Solar power is set for explosive growth in India, matching coal’s share in the Indian power generation mix within two decades in the STEPS – or even sooner in the Sustainable Development Scenario. India’s size and dynamism will keep it at the heart of the global energy system In the STEPS, as India develops and modernises, its rate of energy demand growth is three times the global average. The resulting surge in demand for a range of construction materials, notably steel and cement, highlights the pivot in global manufacturing towards India. This leads to rapid growth in the building stock and other infrastructure. But even at a relatively modest assumed urbanisation rate, India’s sheer size means that 270 million people are still set to be added to India’s urban population over the next two decades. India’s economic growth has historically been driven mainly by the services sector rather than the more energy-intensive industrial sector, and the rate at which India has urbanised has also been slower than in other comparable countries. India has a wide range of possible energy futures before itĪn expanding economy, population, urbanisation and industrialisation mean that India sees the largest increase in energy demand of any country, across all of our scenarios to 2040.
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