India's Renewable Energy Ambitions: Financing and Land Challenges Ahead

The Economic Survey 2023-24 highlighted the need for mobilization of finance and resolution of land acquisition issues to achieve Rs 30.5 lakh crore investment for 500GW renewable energy by 2030 in India. This ambitious target includes boosting non-fossil fuel capacity and creating millions of green jobs.

The Economic Survey 2023-24 has underscored the imperative need for significant financial mobilization and the resolution of land acquisition challenges to meet the Rs 30.5 lakh crore investment necessary for achieving 500GW of renewable energy capacity in India by 2030.

Tabled in Parliament, the survey projects that the RE sector will attract substantial investments between 2024 and 2030, filling various economic opportunities across the value chain. The report highlights the new investments amounting to Rs 8.5 lakh crore (USD 102.4 billion) between 2014 and 2023, alongside USD 17.88 billion in FDI from April 2000 to March 2024.

For securing necessary finances, the survey recommends that the banking sector be geared up for larger deployment goals, exploring international funding at low-interest rates, and developing risk mitigation mechanisms. The survey also calls for state governments to play a major role in identifying and acquiring land with RE potential, to support the country's green energy targets.

(With inputs from agencies.)