India’s Renewables Cut Fuel Import Costs by $100 Billion, IEA Says

Without solar, wind and bioenergy capacity added since 2010, India’s coal imports in 2025 would have been about 110 million tonnes higher, the IEA said in its India Renewable Energy Market Report 2026. Executive Director Fatih Birol said the expansion is benefiting energy security amid uncertainty in global markets, and that consistent policies can lower renewable costs and attract investment.

India has quadrupled its installed clean energy capacity over the past decade. The IEA projects that renewables will account for 35% of the country’s energy mix by 2030, doubling their share from current levels. Competitive auctions have helped bring down solar photovoltaic manufacturing costs and supported the development of hybrid renewable projects.

The agency cautioned that further growth will depend on faster investment in electricity grids, storage and system flexibility, as well as stronger utility finances and fewer project delays. The source article also links the need for energy investment across Asia to rising demand, including from data centers. A McKinsey & Company report published in October estimated that Asian nations may need to invest $1 trillion annually over the next 15 years to secure energy supplies. It forecast regional energy demand of 370 million terajoules by 2040, 15% above its previous estimate.