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Daily-current-affairs / 19 Dec 2025

Foundation of Sustainable Development: The Evolving Role of Energy Conservation in India

Foundation of Sustainable Development: The Evolving Role of Energy Conservation in India

Introduction:

Energy is more than electricity or fuel; it powers modern life, lighting homes, driving industries, enabling transportation, supporting digital services, hospitals, and schools. It underpins economic growth, social development, and technological advancement. As India’s economy expands, the demand for reliable and sustainable energy continues to rise, necessitating not only an expansion of supply but also responsible and efficient energy use.

      • National Energy Conservation Day, observed on 14 December, highlights India’s progress in energy efficiency and resource conservation. Spearheaded by the Bureau of Energy Efficiency (BEE), the day promotes awareness across households, industries, and institutions, encouraging the adoption of energy-saving practices and technologies. Initiatives such as UJALA LED distribution, rooftop solar schemes, Standards & Labelling, and building energy codes demonstrate India’s commitment to reducing energy consumption and carbon emissions.

Major Achievement:

As of late 2025, India achieved a significant milestone, with over 50% of its total installed generation capacity (more than 259 GW out of 505 GW) coming from non-fossil fuel sources.

1. Background and Evolution:

      • National Energy Conservation Day, also known as Rashtriya Urja Sanrakshan Diwas, has been observed annually since 1991. It was instituted to create mass awareness about reducing energy consumption and promoting efficient practices across industries, institutions, and households.
      • Following the enactment of the Energy Conservation Act, 2001, the Bureau of Energy Efficiency (BEE)—under the Ministry of Power—was mandated to spearhead national efforts in energy conservation. These include public outreach campaigns, school-level competitions, capacity-building programmes, and the National Energy Conservation Awards.
      • The observance serves as an important reminder that energy efficiency and conservation are central to ensuring affordability, reducing emissions, strengthening grid reliability, and supporting India’s broader clean energy transition in a rapidly growing economy.

2. Conceptual Distinction: Efficiency vs Conservation

      • Energy Efficiency refers to achieving the same output or service with lower energy consumption.
      • Energy Conservation focuses on avoiding waste and unnecessary energy use.
      • Together, they form a central pillar of India’s energy strategy—reducing costs, protecting the environment, and enabling sustainable economic growth.

India’s Current Energy Landscape (2025):

      • India is among the world’s top three energy consumers, with electricity demand rising steadily. Electricity generation increased from 1,739.09 billion units (BU) in 2023–24 to 1,829.69 BU in 2024–25, reflecting a growth of 5.21%. The generation target for 2025–26 has been set at 2,000.4 BU, underscoring robust demand and continued capacity expansion.
      • A major transition in India’s power mix is underway. As of 31 October 2025, total installed generation capacity stood at 505 GW, with over 259 GW from non-fossil fuel sources such as solar, wind, hydro, and nuclear. This milestone underscores India’s shift toward a cleaner and more sustainable energy future.

India’s renewable energy deployment also places it among global leaders:
• 3rd in solar energy capacity,
• 4th in wind energy capacity, and
• 4th globally in total installed renewable energy capacity (2025), according to IRENA statistics.

Major Energy Conservation Initiatives:

The Ministry of Power and the Bureau of Energy Efficiency (BEE) have launched several programmes to reduce energy wastage and promote efficient practices across sectors.

1. Industrial Energy Efficiency:

      • The Carbon Credit Trading Scheme (CCTS) is India’s market-based framework for industrial decarbonisation. Emission-intensive sectors are assigned targets and can earn tradable carbon credit certificates for exceeding them. In December 2025, major sectors—including aluminium, cement, petrochemicals, refineries, pulp and paper, textiles, and chlor-alkali were transitioned from the earlier Perform, Achieve and Trade (PAT) mechanism to the CCTS.
      • The PAT Scheme laid the foundation for large-scale efficiency improvements by setting mandatory energy reduction targets and issuing Energy Saving Certificates (ESCerts) for trading.

2. Household and Consumer-Level Efficiency:

      • The Standards & Labelling (S&L) Programme, covering 28 appliance categories (17 mandatory), empowers consumers through star-rating labels and incentivises manufacturers to innovate.
      • The UJALA LED Programme (Unnat Jyoti by Affordable LEDs for All), launched in January 2015, has distributed 36.87 crore LED bulbs, resulting in significant energy savings, reduced peak demand, and lower CO₂ emissions.
      • The Pradhan Mantri Surya Ghar Muft Bijli Yojana (2024), with an outlay of ₹75,021 crore, aims to equip one crore households with rooftop solar systems, providing up to 300 free units of electricity per month. By December 2025, over 23.9 lakh homes had installed rooftop solar systems. Notably, over 7.7 lakh households are already receiving zero electricity bills, demonstrating the success of decentralised clean energy adoption.
      • The Revamped Distribution Sector Scheme (RDSS) has enabled the installation of 4.76 crore smart meters, enhancing grid efficiency and operational performance.

3. Building and Construction Sector:

      • The Energy Conservation Building Code (ECBC) and the Energy Conservation and Sustainable Building Code (ECSBC) set minimum energy efficiency standards for commercial buildings.
      • Eco Niwas Samhita (ENS) focuses on improving energy efficiency in residential buildings through standards related to design, insulation, and ventilation.

4. Digital and Institutional Frameworks:

      • Tools such as the Urja Dakshata Information Tool (UDIT) provide nationwide insights into energy consumption patterns and programme performance.
      • The National Mission on Enhanced Energy Efficiency (NMEEE) provides a policy framework encompassing PAT, Market Transformation for Energy Efficiency (MTEE), Energy Efficiency Financing Platform (EEFP), and Framework for Energy Efficient Economic Development (FEEED).
      • Behavioural initiatives under Mission LiFE (Lifestyle for Environment) strengthen citizen participation in mindful and sustainable energy use.

India’s Global Leadership:

India’s domestic efforts have gained significant international recognition:

      • India is a member of the International Energy Efficiency Hub, a global platform promoting collaboration on energy-efficient technologies and practices.
      • Through frameworks such as the UNFCCC, India has articulated an energy transition pathway that balances economic growth with climate responsibility, committing to net-zero emissions by 2070 and ambitious 2030 NDC targets, including reduced emissions intensity of GDP and a higher share of non-fossil energy.
      • Initiatives such as the International Solar Alliance (ISA) and the Global Biofuels Alliance (GBA) highlight India’s leadership in advancing global clean energy cooperation.

Way Forward:

    • For India, energy conservation is no longer merely an optional policy choice, but an essential pillar of its long-term development strategy. Given the increasing energy demand, pressure of climate change and import dependence, there is a need to implement the idea of considering energy efficiency as the first fuel in the coming years.
    • First, at the policy level, energy conservation needs to be implemented in an integrated manner, not just limited to the power sector but also to transport, urban planning, agriculture, digital infrastructure and the MSME sector. The Carbon Credit Trading Scheme (CCTS) should be made transparent, reliable, and aligned with global standards to encourage private investment and green innovation.
    • Second, technology and innovation require rapid adoption of smart grids, AI-based energy management, energy storage, green hydrogen, and energy-efficient building design. India can be made a global hub for energy efficiency technologies by encouraging research and development (R&D) and domestic manufacturing.
    • Thirdly, citizen participation will play a crucial role. Mission LiFE must be advanced as a mass movement to bring about changes in consumption behavior, lifestyles, and daily energy use. Strengthening energy literacy through schools, universities, and local bodies is key to long-term cultural transformation.
    • Finally, institutional coordination and data-driven decision-making will determine future success. Better collaboration between states and the central government, real-time data platforms, and results-based monitoring mechanisms will make energy conservation efforts more effective.

Conclusion:

Energy conservation is not merely a technical objective but a civic responsibility and developmental imperative. As India observes National Energy Conservation Day, the message is clear; Every unit of energy saved contributes to national progress, environmental protection, and economic resilience. Governments, industries, and citizens must work together to cultivate an efficiency-driven culture, strengthening India’s energy security and sustainability as the country advances toward its 2030 climate commitments and the vision of a Viksit Bharat.

 

UPSC/PCS Mains Question:

Energy conservation is considered a foundation of sustainable development in India. In light of this statement, analyze the evolving role of energy conservation in India.