India is expected to experience a remarkable fivefold surge in green investments, reaching ₹31 lakh crore from 2025 to 2030, according to a credit rating agency CRISIL report. This substantial increase is a significant step toward meeting the nation’s updated Nationally Determined Contributions (NDCs) under the Paris Agreement. These commitments include reducing the carbon intensity of GDP by 45% from 2005 levels by 2030 and ensuring that at least 50% of installed power capacity comes from non-fossil-fuel-based sources.
Amish Mehta, Managing Director and CEO of CRISIL emphasized the importance of accelerating grants and incentives, scaling up blended financing initiatives with multilateral institutions, and ensuring policy flexibility to drive carbon market development and industrial decarbonization efforts.
Out of the projected investments, ₹19 lakh crore is expected to go toward renewable energy and storage projects, ₹4.1 lakh crore into the transport and automotive sectors, and ₹3.3 lakh crore into the oil and gas industry. However, for emerging high-risk projects like green hydrogen, carbon capture utilization and storage (CCUS), and advanced energy storage technologies, substantial government support will be pivotal for enhancing their viability.
CRISIL's latest InfraInvex report, which measures the investment attractiveness of key infrastructure sectors, highlights that power-related segments—such as renewables, conventional generation, transmission, and distribution—have shown increased appeal due to favorable policy frameworks and growing investment opportunities. On the other hand, sectors like mining and the electric vehicle (EV) ecosystem have faced a decline in investment attractiveness. The report noted that a sharper focus on critical minerals could boost the mining sector, while the EV ecosystem awaits further policy interventions.
India's journey to achieving its net-zero target by 2070 will require a cumulative investment of $10 trillion. The transition involves significant initiatives across industries and a concerted push to adopt clean energy technologies. With a substantial portion of the funds allocated to renewables and storage, the nation aims to lay a robust foundation for sustainable growth. However, the successful execution of these investments will depend on continued government support, innovative financing solutions, and collaboration with global institutions
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