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First Time India’s CO2 Emissions Dip

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Source: IE

Context:

Carbon dioxide emissions from India’s electricity sector dropped by 1% in the first half of 2025 compared to H1 2024. First sectoral decline outside Covid years, electricity accounts for ~40% of India’s annual greenhouse gas emissions.

Analysis Source: Centre for Research on Energy and Clean Air (CREA), for Carbon Brief.

Contributing Factors

  • Weather Factors:
    • Milder summer temperatures reduced electricity demand.
    • Monsoon rainfall was ~30% above normal in pre-monsoon period (March–May).
    • Fewer and less intense heatwaves reduced air-conditioning load (~10% of summer electricity demand).
  • Structural Factors:
    • Accelerated deployment of renewable energy.
    • India added 25.1 GW of clean electricity capacity in H1 2025 (~70% higher than H1 2024).
    • Total power generation increased by 9 TWh, while fossil fuel (mainly coal) generation fell by 29 TWh.
    • Solar (+17 TWh), wind (+9 TWh), hydro (+9 TWh), and nuclear (+3 TWh) generation increased.

Government Initiatives for Reducing Electricity Sector Emissions

  • National Solar Mission & NAPCC: Promotes solar, wind, hydro, and distributed generation.
  • Green Energy Corridors: Efficient evacuation of renewable power.
  • Energy Storage & Flexibility: Battery storage integration with solar and wind.
  • Energy Efficiency: PAT scheme, smart meters, and demand-side management.
  • Policy & Incentives: Renewable Energy Certificates, tax benefits, state RPOs.

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