Mapping India's Energy Subsidies 2021: Time for renewed support to clean energy

The report finds that fossil fuel subsidies in India significantly outweigh those for clean energy, with the disparity increasing from 7 to 7.3 times the size of renewable subsidies between FY 2019 and FY 2020. While electric vehicle subsidies more than doubled by FY 2020, renewable energy subsidies fell nearly 45% from their FY 2017 peak. Additionally, seven major energy public sector undertakings invested 11 times more in fossil fuel projects than in renewable energy projects in FY 2020.

• Fossil fuel subsidies in India significantly exceed those for clean energy, and this gap widened between FY 2019 and FY 2020, increasing from 7 times to 7.3 times the amount provided to renewables.
• Subsidies for renewable energy in India experienced a decline of nearly 45% from their peak in FY 2017, remaining stagnant at approximately INR 8,000 crore in FY 2020.
• In FY 2020, the largest subsidy category was electricity transmission and distribution, totaling around INR 1.3 lakh crore (USD 18.2 billion). Oil and gas subsidies rose by 16% from FY 2019 to FY 2020, reaching INR 55,347 crore (USD 7.8 billion), while electric vehicle subsidies more than doubled since FY 2019 to reach INR 1,141 crore (USD 161 million).
• Seven major Indian energy public sector undertakings spent INR 22,261 crore (USD 3.1 billion) on fossil fuel projects in FY 2020, which was 11 times the amount invested in renewable energy projects during the same period.
• To support the 'Make in India' initiative for domestic solar manufacturing, the report identifies three needs: demand-side certainty to trigger expansion, the development of healthy manufacturing ecosystems by states, and a combination of fiscal incentives and research and development to improve competitiveness.

APA

,, B. V. ,. V. A. N. G. B. S. S. B. G. ,. D. G. (2021). Mapping India's Energy Subsidies 2021: Time for renewed support to clean energy. International Institute for Sustainable Development. https://www.iisd.org/publications/mapping-india-energy-subsidies-2021

Chicago

,, Balasubramanian Viswanathan ,Anjali Viswamohanan,Prateek Aggarwal,Danwant Narayanaswamy,Anna Geddes,Theresia Betty Sumarno,Max Schmidt,Christopher Beaton,Siddharth Goel ,Arjun Dutt,Karthik Ganesan. Mapping India's Energy Subsidies 2021: Time for renewed support to clean energy. International Institute for Sustainable Development, 2021. https://www.iisd.org/publications/mapping-india-energy-subsidies-2021.

Wikipedia

{{cite report |last1=, |first1=Balasubramanian Viswanathan ,Anjali Viswamohanan,Prateek Aggarwal,Danwant Narayanaswamy,Anna Geddes,Theresia Betty Sumarno,Max Schmidt,Christopher Beaton,Siddharth Goel ,Arjun Dutt,Karthik Ganesan |title=Mapping India's Energy Subsidies 2021: Time for renewed support to clean energy |publisher=International Institute for Sustainable Development |date=14 July 2021 |url=https://www.iisd.org/publications/mapping-india-energy-subsidies-2021 |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{2021mapping, author = {,, Balasubramanian Viswanathan ,Anjali Viswamohanan,Prateek Aggarwal,Danwant Narayanaswamy,Anna Geddes,Theresia Betty Sumarno,Max Schmidt,Christopher Beaton,Siddharth Goel ,Arjun Dutt,Karthik Ganesan}, title = {{Mapping India's Energy Subsidies 2021: Time for renewed support to clean energy}}, institution = {International Institute for Sustainable Development}, year = {2021}, month = jul, url = {https://www.iisd.org/publications/mapping-india-energy-subsidies-2021}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }