INDIA is undergoing a significant transformation in its energy landscape, clearly driven by a commitment to sustainability, energy security, and economic growth.

As one of the largest manufacturing hubs in the world and with a population that has surpassed that of China, India’s energy demands are expected to skyrocket, and it is quite fascinating to observe how the country is balancing its energy demands without being caught up in the geopolitical tensions.

The global conflicts between the renewable energy and fossil fuel industries have had political and geopolitical implications for many countries, but it has been remarkable to watch how India has continued to balance and manage its energy solutions without aligning with any bloc.

The energy diplomatic prowess of India in investing heavily in renewable energy sources, including solar and wind power, while also ramping up its coal production, including nuclear, continues to secure India's energy demands.

For example, India’s solar expansion programme is nothing short of ambitious. The country plans to increase its solar capacity by 85-90GW for the financial year 2026/27, with a significant portion expected to come from rooftop solar installations.

This expansion will help India achieve its target of 280 GW of solar PV capacity by 2030, requiring an average annual addition of 30GW. To put this into perspective, India’s installed solar capacity stood at 66.7GW as of 2023, with a record 12.9GW of solar capacity added that year.

And because of its hybrid approach, India's coal production has seen a significant increase, with a 5.73% rise in February 2025 compared to the same period last year, reaching 928.95 million metric tonnes. This growth explains India’s commitment to its energy security and industrial growth to meet its electricity demands and support its manufacturing sector.

This multifaceted approach by India to invest in renewable energy sources while ramping up coal production and expanding its nuclear power capacity is surely a multipronged approach to reduce reliance on fossil fuels, decrease greenhouse gas emissions, and ensure a sustainable energy future.

This proactive approach enables India to meet its growing energy demands while minimising its environmental footprint.

India’s energy demands are closely tied to its industrial growth. The country’s manufacturing sector is expected to drive economic growth, create jobs, and increase energy demands. By investing in renewable energy sources and ramping up coal production, India is ensuring that its energy demands are met and fulfilling its responsibility to its citizens.

The demographic and economic shift of India as the most populous nation and a new economic powerhouse puts additional pressure on India’s energy infrastructure, making it essential for the country to invest in other sources of energy, including renewable energy sources to increase its energy efficiency.

To achieve its solar energy targets, India has implemented various incentives, including the production-linked incentive (PLI) scheme, which provides financial support to solar manufacturers.

The country has also introduced policies like the development of solar parks and ultra-mega solar power projects, which aim to promote large-scale solar development. Rooftop solar, in particular, is expected to drive India’s solar growth, with targets to achieve 40GW of rooftop solar capacity by 2022.

Many countries in the Global South continue to import finished renewable energy products such as solar panels and wind turbines, which has relegated them to consumers in the energy transition space instead of producers and meaningful economic participants.

With ambitious targets, a supportive policy framework, energy diplomatic prowess, and strong political will, India is poised to surpass many countries, including those in the Global North, which have focused their energies on energy politics rather than their countries national interests, of course in line with the global sustainable framework.

* Phapano Phasha is the chairperson of the Centre for Alternative Political and Economic Thought, whose focus is on the Global South and BRICS Plus countries.

** The views expressed here do not reflect those of the Sunday Independent, Independent Media, or IOL.

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A diplomatic energy balance in a contested energy space