachal Pradesh,

for the period of 2020-2021 was derived from

hydroelectric sources. However, the estimated

hydroelectric power potential of India is 148.7 GW.

In 2020, the aggregate hydroelectric power

production in India amounted to 156 TWh, with the

exclusion of small-scale hydroelectric projects. The

whole hydropower potential in India amounts to

660,000 GWh per year, with a significant portion of

540,000 GWh/year (about 79%) remaining

untapped. India is positioned as the fourth nation

consequences, land procurement, financial

investment, socio-economic disputes, regulatory

complications, and rivalry with alternative

sustainable technologies.

Table 2. Hydropower capacity in the five leading

hydroelectric power plants in India

has had substantial growth in contemporary ages. As

of August 31, 2023, the cumulative installed

capacity of wind energy amounted to 44 GW,

positioning it as the fourth-greatest installed wind

energy capacity worldwide after China, the United

States, and Germany. Wind power constitutes

around 10% of India's aggregate installed efficiency

energy production capacity and produced 71.814

TWh during 2022–23, or approximately 4.43% of

the overall electricity production. The proliferation

farms in India include Pratapgarh Wind Farm in

Rajasthan, Rojmal Wind Farm in Maharashtra,

Poolavadi Wind Farm in Tamil Nadu, Nimbagallu

Wind Farm in Andhra Pradesh, and Samana Wind

Farm in Gujarat. However, the wind energy

business in India encounters numerous obstacles,

including regulatory ambiguity, competitiveness,

land accessibility, expenses, technological hurdles,

installation prices, maintenance costs, and grid

interconnection. Wind energy is confronted with

substantial capacity for harnessing solar energy, as

the majority of its regions experience more than 300

days of sunshine annually. India now has an

installed solar power capacity of 82 GW as of

March 31, 2024, which positions it as the third

largest solar power generator worldwide after China

and the USA.

Table 3. Wind energy generation in different states

of India in May 2023

production falls short of its potential, accounting for

less than 10% of the total capacity it might

theoretically create. India's objective is to reach a

cumulative solar power capacity of 280 GW by the

year 2030.

The state-wise capacity of solar energy

conversion in India in March 2023 is presented in

Table 4. Rajasthan and Gujarat are the leading

Indian states in the generation of solar energy. In

2009, the Indian government introduced the

electricity generation capacity in India is reported to

range between 1700 and 1900 kWh per kW. India

has approved a total of 45 solar parks, with a

combined capacity of 37 GW. The total installed

capacity of solar parks in Pavagada is 2 GW, in

Kurnool it is 1 GW, and in Bhadla-II it is 648 MW.

The solar parks rank within the top five operational

solar parks in the nation, boasting a collective

capacity of 7 GW. Currently, there is an ongoing

project in Gujarat to create a solar-wind hybrid

Andhra Pradesh, NP Kunta Ultra Mega Solar Park

in Andhra Pradesh, and Rewa Ultra Mega Solar in

Madhya Pradesh. However, India encounters

numerous obstacles in its solar energy industry,

encompassing issues such as high expenses, limited

availability of land, inadequate infrastructure,

reliance on imports, insufficient research and

development, extended payback periods, air

pollution, and inadequate energy storage.

and sustainable form of renewable energy. In the

context of India, the whole potential capacity of

tidal energy is projected to be almost 40 GW.

According to the data presented in Table 5, it has

been approximated that India has harnessed a total

of 8300 MW of tidal energy. Additionally, the

proposed energy generation plans encompass a

capacity of 7000 MW in the Gulf of Cambay and

1200 MW in the Gulf of Kutch. The Ministry of

Renewable Energy offers financial assistance of up

maintenance and functioning are comparatively less.

India possesses an extensive coastline that

encompasses numerous gulfs and estuaries,

characterized by robust tidal currents capable of

facilitating the generation of power through the

utilization of turbines, [56]. However, tidal energy

in India encounters numerous obstacles, such as

exorbitant expenses, ecological apprehensions,

irregular availability, restricted energy consumption,

geographical constraints, and equipment

Geothermal energy in India is now in its early

developmental phase. At present, the Geological

Survey of India has identified over 340 thermal

springs throughout the nation, [57]. The primary

geothermal resources throughout India has been

conducted, revealing a potential geothermal power

capacity of approximately 10 GW. The Vindhyachal

Thermal Power Station, situated in the Singrauli

region of Madhya Pradesh, is presently recognized

as the biggest thermal power plant in India, boasting

an installed capacity of 4.76 GW. Historically, the

progress of geothermal energy implementation in

proficiency and substantial initial expenditures,

[57]. Nevertheless, the Indian government has

implemented measures to harness this potential by

establishing geothermal power facilities and

providing incentives to encourage private

investment in the industry. The Ministry of

Renewable Energy has set a target to produce a

maximum of 1000 MW of geothermal energy by the

year 2022. However, geothermal energy is limited

by the scarcity of suitable sites for exploitation, as

from 5 to 10 years for traditional power plants.

Biomass energy is produced in India within the

organization for operational needs. Approximately

32% of the nation's primary energy consumption is

typically sourced from biomass, while

approximately 70% of the population typically relies

on this form of energy. The approximate annual

biomass availability in India is projected to be

around 750 million metric tons. According to the

data presented in Table 6, the current biomass

and employed a diverse range of strategies to

enhance the self-reliance of its citizens, irrespective

of the accessibility of conventional gasoline and

other fossil fuel-derived commodities. In

comparison, the generation of biogas in India is

rather limited. The current biogas production is

has been suggested that the potential production

year, the metropolitan areas of India produce around

position globally in terms of agricultural biomass

generation, with an annual production of

approximately 990 million metric tons (MMT) as of

May 2024, following China. However, in India,

biomass energy has various hurdles, such as

regulatory obstacles, seasonal fluctuations in