India’s energy sector is poised for transformative growth in renewable energy, smart grids, and electric vehicles (EVs) by 2025, driven by the nation’s target of achieving 500 GW of green energy capacity by 2030, according to Capgemini’s latest report, “2025 Predictions – Energy Transition & Utilities Technology and Industry Trends in India.”

The report highlights the pivotal role of solar and wind energy in India’s green push. “Advancements in solar photovoltaic (PV) technology and wind turbine efficiency will reduce costs and accelerate deployment,” said Bragadesh Damodaran, Vice President and Industry Platform Leader for Energy Transition & Utilities at Capgemini India.

Large-scale Battery Energy Storage Systems (BESS) are expected to balance renewable supply and demand, supported by decreasing costs of lithium-ion and alternative batteries. India aims to boost domestic battery production to meet EV sector demands and reduce import reliance.

Digital upgrades to India’s power grid will integrate advanced metering infrastructure (AMI), artificial intelligence (AI), and machine learning (ML), enabling real-time monitoring and predictive maintenance. Enhanced cybersecurity will also be critical to protect the evolving infrastructure.

India is set to emerge as a leader in green hydrogen production, with pilot projects targeting hard-to-decarbonize industries like steel, cement, and heavy transport by 2025. Damodaran emphasised the role of domestic electrolyser manufacturing in lowering production costs.

The report anticipates significant EV adoption, particularly in two- and three-wheeler segments, spurred by government incentives, expanded charging infrastructure, and decreasing battery prices. Vehicle-to-Grid (V2G) technology will further stabilise the grid by enabling EVs to supply power back to it.

Decentralised energy systems, including microgrids and blockchain-enabled peer-to-peer energy trading platforms, are expected to grow, especially in rural areas, allowing consumers to sell surplus power to the grid or directly to others.

Despite challenges in financing, grid modernisation, and ensuring equitable energy access, the report underscores India’s commitment to sustainable energy solutions, aiming to reduce dependence on fossil fuels while meeting growing energy demands.

(ET)