Indian Industry Backs Renewables, EVs to Boost Energy Security: Report

Driven by escalating geopolitical tensions and volatility in global fossil fuel markets, Indian industry is encouraging the transition to renewable energy and EVs as key to national security and economic resilience.

According to a new report by the global climate think tank InfluenceMap, Indian companies, including Reliance Industries, ReNew, Tata Motors and Hero Future Energies, are progressing from treating green targets as mere environmental compliances. Instead, they are positioning domestic wind, solar, and electric mobility as critical tools to protect India’s economy from volatile energy imports.

Titled 'Reclaiming Energy Security: Indian Industry’s Case for Renewables and Electric Vehicles', it found that India's heavy reliance on imported crude oil and gas leaves its economic growth highly vulnerable to international supply chain shocks. 

The report found that there is active push from the private sector for aggressive grid expansion, enhanced energy storage mandates, and fast-tracking policies for big green projects. Domestic building in such a manner can lead to true energy independence.

Need for power

According to the report, long-term corporate viability depends on stable, affordable power. In the automotive sector, for example, leading manufacturers like Tata Motors are heavily backing the transition. The hope is that rapid EV adoption will act as a crucial economic buffer, shielding both logistics networks and consumers from unpredictable global oil spikes.

However, the report also found that while there is broad consensus on the necessity of renewables for national security, corporations still remain divided on how to achieve it and in what time frame.

Fossil fuel-dependent industries favour a dual-track strategy, the report found. Industry associations representing these traditional sectors are actively lobbying for a more measured approach. Their argument is that India must continue expanding its domestic oil, gas, and thermal coal reserves along with the green transition. This will help maintain grid stability and prevent immediate energy shortages, according to the report.

A similar divide exists within the transport sector as well, according to the report. While only EV companies want policy push toward electrification, legacy automakers are lobbying for a multi-technology pathway. Viable options include CNG and biofuels.

According to the report, the core discussion has shifted from whether India should transition to clean energy, to how fast it can do so. 

"Indian industry’s response to the energy crisis signals a positive shift in how companies view the energy transition—as essential for economic development and energy security, alongside climate change mitigation. These voices will play a key role in ensuring India can develop domestic clean energy to meet its growing energy demand as it continues to develop sustainably," said Ella Westlake, Analyst, InfluenceMap.