NITI Aayog Forms Body to Map India's Just Transition

On 15th October, 2024, NITI Aayog established a body to frame India’s 'just transition' strategy, aiming to shift jobs from fossil fuel industries to renewable energy, balancing employment, growth, and environmental sustainability.

Key Points

Defining Just Transition: 'Just transition' refers to moving jobs from fossil fuel sectors, like coal mining, to those in the renewable energy sector, ensuring a balance between economic growth and environmental goals.
Government Commitment: This initiative aligns with Finance Minister commitment in her Budget speech to develop a national energy transition policy that supports job creation and environmental sustainability.
Framework in Progress: NITI Aayog is working with nine groups to create a model for India's just transition, which will map out the long-term impacts of this shift on the country’s energy landscape.
India's Coal Dependency; Currently, coal powers 75% of India's electricity, with 643 thermal power units operating nationwide.
More than half of the installed capacity is in 21 districts across 11 states, and a significant portion of the thermal plants is under 20 years old, making them relatively young by global standards.
Phasing out Coal by 2050: India aims to generate 500 GW of power from non-fossil fuel sources by 2030. However, the transition from coal, including phasing out plants and rehabilitating 3,43,504 hectares of coal-mining land, will cost over a trillion dollars over the next 30 years.
Massive Workforce Shift: The shift from coal to renewable energy will impact 5.9 million workers reliant on coal-related jobs, requiring transition support to ensure their livelihoods are protected during the energy transition.