Economics of energy transition: A benefit-cost analysis 

Given the country’s 2070 net zero target, Deloitte estimates India needs an estimated $300 billion in annual investment between 2022 and 2070 to transition to clean energy. This would translate into a potential $613 billion annual average GDP boost by 2030, with over 56 million additional net direct job growth. However, as India becomes more energy self-sufficient, there will be several qualitative economic impacts, including stronger credit growth and fewer supply chain disruptions.

However, this shift may come with fiscal costs and a need to reallocate resources from current areas. Delaying action, on the contrary, could result in significant economic risks emanating from climate-related damages and lower air quality and may result in credit rating downgrades impacting India’s borrowing costs.

To understand India’s economic benefits and costs and the potential growth areas as the nation intensifies its transition efforts towards alternate energy options, read the full article now.