India’s electricity sector is set for a structural transformation, with renewable energy expected to account for more than 80% of the country’s power generation by 2070, while coal’s share is projected to fall sharply to 6–10%, according to a new report released by government think tank NITI Aayog.
The study, which outlines India’s long-term decarbonisation pathway aligned with its net-zero target for 2070, highlights nuclear energy as a critical baseload source to ensure grid stability in a renewables-dominated energy system.
At present, coal contributes nearly 74% of India’s power generation, followed by renewables at around 20% and nuclear at about 3%. Under the current policy scenario, renewable energy is expected to dominate the power mix by 2070, supported by significant expansion in nuclear capacity and advanced energy storage solutions.
According to the report, India’s installed nuclear capacity is projected to rise from the current 8.18 GW to between 90 GW and 135 GW by 2070 under existing policies. In a net-zero-aligned scenario, nuclear capacity could increase further to 295–320 GW, positioning atomic energy as a central pillar of India’s low-carbon baseload generation.
The report emphasises that while renewable energy will form the backbone of India’s electricity supply, coal-based power plants will continue to play a limited but strategic role in ensuring energy security, managing peak demand, and balancing grid fluctuations caused by the intermittent nature of solar and wind power.
NITI Aayog has also underlined the importance of deploying Small Modular Reactors (SMRs) to support industrial decarbonisation, particularly in sectors such as steel, cement, and manufacturing. These compact nuclear units are expected to replace coal-based captive power plants, providing reliable, low-carbon electricity and heat for energy-intensive industries.
However, the report flags key challenges in achieving this transition, including the large-scale integration of variable renewable energy, the development of long-duration energy storage systems, and the accelerated scaling of nuclear infrastructure. It calls for sustained policy support, regulatory reforms, and private sector participation to enable the rapid deployment of clean energy technologies.
India has committed to achieving net-zero carbon emissions by 2070 and aims to install 500 GW of non-fossil fuel power capacity by 2030. The roadmap outlined by NITI Aayog is expected to guide long-term investments in renewable energy, grid modernisation, energy storage, and nuclear power, shaping the country’s clean energy transition over the coming decades.
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