India’s heavy industries need 120GW of RE to meet demand: Ember

Up to 180 million tonnes of carbon emissions can be eliminated. 

India needs to have a capacity of 120 gigawatts (GW) of renewable energy by 2030 to ensure that demand from heavy industries is met whilst also reducing its carbon footprint.

A new report by Ember noted that by 2030, electricity demand in India’s heavy industries – steel, cement, aluminium, petrochemicals and ammonia – is expected to rise by 45% to reach 253  terawatt-hours, driven by existing technologies and projected growth rates. 

To meet this demand, whilst also shifting to cleaner sources, Ember said India needs to expand its renewable energy capacity by adding 120 GW of renewable energy source (RES) capacity.

“With declining RES tariffs, this shift represents a natural business choice for industries, especially if round-the-clock availability of renewable electricity is assured,” it noted.

This total addition means adding an average of 20 GW annually specifically to meet industrial energy needs, the think tank said.

Ember said the main demand drivers will be steel (48 GW), aluminium (35 GW) and cement (26 GW) sectors.

Transitioning to clean energy could help the industries avoid approximately 180 million tonnes (MT) of carbon dioxide emissions by 2030, resulting in a 17% reduction in the projected 2030 carbon emissions from these industries, the report said.

Aside from carbon emissions reduction, Ember said shifting to green energy will also lead to savings as electricity costs account for a significant portion of industrial expenses. 

Furthermore, “deploying advanced electrification technologies powered by RES could reduce CO2 emissions from India’s heavy industries by 37% (737 MT) in 2050,” Ember said.