Modi Says Energy To Be Major Share Of India Infrastructure Spend

(Bloomberg) -- India will earmark a major share of the $134 billion in planned infrastructure spending in next year’s budget to the energy sector to meet surging demand, according to Prime Minister Narendra Modi.

The Indian leader is attempting to persuade voters at upcoming elections that his government can provide cheap and reliable electricity, while simultaneously pursuing policies aimed at accelerating efforts to curb greenhouse gas emissions.

“Our primary energy demand is expected to double by 2045 and we are making preparations for that,” Modi said in a speech at India Energy Week in Goa. “And at the same time we are also trying to ensure there is affordable energy for our citizens.”

Modi, who is seeking a third term, has set an ambitious range of climate goals over the past decade. These include lifting the share of clean-power capacity in its electricity mix to 50% by the end of the decade, from around 40% now, and guiding the economy toward net zero by 2070.

However, the country, the world’s third-largest polluter, hasn’t provided a timetable for peaking its carbon emissions in the near term. And in a sign it’s prioritizing energy security, it’s planning to add 88 gigawatts of coal-fired capacity, about a third of the current total for the fossil fuel, by 2032.

India’s energy mix will become more favorable to the environment, Modi said in his speech, adding that the country will soon become an exporter of green hydrogen. 

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