India’s Clean Energy Push Now Driving Industrial Competitiveness and Global Trade Strategy: Pralhad Joshi

Shri Joshi emphasized that in the emerging global economic order, energy policy can no longer be viewed in isolation from industrial development and international trade.

India's clean energy transition is rapidly evolving beyond a climate-focused agenda into a core pillar of the country's industrial strategy, trade competitiveness and long-term economic resilience, Union Minister for New and Renewable Energy Shri Pralhad Joshi said on Tuesday while outlining the government's vision for an innovation-driven and self-reliant energy ecosystem.

Addressing the CII Annual Business Summit 2026, the Minister said India's ambitious target of achieving 500 GW of non-fossil fuel capacity by 2030 is simultaneously laying the foundation for a globally competitive manufacturing and industrial ecosystem aligned with the principles of sustainability and Aatmanirbharta.

The remarks come at a time when countries worldwide are increasingly linking energy transition strategies with industrial policy, supply chain security and trade competitiveness amid growing climate-related regulations and geopolitical shifts.

Energy Policy Becoming Industrial and Trade Policy

Shri Joshi emphasized that in the emerging global economic order, energy policy can no longer be viewed in isolation from industrial development and international trade.

He observed that evolving global frameworks such as carbon-linked trade regulations are fundamentally reshaping global commerce and industrial competitiveness.

According to the Minister, Indian industries must accelerate renewable energy adoption not merely to meet environmental goals but also to remain globally competitive in export markets facing stricter sustainability standards.

"Adoption of renewable energy is no longer optional but essential for maintaining export competitiveness and managing future cost pressures," Shri Joshi said.

Experts say measures such as carbon border adjustment mechanisms being introduced in parts of Europe and other regions are increasing pressure on manufacturers worldwide to decarbonise supply chains and reduce carbon intensity.

India's Renewable Energy Expansion Among Fastest Globally

Highlighting India's progress, Shri Joshi stated that the country has achieved one of the world's fastest renewable energy expansion trajectories over the last decade.

According to the Minister:

• India's non-fossil fuel capacity has increased from 81 GW in 2014 to 288 GW currently, marking growth of over 256 percent

• Solar energy capacity has surged from 2.8 GW to 155 GW

• Wind energy capacity has expanded from 21 GW to 56.4 GW

Officials say the rapid scale-up reflects sustained policy support, infrastructure expansion and strong public-private sector collaboration.

Renewable Energy Now Supporting Peak Power Demand

The Minister also highlighted the growing role of renewable energy in supporting India's electricity needs.

He noted that renewable sources contributed nearly one-third of India's record peak power demand of 256 GW, underscoring the increasing integration of clean energy into the national grid.

Energy analysts say India's ability to integrate large-scale renewable energy into power systems is becoming increasingly important as electricity demand rises due to:

• Industrial expansion

• Urbanisation

• Digital infrastructure growth

• Electric mobility

• Cooling demand

India Continues Attracting Clean Energy Investment Despite Global Slowdown

Shri Joshi pointed out that India continues to attract strong global investment flows into renewable energy even as international renewable investment trends have weakened.

He noted that global renewable energy investments declined by around 7 percent, while India maintained strong investor confidence and capital inflows into the sector.

The Minister attributed this resilience to policy stability, market scale and close collaboration between government and industry stakeholders.

"This progress reflects the deep and effective partnership between the government and industry," he said.

Aatmanirbharta Evolving into Global Development Framework

Shri Joshi said the concept of Aatmanirbharta (self-reliance) has evolved into an internationally recognised framework for resilient and sustainable growth rather than economic isolation.

"Aatmanirbharta is not about isolation; it is about confidence, capability and global competitiveness," the Minister said.

He highlighted several examples of India's expanding self-reliance capabilities, including:

• Vaccine Maitri initiative during COVID-19

• Digital Public Infrastructure such as UPI

• Defence exports including BrahMos missiles and LCA Tejas aircraft

The Minister said these achievements demonstrate India's ability to combine domestic capability with global responsibility and international partnership.

Government Announces Major Renewable Energy Policy Reforms

Shri Joshi outlined several policy initiatives introduced to strengthen India's renewable energy ecosystem and domestic manufacturing capabilities.

Key measures include:

• Long-term Renewable Consumption Obligation trajectories

• Carbon Credit Certificate Regulations, 2026

• Long-term green ammonia procurement agreements

• Standardised warranty framework for solar PV modules

• Renewable Energy Equipment Import Monitoring System

• Tax and duty reforms supporting domestic manufacturing

Officials say these reforms are aimed at providing:

• Long-term policy certainty

• Investor confidence

• Domestic value addition

• Manufacturing competitiveness

• Supply chain resilience

Green Hydrogen and Storage Technologies Emerging as Strategic Priorities

The Minister highlighted several emerging sectors expected to drive the next phase of India's clean energy transformation.

These include:

• Green hydrogen

• Battery storage systems

• Pumped hydro storage

• Offshore wind energy

• Round-the-clock renewable power solutions

Energy experts believe these technologies will play a crucial role in addressing intermittency challenges associated with renewable energy while supporting industrial decarbonisation.

Green hydrogen, in particular, is increasingly viewed as a strategic solution for reducing emissions in hard-to-abate sectors such as:

• Steel manufacturing

• Fertilisers

• Chemicals

• Heavy transport

• Refining

Renewable Energy Becoming Key Industrial Competitiveness Factor

Shri Joshi noted that renewable energy is rapidly becoming a decisive factor in industrial competitiveness across sectors including:

• Steel

• Aluminium

• Chemicals

• Automotive manufacturing

• Textiles

Analysts say industries that successfully transition toward low-carbon energy systems will likely gain advantages in global markets increasingly shaped by sustainability standards and ESG requirements.

India Confident of Achieving 500 GW Target by 2030

The Minister expressed confidence that India remains firmly on track to achieve its target of 500 GW of non-fossil fuel capacity by 2030.

However, he stressed that the next phase of expansion will require deeper integration of:

• Power generation systems

• Energy storage infrastructure

• Transmission networks

• Grid resilience mechanisms

He emphasized that sustained collaboration between government and industry would remain essential for maintaining growth momentum.

Public-Private Partnership Driving India's Energy Transformation

Acknowledging industry participation, Shri Joshi said India's renewable energy achievements have been made possible through strong cooperation between the government and private sector.

"The shared commitment between government and industry will be even more critical as we move towards building a globally competitive, technologically advanced and inclusive energy system," he said.

He also invited global investors and industry stakeholders to participate in the upcoming Renewable Energy Global Investors Meet scheduled later this year.

India Positioning Itself as Global Benchmark for Sustainable Industrial Growth

Concluding his address, Shri Joshi said India's focus on:

• Scale

• Speed

• Skill development

• Aatmanirbharta

would not only help the country achieve its clean energy targets but also establish India as a global benchmark for sustainable industrial transformation.

As global economies increasingly move toward low-carbon growth pathways, India is positioning its renewable energy transition as both an environmental commitment and a strategic economic opportunity capable of reshaping the country's industrial future.