India's rapid scale-up of renewable energy capacity saved over $100 billion in fuel imports: IEA
The International Energy Agency (IEA) in its India Renewable Energy Market Report 2026, said India's rapid scale-up of renewable energy capacity has helped the country avoid more than $100 billion (about Rs 9.4 lakh crore) in coal and natural gas import costs between 2011 and 2025, with cumulative savings expected to reach nearly $240 billion (Rs 22.6 lakh crore) by 2030.
The findings underline the growing economic and energy-security dividends of India's renewable energy transition, with increased domestic electricity generation reducing exposure to imported fossil fuels and volatility in international energy markets. The IEA estimates that without the solar photovoltaic (PV), wind and bioenergy capacity added since 2010, India's coal imports in 2025 alone would have been around 110 million tonnes higher. The country's dependence on imported fuels for electricity generation would also have exceeded 30 per cent, around twice the actual level.
The agency projects annual savings on coal and natural gas imports could reach around $35 billion (Rs 3.3 lakh crore) by 2030, exceeding India's actual expenditure on non-coking coal and natural gas imports in FY2024-25. These projections are based on the assumption that international fuel prices remain broadly at their 2024-25 average levels. The findings underline the increasing role of renewable energy in supporting India's climate commitments while strengthening its external-sector resilience, by reducing the foreign exchange required to meet the country's growing electricity demand. India's renewable power capacity has almost quadrupled over the past decade, crossing 300 gigawatts (GW) in 2026, making it the world's second-fastest-growing renewable energy market.
