Some Questions of the Indian Energy Policy Planning

Abstract

India is one of the fastest and biggest developing country in the world. It is the 7th largest economy and has the 2nd largest population in the world. With the economy growing at around 8% annually and the population increasing at a steady pace, the demand for energy would increase. Energy sources range from cheap coal sources to more expensive renewable sources of energy. The country’s total energy consumption is dominated by fossil fuels and notably by coal and oil. These sources of energy emit large quantities of CO2 which is a concern for the environmental conditions of the country. The country is currently at a deficit in production of total energy and must import to satisfy its demand. Expansion of production capacities in the country is one prime objectives of the government, especially in the coal production capabilities as it is a major producer of electricity. The government is trying to diversify its options regarding energy sources and shift away from its reliance of fossil fuels. Renewable energy sources have made huge developments in the country and the government has also highlighted their importance and plans are in place to expand their network. The government understands that diversification of energy sources is necessary to maintain a level of security and some form of competition from all energy sources.