When the scent of pumpkin spice lattes starts to fill the air, I know it’s time for those texts from friends and family: “Should I get the new iPhone?"
My answer? Ehh, probably not. Temptation to upgrade will be high after Apple’s Sept. 9 launch event. And there are very good reasons to buy the new model. But just because your oldie but goody suffers from sluggish performance, short battery life or a cracked touch screen, it isn’t doomed to become e-waste.
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India is significantly trailing China in energy transition. The country has added about 25GW of solar and 5GW of wind capacity in fiscal year 2025 (FY25), but it is only a fraction of China's nearly 300GW in the same period. In the first six months of this year alone, China installed 221GW of solar capacity. For India to keep pace, the speed of expansion has to be much faster, industry leaders and policymakers told Mint.
“For India to keep pace, the speed of expansion has to be much faster and both the appetite and capabilities exist to make that possible," Praveer Sinha, chief executive officer (CEO) and managing director, Tata Power, said at Mint’s Sustainability Summit on 3 September.
With an annual capacity addition of 29.52GW, the total installed renewable energy (RE) capacity in the country has reached 220.10GW as of March 2025, up from 198.75GW in the previous fiscal. India has set a target of achieving 500GW of non-fossil fuel-based capacity by 2030, as part of its commitments under the ‘Panchamrit’ goals.
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India's Panchamrit goals include five climate commitments, including reducing carbon emissions, carbon intensity of the economy and boosting renewable energy, to achieve net-zero emissions by 2070.
But technology alone will not drive the shift.
Industry leaders flagged hurdles around land, transmission, financing and regulation that are stalling adoption of clean energy. “There is a restriction in terms of geography of where you can get land. The government has to work on that. Secondly, for thermal or nuclear power you require four times the capacity of transmission lines. Getting approvals is an issue. Finally, securing financing and ensuring that it is at a competitive rate is another bottleneck," Sinha added.
Land requirements vary significantly by technology, with thermal power needing 3-5 acres per megawatt of capacity, while wind requires significant spacing for turbines. Solar land use typically ranges from 2 to 10 acres per MW, and a nuclear energy facility requires 1.3 sq. miles per 1,000MW of installed capacity.
He added that the problem of who buys the power remains unresolved. “You have utilities who are already committed to long-term power purchase agreements. The question is how do they get out of it and start moving for these low cost options?," said Sinha. “The ability of these utilities to pay, who already have huge liabilities on their books and large looming losses, poses another hurdle."
Delays or defaults in payments by distribution companies (discoms) remain a risk for investors because they can disrupt cash flows and delay project execution. State-owned discoms had accumulated losses of ？76.5 trillion by FY23, according to a Reserve Bank of India report in December.
For nuclear energy, challenges stretch beyond land and financing. “Challenges remain the same as others, with harsher regulations for nuclear power. Apart from land acquisition, water sourcing is another hurdle," said B.V.S. Sekhar, executive director, Nuclear Power Corp. of India.
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Public perception, too, is a big challenge for nuclear power in India, but Sekhar said the government is working to improve conditions. “We are countering it, there is growing appreciation. Many states are coming to help us locate sites, which earlier opposed Nuclear. And then, the supply chain is the issue, very less manufacturers who make nuclear-grade equipment and components," he added.
India currently operates 25 nuclear reactors across seven locations, with a total installed capacity of 8,880MW, contributing about 3% of the country's electricity generation, according to the ministry of power.
Eight reactors with 6,600MW capacity are under construction, and another ten reactors with 7,000MW capacity are in pre-project stages. The government has set a target of achieving 100GW of nuclear power capacity by 2047.
The most challenging issue is the cost of the cleaner substitutes that is slowing adoption.
On green hydrogen, Derek M. Shah, CEO and managing director, L&T Energy GreenTech, said, “The elephant in the room is why do we use a more expensive substitute? Even though we do want to decarbonize, this is being addressed in multiple ways. Tech advancement in electrolyzers, renewable energy, these are big subjects challenging the industry. This is possibly in a stringent manner being addressed by most."
Grey hydrogen, produced from fossil fuels, currently costs about $1.80-$2.50 per kg in India, significantly less than green hydrogen, which is projected to cost around $3.80-$5.00 per kg in India by 2030, according to a Bain and Co. report in June 2025.
Despite the bottlenecks, the industry executives agreed that energy transition is inevitable and has to be pursued on multiple fronts. “Coal has been the workhorse for the last five decades, but there is an opportunity to transition in the next 10 to 20 years, if not immediately," said Sinha.
Gautam Reddy, CEO, AM Green, said, “From tech readiness, policy evaluation and demand, renewables has advanced a lot more. Hydrogen is starting to take off, Nuclear is still a little behind. So put your money in all three, and you will do well."
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The share of coal in India’s total energy generation increased to 79% to 16,906 petajoules (PJ) in 2023-24, about two percentage points more than previous year, according to the ministry of statistics and program implementation's (MoSPI) Energy Statistics in India 2025. Meanwhile, India is committed to achieve the net-zero emission target by 2070.
In terms of investments in the sector, experts believe that investors should make balanced bets on all developed and emerging energy sources. “The challenge of 2070 net zero is so huge that we don’t have an 'either or' option. All clean tech has to be used, and be integrated over time," said Sekhar.
The Centre will shortly begin a mid-term review of its key economic and welfare programmes to fuel growth and spark job creation, according to two people familiar with the matter.
The exercise, led by the ministry of finance and slated to begin next month, is expected to redirect resources toward employment initiatives and potentially increase allocations for entrepreneurship and skills-based programmes, the people said, asking not to be named as the discussions are private.
“The mid-year review of various schemes and proposals is intended to build on earlier steps like GST rate cuts and income tax relief announced in the Union budget, with the aim of amplifying their impact and stimulating consumption," one of the two people cited above said. “Budget allocations for key schemes will be reviewed and could be scaled up where necessary," the person added.
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A finance ministry spokesperson didn’t respond to emailed queries.
Flagship schemes
Several flagship schemes will undergo review, including the rural jobs initiative Mahatma Gandhi National Rural Employment Guarantee Scheme, artisans scheme PM Vishwakarma, street vendors' scheme PM SVANidhi and micro-loans scheme PM Mudra Yojana. Others such as the Annadata Aay Sanrakshan Abhiyaan to support farmers' income, Deen Dayal Upadhyaya Antyodaya Yojana for skill development and the Pradhan Mantri Kisan Maandhan Yojana for farmer's pension also may be reviewed, the people mentioned above said, besides Make in India 2.0 and the newly approved Employment Linked Incentive (ELI) Scheme.
The review comes as policymakers contend with uneven consumer spending, sluggish private investment and persistent global economic challenges.
“Initiatives focused on SMEs and MSMEs are also likely to be assessed, reflecting the government’s emphasis on small businesses as engines of job creation," said the second person. “Their role becomes even more critical in the wake of US reciprocal tariffs, which are expected to weigh heavily on these sectors."
Budget allocations
The government is also looking at whether budget allocations are sufficient to meet its growth and employment targets, the first person said.
“The mid-year review of various schemes and proposals is intended to build on earlier steps like GST rate cuts and income tax relief announced in the Union Budget, with the aim of amplifying their impact and stimulating consumption," said the first person mentioned above, who didn’t want to be named.
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MGNREGA, one of India’s largest social safety nets, has retained its allocation at ？86,000 crore for 2025-26, unchanged from the previous year. The scheme, which provides 100 days of guaranteed wage employment to rural households seeking unskilled work, has long been central to livelihood security in the countryside, though economists say stagnant funding may constrain its effectiveness amid rising demand.
Vishwakarma, PM-Aasha
The PM Vishwakarma scheme, launched in 2023 to support artisans and craftspeople, received ？5,100 crore for 2025-26, as part of a broader five-year outlay of ？13,000 crore. Similarly, the restructured PM SVANidhi programme, which provides loans to street vendors, has a total allocation of ？7,332 crore with lending extended to March 2030.
For farmers, the PM-Aasha programme, which offers price support for crops, carries an outlay of ？35,000 crore spread across the entire 15th Finance Commission cycle, running through 2025-26. Meanwhile, the ELI Scheme, approved in July this year, is backed by nearly ？1 trillion to create over 35 million jobs, with benefits accruing over a two-year window from August 2025.
“The mid-term review is expected to examine whether current allocations are sufficient or whether fresh resources are needed to align spending with the government’s broader growth and employment goals," the first person mentioned above said.
“The efforts are likely to be aimed at striking a balance between immediate consumption support and the pursuit of longer-term productivity gains," the first person added.
Counter-cyclical
Experts said the government’s mid-term policy recalibration represents sophisticated counter-cyclical management amid a volatile global economy.
“With geopolitical tensions, supply chain disruptions, and shifting monetary policies creating unprecedented uncertainty, India’s recalibration toward employment-focused schemes demonstrates adaptive governance. This policy manoeuvring, from broad-based stimulus to targeted employment generation, aligns well with the needs of the hour as tariffs are likely to bite in the short term," said Rishi Shah, partner and economic advisory services Leader, Grant Thornton Bharat.
“The multiplier effects could be substantial: skilled workers enhance productivity, while entrepreneur-driven ventures create sustainable employment chains. This dual focus positions India to harness demographic dividends while building resilience against future global volatilities," he added.
Sharper focus
Some experts say the Centre should focus on a few employment generation schemes rather than diffuse government efforts, especially since revenues may come under pressure in 2025-26 due to forgone revenues in changes in the personal income tax and GST reforms.
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“The government’s first focus should be on increasing India’s potential growth rate, which depends on savings and investment. Stimulating consumption is called for when the economy operates at below the potential growth rate. A suitable balance in supporting investment and consumption is needed because they play different roles," said D.K. Srivastava, chief policy advisor, EY India.
“Promotion of investment by the government, including capital expenditure, would support uplifting potential growth, and consumption should be supported so that the actual growth remains close to the potential growth which may be in the range of 6.5% to 7%," he said.
Srivastava argues that while cash transfers and employment schemes offer limited, short-term support, focusing on skill-building and entrepreneurship will yield stronger, long-term outcomes. He believes this approach will lead to increased productivity, better capacity utilization and more private investment.