New Delhi, Karnataka and Gujarat remain ahead of the curve in the clean energy transition, but states like Jharkhand, Bihar, West Bengal and Uttar Pradesh need not step up efforts, according to a new report released Tuesday.
The joint report from research organisation, the Institute for Energy Economics an Financial Analysis (IEEFA) and clean energy think tank AMBER assesses clean electricity transition preparedness at the sub-national level.
The report's authors said Karnataka and Gujarat continued their strong performance across all dimensions, effectively integrated renewable energy sources into their power sectors, and made strong progress in decarbonization. But Jharkhand, Bihar, West Bengal and States like Uttar Pradesh need to improve, while these states are in the early stages of their transition, they now need to focus on increasing renewable energy deployment, increasing short-term market share and strengthening their distribution companies.
The launch of the report coincides with an intense heat wave in parts of India, with the power ministry preparing for an estimated peak power demand of 260 GW.The harsh summers also provide an opportunity to use more clean energy such as solar power. However, this requires preparedness of states to transition towards clean sources of electricity.
“Cyclic weather conditions as well as rapid economic activity are driving India's peak power demand every year. While the central government is taking steps to integrate more renewable energy into the grid, states need to be prepared to do the same. Measuring sub-national progress now requires continuous monitoring of multiple parameters at the state level.Report contributing author Vibhuti Garg, Director, South Asia, IEEFA, said, a purely national overview can often overshadow the subtle complexities at the state level, which can hinder a country's electricity transition. While progress at the national level is good, it is much more uneven at the state level.
“Some states have developed progressive steps, such as promoting decentralized renewable energy deployment, promoting solar pumps for agricultural needs, increasing storage solutions to ensure more renewable energy in their power systems. But, the transition to clean electricity Many states are still in their infancy.
Aditya Lola Asia Program Director, Amber, a contributing author of the report, said, “These states should focus on accelerating efforts to reach the benefits of the transition to clean electricity and ensure that they are far behind better performing states. Don't be left behind.“A key finding from the analysis of the 2024 report is that many states are demonstrating readiness to embrace the electricity transition. They are performing well in the “power ecosystem readiness and performance” and “market support” dimensions, but "There is a need to improve the decarbonization dimension."
“Delhi's power system is well prepared for decarbonization, while Odisha has strong market enablers to support decarbonization in the power sector. “However, their actual decarbonization progress to date has not matched their strengths in these aspects, highlighting the importance of performing well in both dimensions to effectively achieve decarbonization targets,” co-author Neshavin Rodrigues. said Amber, electricity policy analyst.
The report also says state-level decarbonization can be further accelerated by strengthening the power ecosystem and putting in place the right enablers.Som says companies that are decarbonizing well also lack the right market enablers, with others struggling with the readiness of their energy ecosystems. Kerala, Haryana, Andhra Pradesh, Punjab and Maharashtra have all made considerable progress in some aspects, but their performance is low in other aspects. For example, Kerala and Punjab need to improve when it comes to market enablers for decarbonization, while Andhra Pradesh and Maharashtra need to improve on the preparedness of their electricity ecosystem, according to co-author Tanya Rana Energy Analyst, IEEFA. Needs attention.
Saloni Sachdeva Michael, energy expert, India Clean Energy Transition, IEEFA, says, “Despite the relative success the sector has achieved so far in decarbonizing, the state remains lacking in readiness and market enablers to maintain its momentum. Should be removed."
The report recognizes the significant efforts that states are making toward clean electricity and recommends some key steps to accelerate the transition.“We recommend strengthening the state-level regulatory ecosystem. This not only ensures compliance but also promotes growth, data tracking and monitoring and a conducive environment for business,” Michael said.
“India has formulated several central and state-level policy plans to strengthen its goal of energy independence by supporting various reforms and regulatory interventions across the value chain. However, the actual implementation has not been adequate and transparent,” she said.
The report also emphasizes the need to focus on studies from national level to state level to fully understand the nuances of electricity transition in India.“Each state faces unique challenges in decarbonizing its electricity system, which require tailored policy interventions. “By tracking decarbonisation progress, assessing electricity system readiness for the transition, and monitoring the progress of market enablers, state-specific challenges and potential interventions can be better understood,” Rodrigues said.
The joint report from research organisation, the Institute for Energy Economics an Financial Analysis (IEEFA) and clean energy think tank AMBER assesses clean electricity transition preparedness at the sub-national level.
The report's authors said Karnataka and Gujarat continued their strong performance across all dimensions, effectively integrated renewable energy sources into their power sectors, and made strong progress in decarbonization. But Jharkhand, Bihar, West Bengal and States like Uttar Pradesh need to improve, while these states are in the early stages of their transition, they now need to focus on increasing renewable energy deployment, increasing short-term market share and strengthening their distribution companies.
The launch of the report coincides with an intense heat wave in parts of India, with the power ministry preparing for an estimated peak power demand of 260 GW.The harsh summers also provide an opportunity to use more clean energy such as solar power. However, this requires preparedness of states to transition towards clean sources of electricity.
“Cyclic weather conditions as well as rapid economic activity are driving India's peak power demand every year. While the central government is taking steps to integrate more renewable energy into the grid, states need to be prepared to do the same. Measuring sub-national progress now requires continuous monitoring of multiple parameters at the state level.Report contributing author Vibhuti Garg, Director, South Asia, IEEFA, said, a purely national overview can often overshadow the subtle complexities at the state level, which can hinder a country's electricity transition. While progress at the national level is good, it is much more uneven at the state level.
“Some states have developed progressive steps, such as promoting decentralized renewable energy deployment, promoting solar pumps for agricultural needs, increasing storage solutions to ensure more renewable energy in their power systems. But, the transition to clean electricity Many states are still in their infancy.
Aditya Lola Asia Program Director, Amber, a contributing author of the report, said, “These states should focus on accelerating efforts to reach the benefits of the transition to clean electricity and ensure that they are far behind better performing states. Don't be left behind.“A key finding from the analysis of the 2024 report is that many states are demonstrating readiness to embrace the electricity transition. They are performing well in the “power ecosystem readiness and performance” and “market support” dimensions, but "There is a need to improve the decarbonization dimension."
“Delhi's power system is well prepared for decarbonization, while Odisha has strong market enablers to support decarbonization in the power sector. “However, their actual decarbonization progress to date has not matched their strengths in these aspects, highlighting the importance of performing well in both dimensions to effectively achieve decarbonization targets,” co-author Neshavin Rodrigues. said Amber, electricity policy analyst.
The report also says state-level decarbonization can be further accelerated by strengthening the power ecosystem and putting in place the right enablers.Som says companies that are decarbonizing well also lack the right market enablers, with others struggling with the readiness of their energy ecosystems. Kerala, Haryana, Andhra Pradesh, Punjab and Maharashtra have all made considerable progress in some aspects, but their performance is low in other aspects. For example, Kerala and Punjab need to improve when it comes to market enablers for decarbonization, while Andhra Pradesh and Maharashtra need to improve on the preparedness of their electricity ecosystem, according to co-author Tanya Rana Energy Analyst, IEEFA. Needs attention.
Saloni Sachdeva Michael, energy expert, India Clean Energy Transition, IEEFA, says, “Despite the relative success the sector has achieved so far in decarbonizing, the state remains lacking in readiness and market enablers to maintain its momentum. Should be removed."
The report recognizes the significant efforts that states are making toward clean electricity and recommends some key steps to accelerate the transition.“We recommend strengthening the state-level regulatory ecosystem. This not only ensures compliance but also promotes growth, data tracking and monitoring and a conducive environment for business,” Michael said.
“India has formulated several central and state-level policy plans to strengthen its goal of energy independence by supporting various reforms and regulatory interventions across the value chain. However, the actual implementation has not been adequate and transparent,” she said.
The report also emphasizes the need to focus on studies from national level to state level to fully understand the nuances of electricity transition in India.“Each state faces unique challenges in decarbonizing its electricity system, which require tailored policy interventions. “By tracking decarbonisation progress, assessing electricity system readiness for the transition, and monitoring the progress of market enablers, state-specific challenges and potential interventions can be better understood,” Rodrigues said.
