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Rating agency ICRA in its latest repost has said that a focussed road map, including timely interventions by the government, is necessary for the country in order to achieve the net zero target by 2070. It calls for timely interventions by the government and large capex/investments in GHG (greenhouse gas) emitting sectors like power, industry and transport.

According to the report, ambitious targets for COP26 open massive investment opportunities across segments stemming from 500 GW renewables by 2030, higher EV penetration (10 per cent by 2025), and 20 per cent ethanol blending for petrol (3x increase from current levels). It also improves energy efficiencies (battery storage, smart cities, etc.) and leads to the improvement in carbon capture from enhancing green cover and the use of advanced technologies. This would be a daunting task, and would need massive policy interventions to ensure investments across aforementioned sectors remain profitable enough to sustain well beyond 2030.

The report noted that being one of the fastest-growing economies in the world, India needs to find a fine balance between reductions in carbon emission, and surging energy needs. As the country enters the developed economy tag over the next few years, the per capita energy consumption is set to surge multifold (with China being 4x and the US being 10x of India). The government policies need to ensure no compromise in its ever-expanding energy needs that could hamper its growth ambitions, while simultaneously working towards removing the tag of one of the most polluting nations in the world.