India's Green Revolution: A Push Towards Sustainable Investing and Net-Zero Goals
Key Ideas
- India is expected to attract an estimated Rs 31 lakh crore in green investments by 2030, aligning with the country's net-zero goals and sustainability practices across various industries.
- Key sectors like renewable energy, storage, transport, and automotive are set to receive significant investments, while there's a growing focus on green hydrogen and smarter refining in the oil and gas sector.
- Challenges remain in financing the green transition, especially for newer technologies like green hydrogen and carbon capture, which require new funding initiatives and government support.
- Experts emphasize the importance of energy efficiency, sector-specific roadmaps, and mobilizing funding through green bonds, revolving funds, and support for emerging technologies to achieve the green transition successfully.
A recent report by Crisil Intelligence highlights India's projected surge in green investments in infrastructure, with an estimated Rs 31 lakh crore expected to flow into the sector by 2030. This investment push is in line with India's ambitious net-zero goals and the increasing emphasis on sustainable practices in industries ranging from mobility to energy. While sectors such as renewable energy and storage are expected to attract significant investments, there is a notable decline in investment potential in areas like the EV ecosystem. The report emphasizes the need for financing mechanisms for newer technologies like green hydrogen and carbon capture, including government incentives.
Rahul Prithiani, senior director at Crisil Intelligence, stresses the importance of focusing on energy efficiency and sector-specific roadmaps to mobilize funding for the green transition. Collaboration between the private sector, government, and international funds is deemed essential, along with the development of green bond markets and innovative financing structures like blended finance to address the funding gap.
The report also points out the growth in investments in various sectors, highlighting the decline in the EV ecosystem investment due to the lack of long-term initiatives. Hemal N Thakar, a senior practice leader at Crisil, underscores the necessity of consistent policies and increased private-sector participation to drive the adoption of electric vehicles and achieve sustainability goals in India.
Topics
India
Renewable Energy
Transportation
Green Energy
Infrastructure Development
Climate Finance
Sustainable Investing
Policy Consistency
Investment Potential
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