India Requires $1.5 Trillion Investment By 2030 To Address Climate Crisis, Says Deloitte
Deloitte, in its report, also suggested that reaching the goal of 500 GW of RE capacity will need around $200–250 billion in investment by 2030.
India will require $1.5 trillion investment by 2030 across key areas to address the climate challenge at scale, according to a Deloitte India report.
The investments will be driven by India’s efforts towards renewable energy, biofuels, decarbonisation and sustainable infrastructure to combat climate change, the report, "The climate response: Tapping into India’s climate and energy transition opportunity", said.
The report highlighted water security, sustainable agriculture, sustainable transport infrastructure, circular economy, waste management and digital systems and platforms as critical areas of investment that drive India’s climate and energy transition initiative.
The report also suggested that reaching the goal of 500 GW of RE capacity will need around $200–250 billion in investment by 2030, covering areas such as advanced manufacturing, grid integration and system expansion.
India will have to add 300 GW of RE capacity by 2030 to bridge the gap between its current capacity and the announced target of 500 GW of RE capacity.
Furthermore, RE capacity addition will also need to be supported by scaling up energy storage infrastructure by eightfold, necessitating $250-300 billion in capex by fiscal 30.
Viral Thakker, Partner and Sustainability and Climate Leader, Deloitte South Asia, said, "This investment will reduce emissions, boost job creation, enhance energy security and protect vulnerable communities from climate risks."
Financial instruments, such as green bonds, climate funds and blended finance models, are important in mobilising capital for sustainability initiatives. Unlocking investment at scale and ensuring equitable access to climate finance will help drive long-term resilience in India’s most climate-sensitive sectors, he said.
By strategically harnessing climate finance, India can accelerate its decarbonisation efforts, offering immense investment potential in sectors poised for sustainable growth and innovation, Thakker said.
