Development Watch – Week #5 April’25

Development News

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Coal imports may end by 2029 with RE

By adding 50 GW of renewable energy every year, India could completely stop importing thermal coal by 2029. It will help save about $66 billion in forex between 2025-29. Total savings could be at least $173 billion from 2025-34. This is as per Climate Risks Horizon, a think tank. Currently, India has about 150 GW of RE from solar and wind. Around 200 GW comes from hydro, small-hydro and biogas. India’s electricity sector remains heavily dependent on coal imports. Around 20% or 206 million tonnes of thermal coal was imported in 2023-24 at a cost of $21 billion. Thermal coal imports have risen by 58% between 2013-23. However, value of the imports have increased by 124% due to volatile global prices, and a weakening rupee. India’s energy demand will continue to grow due to urbanization, industrial growth and greater use of electric technologies. Per capita consumption has also risen from 957 kWh in 2013 to 1331 in 2022. Heatwaves linked to the climate crises are further pushing up power demand.

Reliance ventures into solar manufacturing

Reliance Industries Ltd. has commissioned its first line for manufacturing of solar panels. It is on track to build battery storage production facilities. In 2021, RIL had unveiled a $10 billion plan spanning renewables, storage and hydrogen as it chased net-zero emissions by 2035. First line of solar PV modules has been commissioned. Reliance is building giga factories on a 5,000-acre site at Jamnagar. Here they are producing PV modules, batteries, hydrogen electrolyzer, and fuel cells. The company is looking at land and transmission to generate 150 billion units of electricity. The government has mandated that from June 2026, all clean energy projects must use solar PVz modules made from locally produced cells with a view to cut reliance on Chinese imports. Domestic solar panel manufacturing will help India in achieving its broader goal of 500 GW of RE by 2030. Reliance is a building a fully-integrated green hydrogen to green chemicals complex at Kandla in Gujarat. In addition to this, the conglomerate is building 55 integrated compressed biogas (CBG) plants by 2025. The company currently has 10 operational plants.

Maharashtra EV policy for leading in sustainable mobility

Maharasthtra Government has introduced a new policy on electric vehicles. The Maharashtra cabinet has approved Electric Vehicle Policy 2025 according to which certain EVs will receive toll waivers on highways. Subsidies will be provided on purchase of such vehicles to boost their use to bring down air pollution. Rs. 1,993 Crores have been earmarked for the sector. There is focus on expanding charging infrastructure across key urban centres and highways to address the challenge of accessibility. The introduction of toll-free highways for EVs reduces operational costs, making electric vehicles more economically viable. Registration and road tax benefits further ensure long term stability for both consumers and manufacturers. Electric tractors would also be given concession against original cost.

Cutting oil imports with EVs

A complete shift from older vehicles to EVs in 44 Indian cities. This would serve a population of at least 10 lakh. It would also avoid 11.5 tonnes of PM 2.5 emissions every day by 2035 and reduce Greenhouse gas emissions by 61 million tonnes of CO2 equivalent. A study by TERI says it would help save more than 51 billion litres of petrol and diesel. It would reduce India’s oil import bill by an estimated Rs. 9.17 lakh crores ($106 billion) by 2035. The transport sector accounts for 24% and 37% in winter season to the ambient PM-10 and PM-2.5 concentrations. Older diesel buses are the biggest polluters among all vehicle types. Age restrictions on buses alone could reduce 50% of PM2.5 and 80% of nitrogen oxide emissions by 2030. A complete shift to EVs would also create around 3.7 lakh new jobs in EVs and Renewable energy sectors. More than 45,000 public EV-charging stations and 130 vehicle-scrapping facilities need to be set up in 44 cities to enable this transition.

Electric rope shovel developed by BEML

BEML Ltd. has launched India’s largest indigenously designed electric rope shovel. It is named as BRS21 and will be used for open cast mining. The 720-ton, zero emission machine comes with a 21 cubic metres bucket. The BRS21 rope shovel is designed, engineered, and manufactured entirely in India. The high-capacity electric rope shovel is purpose-built for large-scale overburden removal in opencast mining operations. This marks a historic shift in large scale surface mining. The equipment was formally handed over to Northern Coalfields Ltd. in Singrauli, MP. This ushers in a new era of sustainable and self-reliant mining solutions.

385-acres industrial city in Ahmedabad district

Mascot Infrastructure is a real estate and industrial park developer. It is developing an integrated industrial township over 385 acres at Vithalpur in Ahmedabad. The Mascot Industrial City township project is located near the renowned auto cluster of Vithalapur. It is also connected to major infrastructure developments including Delhi-Mumbai Industrial Corridor, Dholera SIR, GIFT City and Sanand GIDC. It will serve as an industrial and logistics hub. The township is planned with industrial, residential and commercial zones. Mascot township also has industrial plots, plug & play factory sheds, and warehouses. There are other infrastructure like hotels, schools and food plazas. The developer has already established 5 industrial and logistics parks across Ahmedabad, Vadodara and Surat.

India’s maritime fundamentals strong despite US tariffs

US reciprocal tariffs may cause friction in the short term for the maritime sector. However, the long term fundamentals remain strong. India’s expanding port capacity, growing export base and skilled workforce make it an adaptive and resilient player in global shipping. US President Donald Trump imposed reciprocal tariffs on around 60 countries disrupting global trade. The US later suspended reciprocal tariffs until July 9, but has imposed base import tariffs of 10% on all countries. Driven by digitalization, decarbonization and regulation, shipping is transitioning towards skill-based hiring. There is a demand for multi-disciplinary maritime professionals. A global ship management company like Synergy Marine Group employs 28,000 seafarers worldwide, 70% of whom are Indians. There will be 8% increase in shore-based hiring, particularly in technical management, data analytics, crewing and digital innovation.

Veterinary infrastructure to boost rural economy

India needs stronger veterinary infrastructure and skills to support rural economy. Veterinarians are backbone of the rural economy. There is a need for collaboration among veterinary professionals, scientists and public health experts and farmers to ensure integrated health approaches. India houses over 536 million livestock, which is the world’s largest population. Nearly 70% of rural households depend on animals for income, food and security. Indigenous livestock breeds are adapted to local climate conditions, and are crucial for sustainable production systems. Advanced reproductive technologies (sex-sorted semen and IVF) can likely enhance productivity. Initiatives like National Digital Livestock Mission for disease monitoring and India’s “One Health” approach would address zoonotic diseases. However, there is an acute shortage of veterinary professionals.

India lifted 170 million people from poverty in 10 years

A World Bank report reveals that India has lifted 170 million people out of poverty between 2011-12 and 2022-23. Extreme poverty has also declined significantly. Those living on less than $2.15 a day has declined from 16.2% in 2011-12 to 2.3% in 2022-23. Rural areas have seen a greater reduction in poverty compared to urban areas. While consumption inequality has decreased, consumption inequality has gone up. Wage disparities still remain high.

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