Experts say India’s clean energy transition must now focus on energy storage, AI-powered grid management, climate finance, stronger power distribution companies and energy security to sustain renewable energy growth.
India’s Clean Energy Transition Moves Beyond Renewable Capacity
India’s clean energy transition is entering a new phase where success will depend not only on expanding renewable energy capacity but also on strengthening the infrastructure, financing and policy framework needed to support a low-carbon economy, according to industry experts.
Speaking at OPEN Green Shift, a forum that brings together leaders from business, policymaking and innovation, experts said the country’s next stage of energy transformation will require significant investments in energy storage, smart grid technologies, climate finance, artificial intelligence (AI) and power distribution reforms.
While India has made substantial progress in scaling up renewable energy over the past decade, panelists noted that the next challenge lies in ensuring the electricity system can reliably integrate and manage growing volumes of clean power.
Grid Modernisation and Storage Become Top Priorities
Experts said the increasing share of solar and wind energy in India’s electricity mix has made grid flexibility and energy storage essential for maintaining a reliable power supply.
According to estimates discussed during the forum, India will require around 250 gigawatt-hours (GWh) of energy storage capacity by 2030, whereas current storage capacity remains only a fraction of that requirement.
They emphasised that expanding battery storage and other energy storage solutions will help balance intermittent renewable generation and ensure round-the-clock electricity availability.
Structural Challenges Need Immediate Attention
Speaking during the discussion, Saurabh Kumar, former Vice President of the Global Energy Alliance for People & Planet (India), highlighted India’s rapid expansion of solar power and the successful rollout of smart metering programmes as key achievements over the past decade.
He noted that declining solar tariffs and greater private-sector participation in smart meter deployment demonstrate the impact of ambitious policy interventions.
However, Kumar cautioned that several structural challenges could slow future progress. He said nearly 40 GW of renewable energy projects are currently stalled, while insufficient grid flexibility and limited storage infrastructure remain major obstacles to integrating additional renewable capacity.
He also stressed the need to improve the financial health of electricity distribution companies (DISCOMs), stating that a sustainable energy transition depends on financially stable utilities capable of purchasing renewable power.
AI and Digital Technologies to Enable Smarter Power Systems
Panelists identified artificial intelligence (AI) and digital technologies as critical tools for managing increasingly complex electricity networks.
AI-powered systems can help forecast electricity demand, optimise renewable energy integration, improve grid efficiency and support real-time decision-making, enabling a more resilient and flexible power system.
Experts said the adoption of smart technologies will become increasingly important as renewable energy generation continues to grow.
Energy Security Emerging as a Key Driver
Mohit Bhargava, Country Director of the India Energy & Climate Center at the Goldman School of Public Policy, UC Berkeley, said energy security has become a central objective of India’s clean energy transition amid an evolving global geopolitical landscape.
He argued that renewable energy combined with energy storage now represents one of the country’s most cost-effective solutions for providing reliable, round-the-clock electricity.
Bhargava said this creates opportunities to accelerate the decarbonisation of industries such as:
- Textiles
- Ceramics
- Automobiles
- Pharmaceuticals
He added that green hydrogen could play an important role in reducing emissions from hard-to-abate sectors, including the steel industry.
Climate Finance Critical for Future Growth
Experts agreed that achieving India’s long-term clean energy goals will require significantly higher levels of climate finance and private investment.
They called for stronger policy support, greater participation by state governments and accelerated financing for next-generation clean technologies to sustain the country’s energy transition while meeting rising electricity demand.
According to the panel, the next phase of India’s clean energy journey will depend on integrating technology, finance and infrastructure alongside renewable energy expansion.
Key Takeaways
- Experts say India’s energy transition is entering a phase focused on grid modernisation, energy storage, AI and climate finance.
- India is estimated to require around 250 GWh of energy storage capacity by 2030.
- Nearly 40 GW of renewable energy projects are reportedly stalled due to structural bottlenecks.
- Experts emphasised the importance of strengthening DISCOMs and expanding smart grid technologies.
- Renewable energy, supported by storage, is increasingly viewed as a cost-effective solution for improving energy security and accelerating industrial decarbonisation.
FAQs
What is the next challenge in India’s clean energy transition?
Experts believe the focus has shifted from simply adding renewable energy capacity to strengthening grid infrastructure, expanding energy storage, mobilising climate finance and deploying AI-powered technologies.
Why is energy storage important?
Energy storage helps balance intermittent renewable energy sources such as solar and wind, ensuring reliable electricity supply even when generation fluctuates.
How much energy storage will India need by 2030?
According to estimates discussed at the forum, India will require around 250 GWh of energy storage capacity by 2030.
What role can artificial intelligence play in the power sector?
AI can improve electricity demand forecasting, optimise renewable energy integration, enhance grid efficiency and support real-time power system management.
Why are experts emphasising energy security?
Experts say clean energy should strengthen India’s energy independence while meeting growing electricity demand, reducing reliance on imported fossil fuels and supporting sustainable industrial development.
