Analyzing the Policy Landscape for Supporting the Clean Energy Transition in Small and Medium Enterprises in India

The paper analyzes the policy landscape for clean energy transition in India's MSME sector from 2010-2020, highlighting that while government commitment exists, adoption is hindered by awareness gaps, burdensome application processes, and a shift in SME priorities toward pandemic recovery. It finds that the integration of central and state schemes is more effective than stand-alone state programs.

• The micro, small, and medium enterprise (MSME) sector is a major economic driver in India, accounting for 45 percent of manufacturing output, 40 percent of total exports, and roughly 25 percent of the industrial sector's total energy consumption.
• While governments are committed to clean energy and sustainable development, the adoption of clean energy solutions by SMEs is slowed by a lack of awareness and the perception that the processes for accessing grants and incentives are burdensome.
• The rate of clean energy adoption among SMEs has decreased as businesses prioritize job creation and expansion during pandemic recovery. This trend is compounded by a reduction in subsidies and incentives caused by COVID-19, economic downturns, market volatility, global political complexities, and rising energy costs.
• The effectiveness of clean energy support is higher when central government schemes are integrated with state initiatives; in contrast, state-specific programs operating in isolation see limited uptake.

APA

World Resources Institute (n.d.). Analyzing the Policy Landscape for Supporting the Clean Energy Transition in Small and Medium Enterprises in India. https://www.wri.org/research/analyzing-policy-landscape-supporting-clean-energy-transition-small-medium-enterprises

Chicago

World Resources Institute. Analyzing the Policy Landscape for Supporting the Clean Energy Transition in Small and Medium Enterprises in India. n.d. https://www.wri.org/research/analyzing-policy-landscape-supporting-clean-energy-transition-small-medium-enterprises.

Wikipedia

{{cite report |author=World Resources Institute |title=Analyzing the Policy Landscape for Supporting the Clean Energy Transition in Small and Medium Enterprises in India |url=https://www.wri.org/research/analyzing-policy-landscape-supporting-clean-energy-transition-small-medium-enterprises |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{worldresourcesinstitutendanalyzing, author = {{World Resources Institute}}, title = {{Analyzing the Policy Landscape for Supporting the Clean Energy Transition in Small and Medium Enterprises in India}}, institution = {World Resources Institute}, url = {https://www.wri.org/research/analyzing-policy-landscape-supporting-clean-energy-transition-small-medium-enterprises}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }