1. Energy Transformation for Green Growth Pathways for Sustainable Energy Security to Power India’s Economic Growth 29 August 2015, Kolkata

2. Growth & Environment India’s rapid economic growth A range of developmental outcomes Cost to the environment (resource scarcity & pollution) 155/178 on overall environmental quality (EPI 2014) 13 out of 20 most polluted cities in the world (WHO) Environmental degradation costs India US$80bn/year (World Bank) Does economic growth has to come at the cost of environmental degradation?

3. Growth & Environment Business as usual scenario the challenge of environmental sustainability Need to value natural resources Emergent crisis is an opportunity Low-polluting & resource-efficient growth trajectory is desired and achievable ‘Green Growth’ strategies to address environmental degradation & natural resource depletion, while meeting the developmental needs & escalating growth A trajectory of economic development that fully internalises environmental costs, and is based on sustainable use of non- renewable resources.

4. Energy, Growth & Environment Energy as a driver of growth Reliable energy access remains a growth barrier in India A quarter of population lack access to electricity India ranks 137 in getting electricity (Doing Business) Energy consumption accounts for 57.8% of GHG emission in India Unique Challenge Bridge the demand-supply gap Revolutionise power generation A new deal to balance developmental & sustainability priorities

5. Energy, Growth & Environment India is the third largest electricity market Projected to grow fastest in coming decade Of the 10 largest electricity systems, Indian market grew fastest with a growth of 9.6% between 2013 & 2014 With 74% of electricity from coal-fired power plants in 1014- 15, India is the most coal dependent nation Projected to consume 20% of all internationally traded coal Import dependency to fuel power plants Over past 5 years, coal import has tripled to supply 22% of total consumption in 2014 In 2014, Indian electricity was second most carbon intensive among top 20 nations

6. Need for an Energy Transformation Need for a transformation in the way energy produced, distributed and consumed GoI recognises the need To deliver, in sustainable way, a significantly bigger electricity supply To improve grid efficiency & encourage infrastructure investment To support a rapid diversification away from coal-fired power

7. Need for an Energy Transformation We have planned a 5x growth in renewable energy in the next five years. It is an article of faith for Prime Minister Narendra Modi. India is much more conscious today and all of us recognise that we have to leave behind a cleaner and greener country as we move forward. Minister of Power, Coal and New & Renewable Energy Additional RE installed capacity of 175MW by 2022 National Solar Mission- 100 GW by 2022 Proposed National Renewable Energy Act New Integrated Energy Policy

8. Developmental & Environmental Implications National energy security Reduced import dependency Industrial promotion (boost the Make in India initiative) Employment generation Regional development Facilitate achievement of forthcoming SDGs Reduced carbon intensity of economy Reduced natural resource depletion and pollution

9. Challenges to be Addressed India’s energy transformation will require huge investment Meeting the RE targets only needs US$200 bn investment Fragile power market and bankrupt distribution utilities Systemic challenges Fundamental challenges in all segments of Indian electricity Process challenges Conflict of policies Integrated planning Effective regulation Conceptual challenges Sustainability – Equity Availability – Affordability – Accessibility Diversity

10. Political Economy Matters Long-standing ‘growth-first’ approach Polluters pay Climate action plan Indian approach to sustainable development Inclusiveness & equity Limits of Indian approach

11. There is a will to transform the energy sector. Have we got the right strategies in place? How to create a strong political mandate for energy transformations? How to mobilise decision-makers and social majority for such a transformation?