India needs $385 billion for 500 GW renewable target, Moody's

India is set to invest up to L$385 billion to achieve its ambitious target of 500 gigawatts (GW) of renewable energy by 2030, according to a report by Moody's Ratings released on Thursday.

Despite this push for renewable energy, coal will continue to be a key source of electricity generation for the next decade.

As a major greenhouse gas emitter, India has committed to increasing its non-fossil fuel capacity by 50 GW each year to meet its 500 GW target. However, it fell short of its earlier goal of 175 GW by 2022. Moody's estimates that an annual capacity addition of around 44 GW will be necessary to achieve the 2030 target.

To meet these renewable energy goals, India will need to spend between $190 billion to $215 billion on capacity over the next six to seven years. Additionally, an investment of $150 billion to $170 billion will be required for transmission and distribution infrastructure, according to the credit ratings agency.