India's Low-Carbon Transition To Require Over $190 Bn In Investment: Moody's

India's transition to a low-carbon economy is set to demand investments ranging from USD 190 billion to USD 215 billion over the next seven years, as the country strives to meet its renewable energy targets, according to a new report by Moody's. 

The global rating agency said that while India has made notable progress in its commitment to decarbonise, sizable challenges remain due to its rapidly expanding economy and population.

The report stresses the complexity of India’s path to achieving net zero emissions by 2070, noting that the continued growth in energy demand, particularly from carbon-intensive sectors, could complicate the transition. Moody's highlighted that despite ongoing efforts to reach India's interim 2030 climate goals, the reliance on traditional energy sources like coal and steel remains a significant hurdle.

John Wang, Vice President of Moody's, pointed out that managing the impact of decarbonisation on jobs in legacy industries will be critical. He stressed the need for the government to carefully address potential job losses to mitigate the social and economic risks tied to the shift toward cleaner energy.