5-Fold Growth in Green Investments: What Does Rs 31 Lakh Crore Mean for India’s Future?
India is poised for a remarkable increase in green investments, with projections showing a five-fold rise, reaching an estimated Rs 31 lakh crore between 2025 and 2030, according to a Crisil report released on Wednesday. This growth is key to meeting the country’s ambitious sustainability targets.
India is poised for a remarkable increase in green investments, with projections showing a five-fold rise, reaching an estimated Rs 31 lakh crore between 2025 and 2030, according to a Crisil report released on Wednesday. This growth is key to meeting the country’s ambitious sustainability targets.
Table of Contents
Investment Breakdown
The report, presented at the India Infrastructure Conclave 2025 in New Delhi, highlights the distribution of these investments:
- Rs 19 Lakh Crore is expected to flow into renewable energy and storage sectors.
- Rs 4.1 Lakh Crore will be directed towards transport and automotive industries.
- Rs 3.3 Lakh Crore will be invested in the oil and gas sector.
Key Goals for Net-Zero Emissions
This boost in investment plays a pivotal role in helping India achieve its net-zero emissions target by 2070, as outlined in the Updated Nationally Determined Contributions (NDC) under the Paris Agreement. Key targets include:
- A 45% reduction in carbon intensity of GDP by 2030 (from 2005 levels).
- Achieving a 50% share of non-fossil fuel-based energy in India’s total installed power capacity.
Statement from Crisil’s Managing Director
Amish Mehta, Managing Director and CEO of Crisil, shared, “India’s rapidly growing economy presents a unique opportunity to align its developmental goals with environmental priorities. The projected Rs 31 lakh crore in green investments reflects the momentum of this shift.”
India’s Renewable Energy Growth
India is making impressive strides in its renewable energy capacity. As of December 2024, the country’s total installed renewable energy capacity reached 209.44 GW, reflecting a 15.84% year-on-year growth. The capacity added in 2024 alone was 28.64 GW, a 119.46% increase from 2023.
Also Read: Hyundai Motor raises alarm at BYD’s entry into South Korean market
Investment in Emerging Green Technologies
The Crisil report points out that well-established green technologies such as solar power, wind energy, and electric two-wheelers (EVs) already have adequate debt finance available through banks, sector-focused development finance institutions, and bond markets. However, newer and more high-risk technologies, including green hydrogen, carbon capture, and energy storage, will require government grants and incentives to improve their viability.
India’s Commitment to Clean Energy
India’s accelerating green investments underline the nation’s commitment to sustainable growth and decarbonization, aligning with global climate goals while enhancing its economic resilience.
