India has a 10-year window in which no new investments in coal, gas or nuclear power are likely.
That’s according to a new report from The Energy and Resources Institute (TERI), which says India’s existing capacity and capacity under construction will be able to meet demand until about 2026.
If the price of solar power and batteries reaches as low as five rupees per unit between 2014 and 2024, all new Indian capacity additions in the future could potentially be in renewable form.
This is assuming the maintained cost competitiveness of green energy as well as the ability of the grid to absorb large amounts of renewable energy together with battery-based balancing power.
The report also suggests decarbonisation of power generation is an opportunity to transition other carbon intensive sectors such as transport to electricity, multiplying the benefits of clean energy generation.
Dr Ajay Mathur, Director General of TERI, said: “The target to achieve the United Nations Framework Convention on Climate Change commitments presents tremendous opportunity to put India at the forefront of economies transitioning towards low carbon growth.
“This includes improving electricity access, clean technology development, manufacturing and job creation.”
IFC, part of the World Bank Group, has announced it is investing $125 million (£103m) in an Indian renewable energy firm.