The case for energy efficiency

UPSC Syllabus Topic: GS Paper 3-infrastructure-energy

Introduction

India has expanded clean power quickly, yet grid emissions have risen. Non-fossil capacity now exceeds 51%, but the grid emission factor increased . The paradox stems from a capacity–generation gap and an evening-peak timing mismatch that keeps coal on call. Progress now requires putting energy efficiency first and adding flexibility through storage, smarter tariffs, and demand-side tools. The case for energy efficiency.

Current status of India’s clean energy

1. India’s Power Capacity

Non-fossil fuel sources (renewable energy, hydro, and nuclear): 256.09 GW – over 51 % of the total.

Fossil-fuel-based sources: 244.80 GW – about 49 % of the total.

Within renewables:

Solar power – 127.33 GW

Wind power – 53.12 GW

2. Achievement:

• India has already achieved one of its major COP26 Panchamrit goals — to have 50 % of installed electric power capacity from non-fossil fuel sources by 2030 — five years early.
• India has already cut emissions intensity by 33% (2005–2019)

3. Global rankings: India is ranked 4th in total renewable energy capacity globally, 3rd in solar capacity, and 4th in wind power capacity.
4. Continued reliance on coal: Despite the growth in renewables, over 66% of electricity generation still comes from coal-fired power plants.

Major Concern Related to India’s Clean Energy

1. Capacity–generation gap: Non-fossil sources are ~50% of installed capacity, yet renewables (with hydro) delivered only 22% in 2023–24. Low capacity factors keep coal dominant. This widens the capacity-delivery divide. Demand intensifies the shortfall.
2. Evening peak deficit: Solar output falls after sunset while household demand rises, pushing coal plants to meet night and peak loads.
3. Flexibility gap in dispatch: The grid cannot quickly shift or store power to match changing demand. Storage is limited and demand-shifting is weak, so coal plants are used as fast “shock absorbers,” especially in the evening.
4. Network and land constraints: Slow expansion of transmission corridors and land access delays integration of new clean projects at the required pace.
5. Slow RTC scaling: Round-the-Clock renewable supply is cheaper than new coal, but scale-up lags due to financing, siting, and grid readiness.
6. Emissions rebound: The grid emission factor rose from 0.703 to 0.727 tCO₂/MWh (2020–21 to 2023–24), reflecting coal-heavy balancing during growth.

Way forward

1. Put efficiency first: Energy efficiency is the “first fuel.” It reduces demand before supply is built and flattens evening and night peaks, lowering coal dispatch. Scale efficient fans, air-conditioners, and motors, and embed efficiency in buildings and industry.
2. Support infrastructure: Efficiency must work hand-in-hand with clean supply. India should expand transmission networks, invest in energy storage, and streamline land access for renewables.
3. Policy alignment: Policymaking should prioritise integration of efficiency, renewables, and flexibility across all sectors.
4. Strengthen demand-side flexibility: To unlock the full potential of clean energy, India must take six clear actions:

• Enable virtual power plants — Allow homes and offices to connect batteries to the grid, helping it glide through peak demand hours.
• Accelerate appliance efficiency standards — Shift markets toward 4- and 5-star products and continuously raise benchmarks.
• Support small and medium enterprises (SMEs) — Encourage adoption of efficient motors, pumps, and industrial processes through targeted assistance.
• Adopt flexible pricing — Design time-of-day tariffs that reward consumers who shift usage to periods of high renewable availability.
• Introduce scrappage incentives — Replace old, energy-guzzling equipment with new, efficient technologies.
• Allow DISCOMs to procure energy services — Facilitate procurement of “electricity services” like green cooling powered by RTC clean power, rather than just purchasing raw electricity.

Conclusion

India has the capacity; now it must unlock delivery and timing. Put efficiency first, scale RTC renewables and storage, expand transmission, and align demand with clean supply. These steps will cut coal-time peaks, lower the GEF, and turn clean capacity into clean generation—reliably, affordably, and at scale.

Question for practice:

Discuss the major concerns in India’s clean energy transition and suggest the way forward to make the power system cleaner and more efficient

Source: The Hindu