Mapping India’s Energy Subsidies 2021

The document details updates to six specific energy subsidies in India, covering electric buses, energy conservation, regional fuel support, natural gas infrastructure, and hydrocarbon research. It provides financial data from FY 2014 to FY 2020, highlighting a significant increase in the cost of concessional GST for electric buses and substantial spending on the Phulpur Dhamra Haldia Pipeline Project and the National Seismic Programme.

• The concessional GST on electric buses, aimed at reducing market costs, saw a sharp increase in conferred subsidy amounts from 0.6 INR crore in FY 2014 to 127.9 INR crore in FY 2020. Electric vehicles are subject to a 12% GST rate, whereas fossil fuel vehicles are taxed at 28%.
• The Phulpur Dhamra Haldia Pipeline Project, which involves building a 2,539 km natural gas pipeline to connect Uttar Pradesh, Bihar, Jharkhand, Odisha, and West Bengal to the National Gas Grid, received 1,552 INR crore (219 USD million) in subsidies in FY 2020.
• The National Seismic Programme (NSP), launched in 2016 to improve the understanding of India's hydrocarbon potential and domestic exploration (specifically in the Mahanadi basin), received 530 INR crore (75 USD million) in FY 2020.
• The Central government provides additional support to the northeastern region through regulated fuel prices to promote industrial development, with the subsidy amount in FY 2020 recorded at 643 INR crore (91 USD million).
• Under the Energy Conservation Act 2001, the Bureau of Energy Efficiency (BEE) and the Ministry of Power implement schemes for energy efficiency in household lighting, commercial buildings, appliance labelling, and demand-side management in municipalities and agriculture, with FY 2020 spending reaching 96 INR crore (14 USD million).

APA

International Institute for Sustainable Development (2021). Mapping India’s Energy Subsidies 2021. https://www.iisd.org/system/files/2021-07/mapping-india-energy-subsidies-2021-annex.pdf

Chicago

International Institute for Sustainable Development. Mapping India’s Energy Subsidies 2021. 2021. https://www.iisd.org/system/files/2021-07/mapping-india-energy-subsidies-2021-annex.pdf.

Wikipedia

{{cite report |author=International Institute for Sustainable Development |title=Mapping India’s Energy Subsidies 2021 |date=2021 |url=https://www.iisd.org/system/files/2021-07/mapping-india-energy-subsidies-2021-annex.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{internationalinstituteforsustainabledevelopment2021mapping, author = {{International Institute for Sustainable Development}}, title = {{Mapping India’s Energy Subsidies 2021}}, institution = {International Institute for Sustainable Development}, year = {2021}, url = {https://www.iisd.org/system/files/2021-07/mapping-india-energy-subsidies-2021-annex.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }