Category: Blog

Without urgent reskilling, the energy transition risks leaving local workers behind

Walk into any ITI classroom in Angul or Jharsuguda and you will see young men and women training for an economy that no longer exists. Many still aspire to permanent jobs in government departments, thermal plants or large factories. Those jobs are quietly shrinking. The new ones are emerging elsewhere—in solar parks, battery plants, EV workshops, waste-processing units and green hydrogen hubs.

This is the silent churn in Odisha’s labour market. The state is already attracting large investments in renewable energy, electric mobility, green manufacturing and the circular economy. These projects will create thousands of jobs in the coming years. The real question is simple: will these jobs go to local youth?

To answer that, we must be clear about what green jobs actually mean for Odisha. These are not just office jobs in climate organisations. They include the technician installing solar plants, the fitter maintaining energy-efficient machinery, the mechanic repairing EVs, the worker handling batteries safely, and the small entrepreneur running a waste-reuse unit. These are frontline livelihoods—jobs that reduce pollution, save resources and build resilience, while anchoring local economies.

Our recent study shows that Odisha’s near-term green job pipeline is already sizeable. Between 2023 and 2025, ongoing and planned green projects are expected to generate close to one lakh jobs across manufacturing, construction, installation, operations and related services. Renewable energy alone, backed by the state’s solar targets, can create tens of thousands of stable jobs—if local workers are ready.

Looking ahead, green sectors can generate up to 10 lakh jobs by 2030 across 28 value chains, from renewable power and storage to green hydrogen, EVs, batteries, bioenergy and circular economy activities. With a solar target of 7.5 GW by 2030, this is not a marginal shift. It is a structural transformation of Odisha’s economy.

At the same time, the state remains anchored in coal, metals and other carbon-intensive industries. Lakhs of families depend on coal mining, thermal power and allied sectors. As cleaner energy expands, automation deepens and environmental pressures grow, many workers will face uncertainty. Districts such as Talcher, Ib Valley, Jharsuguda, Angul and Sundargarh sit at the edge of two futures: one of planned reskilling and new industries, and another of slow job loss, migration and economic decline.

This is the double challenge Odisha faces—protecting workers and communities tied to the fossil-fuel economy, while preparing its youth for emerging green and low-carbon jobs. This is what a just transition really means.

Odisha does have a wide skilling network: government and private ITIs, polytechnics and hundreds of training centres. Schemes like Sudakshya have increased women’s participation in technical education, and placement-linked programmes have improved outcomes in some trades. But green skilling remains peripheral.

Our survey of 571 students, 30 institutions, 33 employers and 110 workers in the solar and EV sectors reveals a worrying gap. Only 7% of students are enrolled in dedicated green courses. Nearly half are unaware such courses exist. Employers consistently report that recruits lack hands-on exposure, safety training and familiarity with modern tools.

The timing of this gap is particularly dangerous. Between 2023 and 2025 alone, Odisha’s green investment pipeline is expected to generate nearly 98,000 new jobs. Yet under PMKVY 4.0, only 1,778 candidates were trained in green roles across seven districts in 2024–25. This is not a small mismatch. It is a structural breakdown between jobs and skills.

In simple terms, the jobs are arriving faster than workers are being prepared.

Other weaknesses compound the problem. Trainers often lack exposure to new technologies. Labs and workshops are outdated. Coordination across departments—industry, energy, MSMEs, labour and education—is weak. Women’s participation is rising overall, but remains low in fast-growing green sectors such as renewable energy, EVs and green manufacturing.

The consequences are visible. When green industries cannot find job-ready local workers, they hire from outside. Local youth migrate for low-paid work. Industrial districts attract investment but not employment. Growth happens, but it passes people by.

Then there is the invisible workforce—transport workers, loaders, service mechanics, MSME suppliers and informal technicians who support every solar park or EV plant. Most lack certification, social security or access to retraining. If they fall out of the old economy without a bridge into the new one, Odisha will not see a green transition. It will face a social shock.

So what must Odisha do—now and at scale?

First, every large green project must be legally linked to local training. Developers should partner with nearby ITIs, co-train workers before commissioning, and certify skills jointly with the state.

Second, the state must urgently build a supervisory and safety workforce. Short, targeted upskilling can convert existing electricians and mechanics into higher-responsibility roles.

Third, wage insecurity must be addressed. Temporary wage-linked skilling incentives tied to certified green jobs can stabilise the workforce pipeline.

Fourth, awareness must start early. Statewide green career-orientation drives across schools, ITIs and polytechnics can reshape aspirations.

Finally, Odisha needs a live Green Jobs–Skills Dashboard to track investments, training and placements in real time.

Odisha stands at a decisive moment. Green capital is arriving. If the state moves with speed and intent, this transition can deliver local jobs, revived coal districts and dignified work close to home.

If it hesitates, the factories will still come.
Only the workers will not.

The choice is ours.

(Suhail Mir is Programme Lead – Clean Energy at iFOREST)

India’s energy economy is undergoing a transformative shift, balancing its coal-heavy legacy with a growing push toward  renewables. The country’s energy transition reflects both ambition and complexity. In Dhanbad, the “Coal Capital of India,”  mines still fuel industries and livelihoods, even as their environmental costs mount. Nearby, the Damodar Valley  alongside Bokaro, Ramgarh, and Hazaribagh stands as a symbol of early industrial energy development, now evolving to embrace cleaner, sustainable pathways for India’s future growth.

The district contributes over a quarter of Jharkhand’s coal capacity, or 69.5 million tonnes per year. In 2023–24, its 48 operational mines produced 41 million tonnes, almost all from opencast pits. But this dominance is nearing its end. By 2030, two-thirds of mines will shut. Within 25 years, every single mine will face exhaustion or unprofitability. Already, 39 stand abandoned and 10 are closed. Without planning, Dhanbad could soon be left with a landscape of derelict mines and shattered livelihoods.

The stakes are immense. Industry, including mining, manufacturing, electricity and gas, makes up 59 percent of Dhanbad’s economy. A coal-fired power plant, washeries, coke ovens, and countless transport and informal coal activities depend on this resource. Nearly 1.4 lakh workers rely directly on the ecosystem, most informally employed and vulnerable. When half the mines close in just five years, tens of thousands of families risk sudden income loss.

Coal revenues, which currently fund development, are also at risk. Dhanbad has built up ₹3,851 crore in District Mineral Foundation (DMF) funds, used for water supply, healthcare, and education. But as mining declines, inflows will shrink, leaving communities exposed to both economic and social shocks.

Yet within this looming crisis lies opportunity. As mines shut, land will be freed up for redevelopment. Over 27,000 hectares of barren land and at least 6,000 hectares of mining land will become available in the next five years, rising to nearly 10,000 hectares by 2050. Repurposed, these lands can host renewable energy parks, green industries, and agro-forestry enterprises that generate sustainable jobs.

The potential is striking. The Dhanbad Bokaro Ramgarh (DBR) region holds 13.5 GW of solar potential, three times Jharkhand’s 2027 target. This includes ground-mounted, rooftop, and floating solar, with coal belts such as Jharia, Nirsa, Mandu and Chas particularly suited for repurposing. Large reservoirs such as Tenughat, Maithon, and Panchet can support floating solar as well as green hydrogen projects. Combined with existing steel and chemical industries, the DBR belt could pioneer low-carbon steel, green fertilizers, and clean fuels, positioning Jharkhand at the forefront of India’s green industrial revolution.

But transition is not only about industry. It is fundamentally about people. Dhanbad’s workforce is ageing, contractualisation is rising, and 70 percent of workers are informal. Reskilling and social protection must be urgent priorities. Institutions like IIT-ISM and local ITIs can lead training and apprenticeship programs, supported by CSR and private industry. Social infrastructure must also improve. Today, 72 percent of households still cook with coal, burning 40 to 50 kilograms a month. This exposes women and children to serious respiratory diseases. Expanding LPG, PNG, biogas, and electric cooking will transform both health outcomes and gender equity.

A just transition will also require new thinking on institutions and governance. Fragmented efforts will not suffice. Dhanbad’s future is linked to its neighbours. Together, Dhanbad, Bokaro, and Ramgarh hold over 80,000 hectares of barren land and 16,000 hectares of mine land that will be freed up over the next 25 years. With strong connectivity via highways, railways, and upcoming expressways, the DBR belt is well placed to emerge as Jharkhand’s green industrial corridor.

To make this possible, Jharkhand needs a bold state-led approach: a Just Transition Policy to guide economic diversification, skilling, and land repurposing; an integrated DBR Green Growth Plan; and a strong governance mechanism, such as a regional Damodar Valley Transition Authority to coordinate projects across districts. DMF rules should also be revised to allow greater investment in transition priorities such as reskilling, renewable energy, and clean cooking.

The lessons from Dhanbad will resonate far beyond Jharkhand. As India marches toward its net-zero target by 2070, renewable energy will dominate the power mix. But the social and economic costs of phasing down coal must be carefully managed. Dhanbad was built on coal. It can now help build India’s clean energy future if action is swift, inclusive, and forward-looking.

The window is narrow, but the rewards are generational: a stronger economy, cleaner air, healthier communities, and a blueprint for just transition in every coal region of India.

Devrupa Paul is a Programme Lead – Just Transition and Climate at iFOREST.

 

On a sweltering afternoon in a dense neighbourhood, a family sits huddled under the monotonous whirl of a worn-out ceiling fan, its blades failing to push away the stifling heat. Just a few blocks away, in a gated community, cool air flows steadily and quietly from highly efficient air-conditioners, keeping the heat firmly outside. 

This is the story of cooling in India. This picture with stark contrast, reflects who gets access to innovation — and who gets left behind. Wealth and awareness allow some to build homes that blend aesthetics with thermal efficiency. They can afford designers who know how to angle windows for cross-ventilation, choose insulation wisely, and layer materials to reflect heat while using energy efficiently. On the other hand, dense informal settlements continue to struggle under corrugated tin or asbestos roofs that trap heat, with roof surfaces often touching 60°C and indoor temperatures going upto 45°C during summer afternoons. Such homes with little insulation and poor ventilation can become unbearable heat traps in Indian cities. 

The rising urban heat in Indian cities is no longer surprising. Summers extend longer, monsoons bring thick humidity, and nights remain stubbornly warm. Yet, millions still lack real solutions. Less than 10% of Indian households own air conditioners, leaving over one billion people susceptible to increasingly frequent and intense heatwaves. They rely on patchwork coping mechanisms like fans and air coolers. In contrast, those with means enjoy homes designed around comfort and efficiency as a standard. 

Thermal efficiency of our built environment 

Currently, building regulations like the Energy Conservation & Sustainable Building Code (ECSBC) and the guidelines under Eco-Niwas Samhita (ENS) exclude most small-plot or informal housing simply because they technically fall below the compliance threshold, compounding the challenge faced by tenants of small homes and packed settlements. Instead, they’re offered band-aid solutions like periodic applications of reflective roof paint with a mere four-year lifespan, or the promise of midday cooling shelters they might only access during extreme days and only if the shelter is within proximity or along their route. These aren’t safety nets; they are reminders of how little priority is placed on ‘thermal comfort for all’. 

Architects and engineers trained in building energy performance also tend to serve the affluent segments. There is little mainstream advocacy or financial incentive for integrating passive cooling into affordable housing projects. Homes in poorer neighborhoods often suffer from their heat retention characteristics, like dark, flat roofs that bake all afternoon, narrow roads trapping hot air, and dense layouts that cut out breeze entirely. 

ECSBC and ENS, though progressive on paper, struggle with enforcement. Municipal authorities lack the technical capacity or political will to ensure compliance, especially in government-sponsored affordable housing units. As a result, thermal efficiency remains aspirational and not systemic. The real victims are the economically weaker sections, amid rising temperatures. 

Temporary solutions not only underscore this imbalance but also highlight the poor aspirations we have set to achieve thermal equity. Providing low-income communities with a coat of reflective paint on their roofs or a few hours of air-conditioning in a city-run cooling shelter might give them some respite. However, these gestures alone don’t solve long-term problems. 

There is a need to expand aspirations and integrate thermal comfort and passive cooling into affordable housing projects. Achieving thermal equity requires widening the scope of building codes like ECSBC and ENS to include smaller plots.  

Notably, the ENS acknowledges that states and local bodies must adapt compliance criteria to local conditions, whether it is based on a minimum connected load or plot area. We require clear, contextual, achievable standards that elevate thermal comfort for all, and not just for large-scale or high-income developments. In 2024, the minimum plot area threshold for ENS compliance was raised from 500 m2 to 3,000 m2, pushing a growing number of housing developments outside the regulatory bracket. 

What needs attention on the policy front? 

• States and local bodies must set compliance criteria suited to local growth patterns. They should assess real estate trends before fixing thresholds for connected load or plot area, ensuring that most buildings fall under the regulatory ambit.  

• As per iFOREST’s  IHCAP report, an analysis of Bhubaneswar city’s building approval data of 2023, none of the newly approved residential projects were qualified for compliance under the ENS 2024 criterion of 3000> the ENS 2024 criterion of ≥ 3,000 m². When the ≥ 500 m² threshold was applied, only 1.4% of the city’s new housing stock qualified for compliance, leaving out almost all 

• For informal settlements, new and achievable standards must be developed, focusing on passive cooling strategies and minimum thermal comfort benchmarks. These should be simple, incremental, and adaptable to local building practices. 

• Building thermal performance shall be mandated for government housing programmes like the Pradhan Mantri Awas Yojana (PMAY), where the focus has largely been on unit delivery and cost efficiency. Integrating retrofit programmes, subsidised passive upgrades, and technical assistance into such schemes would ensure that thermal comfort becomes a core consideration in affordable housing and slum redevelopment.  

• Importantly, the PMAY framework already embodies one of the building blocks needed – the Technology Innovation Grant (TIG). Currently designed to support new construction technologies, TIG must also extend explicitly to innovations that improve the thermal efficiency of buildings for low-income groups. 

Energy efficiency of our space cooling systems

While energy-efficient cooling appliances have begun entering the market, their benefits tend to trickle upward. High-efficiency fans, inverter split ACs, and variable refrigerant flow (VRF) systems remain financially inaccessible for most. On the policy end, the story isn’t better. The BEE (Bureau of Energy Efficiency) star-rating program supports efficient appliances; however, many can’t afford the premium. 

Financially, parity demands that efficient technology be affordable. Municipalities and state agencies can enable bulk procurement through agencies like EESL or facilitate access to energy-efficient appliances via collective procurement and financing schemes. Low-interest loans tied to energy savings or pay-as-you-save models can further improve affordability, making efficient cooling accessible even to those living on the margins. If efficiency is only meant for those who can afford better, it becomes a luxury. 

The government can also play a catalytic role in promoting centralised cooling systems. It can identify high-density zones suitable for district cooling, integrate such systems into city master plans, and streamline approvals for pilot projects. Policy support—such as viability gap funding, concessional power tariffs, and public-private partnerships—can help attract private investment. Developing model contracts and technical guidelines at the national level would further reduce risks and enable cities to adopt centralised cooling with confidence. 

It is crucial to prioritise thermally efficient buildings before focusing on energy-efficient appliances. Reducing the demand for cooling by enhancing thermal comfort in homes and offices will make the subsequent use of energy-efficient appliances more effective and manageable. Although this approach may be more challenging initially, it addresses the root cause by lowering space cooling requirements, leading to a sustainable and impactful reform in energy usage. 

Cooling framework that builds in equity  

In September, iFOREST released India’s first city-level Integrated Heat and Cooling Action Plan (IHCAP) tailored for Bhubaneswar to address rising heat stress and cooling demand in an integrated manner. 

Developed in collaboration with the Singapore-ETH Centre (SEC), the IHCAP provides a comprehensive roadmap to tackle the growing challenge of increasing temperatures and humidity, the Urban Heat Island (UHI) effect, and rapidly rising demand for cooling.  

It offers five pillars that hold equity at the heart of it: 

• Cool the City: Expand urban greening in all wards to meet WHO’s benchmark of 9 m² per person; implement citywide cool roof programmes; restore water bodies; promote green roads, pavements, and undertake traffic decongestion. 

• Cool Buildings: Revise and implement Odisha Energy Conservation Building Codes for all commercial and institutional buildings over 500 m²; adopt Eco-Niwas Samhita 2024 for residential plots above 225 m². 

• Sustainable Cooling for All: Roll out white roof programmes in slums; provide incentives for super-efficient fans and 5-star ACs; pilot district cooling systems in commercial and institutional zones. 

• Enhance Heat Resilience: Strengthen electricity, water, and health infrastructure; establish cooling shelters and shaded, ventilated bus stops. 

• Adapt to Heat: Revise heat thresholds to include humidity and night-time conditions; introduce spatial heat-risk mapping; pilot parametric insurance for vulnerable workers. 

 

Conclusion 

Recognising cooling as an essential service is urgent. In a warming world, thermal comfort is no longer optional. It intersects with health, education, and productivity. Children studying in overheated homes, patients recovering in stifling wards, and workers struggling through humid shifts are all casualties of heat that could have been mitigated by design, policy, and care. 

Imagine a future where every corner of our city, regardless of postal code, has homes that breathe, that reflect, that stay cool without guzzling energy. Thermal comfort must not be a reward of wealth but the foundation of our built environment. This isn’t idealism, it’s equity.

Technology does not trickle down by chance. It must trickle down by choice. And it must be the collective choice of policymakers, planners, markets, and citizens to decide whether access to cooling and thermal comfort is a marker of progress or a yardstick of privilege.

Shree Nidhi Gowthaman is a Senior Research Associate at iFOREST.

The trucking industry is the backbone of India’s economy, transporting over 70% of the country’s freight. But as India pushes toward cleaner mobility, the sector is at a turning point. While electric two-wheelers, three-wheelers, passenger cars, and light commercial vehicles are making inroads, electrifying medium and heavy-duty vehicles (MHDVs) presents a different challenge. These trucks cover long distances, carry heavy loads, and require a well-developed charging and servicing ecosystem—infrastructure that is still in its early stages.

Beyond infrastructure and technology, another critical question looms: How will the shift to electric freight vehicles (EFVs) impact the workforce? A transition of this scale doesn’t just affect vehicles; it affects people—drivers, mechanics, fleet operators, and thousands of workers in manufacturing and logistics. 

To gain deeper insight into the workforce impact, iFOREST conducted research with over 400 stakeholders across India, including truck drivers, fleet operators, repair and maintenance workers, automotive component manufacturers (ACMs), and electric truck OEMs. Our work in the medium and heavy-duty freight segment extends our ongoing efforts toward a Just Transition in the automobile sector. Here, we highlight key challenges in ensuring that workers—especially those in informal roles—are not left behind in the shift to greener technology. 

The freight industry in India remains highly informal across its entire value chain. Our analysis indicates that in the manufacturing sector, 30% of smaller and medium-sized ACMs, which constitute the majority of enterprises, will need to adapt to changing demand as engine assemblies, transmissions, exhaust systems, and radiator systems become less relevant. Additionally, the survey reveals that informal repair and maintenance technicians, who rely on generational knowledge, have a significant opportunity to transition into high-value EV servicing roles, provided they receive adequate skilling support. Similarly, in the end-of-life stage, battery recycling and sustainable disposal practices will open new avenues of employment for scrapping and recycling workers. 

Ensuring a just and inclusive transition is essential to protect thousands of workers from getting impacted. A Just Transition is not just about moving to cleaner technology but about ensuring that workers dependent on traditional industries are not abandoned in the process.  

The skilling gap: Who gets left behind? 

This transition will erase some jobs (engine and transmission technicians), transform others through reskilling, and create entirely new roles (EV charging operators and high-voltage specialists). But with the sector’s deep informality, the question remains: Who will take responsibility for reskilling a workforce that doesn’t even exist on formal records? Without intervention, thousands risk losing their livelihoods simply due to a lack of relevant skills. 

Our study shows that the traditional ICE medium and heavy-duty vehicle (MHDV) sector currently supports around 529 distinct job roles across manufacturing, service and repair, dealership, transport logistics and warehouse management, and end-of-life management. As diesel trucks are phased out, 64 roles will evolve or merge into new positions, and 93 will require structured reskilling. For instance, diesel mechanics can become EV powertrain specialists, and fuel station attendants can transition into charging station operators. The transition won’t just replace jobs; it will also create 71 entirely new roles, from battery recycling specialists to high-voltage system technicians—expanding the total job pool to 536. The biggest shake-up will hit manufacturing, where engine assembly jobs disappear in favor of EV powertrain and battery integration. Repair and logistics workers must adapt to software-driven diagnostics and digital fleet management, while end-of-life management will demand expertise in battery recycling and hazardous waste handling. 

The problem isn’t just that old jobs are disappearing—it’s that new jobs require a higher skill level. 

A closer examination of the National Skills Qualification Framework (NSQF) levels shows that emerging job roles require higher NSQF levels, whereas many obsolete jobs fall within lower NSQF levels. Workers who relied on hands-on experience now need formal education and certifications—resources they often lack.  Another major roadblock is that most skilling programs require basic education, excluding many informal workers despite their industry expertise. They cannot enroll in training courses that would help them move into new jobs. Without targeted interventions, these workers risk being left behind, widening inequalities in the evolving job market. 

Leaving no one behind

During my research, a Noida-based truck driver working for IX Energy Pvt Ltd., a technology company building electric transport solutions, said, “I drove a diesel truck for 10 years, trained by my ustaad. When my boss bought an electric truck, I had no choice but to learn. After just a week of in-house training, I was driving comfortably. Since my job now requires advanced operations like digital literacy diagnosing issues is easier than before. My pay went up from ₹ 20,000 to ₹ 32,000 plus benefits”.  

Skilling is not just about preserving jobs—it’s key to ensuring electrification meets its sustainability goals. Meenu Sarawgi, Executive Vice President & Chief at ASDC, pointed out, “Even for diesel trucks, skilling courses are almost non-existent—people assume learning on the job is enough. Poor training harms vehicle efficiency. As electrification brings new opportunities, we must do it right from the start. Training workers in EV technology is the only way to achieve the efficiency these vehicles promise.” 

A Just Transition is not a choice; it is a necessity. If structured skilling programs are not implemented, the very people who have kept India’s freight sector running for decades risk being left behind. The responsibility lies with OEMs, policymakers, and industry leaders to ensure this transition prioritizes people, not just technology. If done right, electrification can open new doors while protecting livelihoods—but without action, it could deepen inequalities rather than bridge them. 

The road ahead is electric, but it must also be just. 

This study was undertaken in collaboration with C40 Cities and The Climate Pledge as part of the Laneshift programme. 

 

Samreen Dhingra is a senior research associate at iFOREST 

 

As climate change accelerates, cities across India are getting hotter and becoming more vulnerable to extreme heat waves. Staying cool isn’t just about comfort anymore — it’s becoming essential for our health, food systems, and economic activity. Right now, most of our cooling needs are met through active technologies like air conditioners. But this growing reliance comes at a cost. It’s fueling a vicious cycle: more cooling means more energy use and emissions, which drive climate change. And that, in turn, increases our need for cooling even more.

Data from International Renewable Energy Agency (IRENA) shows that heating and cooling account for nearly half of the global final energy consumption. It is the largest source of energy end use, ahead of electricity (20%) and transport (30%) and is responsible for more than 40% of global energy-related carbon dioxide emissions.

Our cities are heating up – not only due to climate change, but also because urban areas experience additional heat from the Urban Heat Island (UHI) effect. As a result, cities become significantly warmer than the nearby rural areas, sometimes by as much as 5°C, especially in certain climate zones. Why? As cities grow and urbanise rapidly, green spaces shrink, concrete and asphalt dominate, and heat from cars, factories, and air conditioners builds up. High-density buildings, restricted wind circulation, changing land use, and urban sprawl, all add to the problem. Together, these factors trap heat, make cities hotter, more uncomfortable, and increasingly vulnerable during heat waves.

It is clear that heating and cooling are deeply interconnected and must be addressed collectively.

Gaps in current policies

At the national level, India has made significant strides in developing heating and cooling policy frameworks. The India Cooling Action Plan (ICAP), for example, outlines sector-specific strategies for space cooling, cold chains, refrigerants, air conditioning in transport, and more. Institutions such as Bureau of Energy Efficiency (BEE) and the National Center for Cold-chain Development (NCCD) rate buildings and appliances for sustainability and  energy efficiency. There is also the national guideline for Heat Action Plans (HAP) by the National Disaster Management Authority (NDMA) that guides the state, district and city planning on heat adaptation efforts.

A Heat Action Plan (HAP) devises strategies to adapt to the adverse effects of extreme heat. It incorporates early warning systems, preparedness efforts, and responsive actions to reduce the incidence of heat-related illnesses and fatalities. However, HAPs focus solely on short-term adaptation measures, with minimal emphasis on mitigation. They do not consider cooling interventions.

While the Climate Change Action Plan and the Energy Efficiency Action Plan address cooling by reducing GHG emissions and energy intensity, at the state and city levels, there are actually very few policies that directly address the cooling needs.

An approach to addressing cooling at the state and city level is observed in the form of cool roof policies, where several states have established specific targets to improve thermal comfort. Telangana, for instance, has a target of covering 300 sq km of area with cool roofs by 2029.

The result is a fragmented policy landscape, leading to missed opportunities, overlapping mandates, and critical gaps in coverage. Without a unified approach, cities struggle to implement effective and scalable solutions to address heating and cooling challenges. Further, many of the existing action plans lack any specificity regarding execution and fixing responsibilities.

As a result, implementation remains a significant weakness — targets are set without a road map, responsible agencies, or resource planning. Moreover, there is no city-level framework that comprehensively links space cooling, building codes, urban planning, and citizen health & well-being.

Why Cities Must Lead

Although national and state governments establish the overarching vision and policy framework, it is at the municipal level where the implementation takes place. Urban areas not only bear the brunt of climate impacts, but also serve as the primary arenas for planning, infrastructure development, and decisions that determine daily energy use.

Urban local bodies can regulate building design, promote cool roofs, retrofit infrastructure, and implement early warning systems for heat waves. They are also best placed to coordinate across sectors such as urban planning, housing, public health, water, and energy, all of which intersect in the heating-cooling nexus.

Cities are uniquely positioned to design and implement context-specific solutions. And we have observed this with the implementation of the current HAPs, as various cities in India are adopting innovative solutions as a part of their HAPs to support vulnerable groups affected by extreme heat.

For instance, the Ahmedabad Municipal Transport Service (AMTS), along with MHT, have launched India’s inaugural ‘Cool Bus Stop’, featuring a High-Pressure Mist System designed to alleviate rising temperatures and enhance commuter comfort. The Chennai Municipal Corporation is establishing air-conditioned rest areas for gig workers, one of the most vulnerable groups, who lack sufficient space for rest and safety amid the intensifying summer heat.

Despite concerns regarding the current framework of HAP, it is undeniable that the implementation of HAPs at the urban level has yielded positive results. However, without an integrated and actionable framework, cities lack the direction and resources to implement heating and cooling solutions effectively. The Integrated Heating and Cooling Action Plan (IHCAP), can develop on the shortcomings of the HAPs and act as the missing link in India’s climate response at the city level.

An Integrated Approach to Heating and Cooling

An IHCAP brings together all aspects of thermal comfort into one unified plan tailored to local conditions. By aligning adaptation and mitigation goals, defining clear roles, and laying out implementable strategies, IHCAPs help cities move from intention to action.

The International Energy Agency (IEA)’s 2018 report ‘The Future of Cooling’ shows that cooling appliances account for about a fifth of the total electricity in buildings around the world, or 10% of all global electricity consumption. In a nutshell, cooling is the strongest driver of growth in electricity demand from buildings. Just three countries – India, China, Indonesia – contribute to half of it.

By integrating cooling and heating initiatives, cities can lower emissions from the cooling sector. Increasing blue-green infrastructure and prioritising energy-efficient and sustainable buildings will help lessen the demand for active cooling. Additionally, adopting innovative and efficient cooling systems such as district cooling, water-based chillers, not-in-kind technology, and high-star-rated ACS will further reduce energy demand intensity.

For instance, implementing a district cooling system offers numerous benefits. By integrating the cooling needs of multiple buildings, it lowers the capacity required for the cooling plant, enhances plant efficiency, and utilises natural refrigerants. This approach typically leads to a 25% reduction in annual energy demand, 40-80% decrease in peak power demand, and a 30-35% cut in greenhouse gas emissions.

With cities on the front lines of climate change, empowering them with a robust, integrated framework isn’t just smart policy — it’s a necessity for sustainable urban futures.

Rohit Bagai is a Senior Research Associate and Nidhi Bali is Director – Urban Transition at iFOREST

 

India is beefing up 500GW of non-fossil fuel capacity by 2030. But lopsided regional development of the clean energy sector could lead to grid congestion and opportunities going in the hands of too few.

In 2022, at the 26^th Conference of Parties (COP26) to the United Nations Framework Convention on Climate Change (UNFCCC), India set a target for 500 GW of non-fossil fuel capacity by 2030[1]. As of December 2024, we’re nearly halfway there, with 209 GW of capacity installed[2]. In addition, according to the Central Electricity Authority (CEA)’s quarterly report on ongoing renewable energy (RE) projects, another 79 GW is under construction and 95 GW is in other (upstream) stages of development[3]. In other words, India is well on its way to reaching the envisioned 2030 target.

However, the gross capacity addition figures hide a rising regional disparity in capacity additions of RE. As of December 2024, seven states in south and west India make up over 80 per cent of India’s RE-installed capacity[1]. In descending order, they are Rajasthan, Gujarat, Tamil Nadu, Karnataka, Maharashtra, Andhra Pradesh, and Telangana. Further, just two of these states — Gujarat and Rajasthan — make up 37 per cent of the total.

Continuing the uneven regional development of energy resources would raise three main issues — technical, financial, and economic.

Transmission investments and costs

A key concern with putting all your eggs in one basket in the context of electricity generation is grid congestion. As more and more capacity is built in the same region, grid congestion becomes more likely. If left unchecked, this can lead to the curtailment of power from otherwise perfectly operational plants.

To prevent this from happening, additional investment in transmission infrastructure is required. In December 2022, the CEA published a report on the transmission system requirement to integrate 500 GW of RE by 2030. According to it, the tentative cost of building this transmission system is Rs 2.4 trillion (Rs 244,200 Cr)[5]. These investments will follow the geographic trend in capacity addition — accruing largely to Gujarat, Rajasthan and a few Southern states.

Further, transmission investments in these areas are already creating pressure on land sources, such as agricultural land and areas populated by the Great Indian Bustard (GIB). Regarding the latter, a 2023 factual report by the Ministry of Environment, Forests and Climate Change stated that collisions with power lines are a key factor for adult mortality in the species[6]. The report goes on to state that there is a “high density of transmission lines because of the impetus on renewable energy production in GIB habitats in Rajasthan and Gujarat”.

Transmission losses also make the endeavour inefficient. Transmission losses and associated costs rise linearly as we increase the distance between the point of generation and the point of consumption. In a nation as vast as India, the losses associated with transmitting energy (say from the West to the East) can be substantial. Even with immense transmission investments, a degree of inefficiency would still be present in the system.

Financial concerns

The cost of acquiring electricity from generators is passed on from transmission companies (transcos) to distribution companies (discoms). In many states, discoms continue to be owned and operated by subnational governments. If a state’s exchequer is financially stressed, energy security can come under duress.

This is precisely the case in eastern India. Thus far, the eastern region states have drawn royalties from coal production. As we move away from thermal energy to renewable alternatives, these royalties will decrease, while purchases from RE centres in other states rise. Mitra and Chandra (2023) illustrate the expected result of these two forces. According to their research, a state such as Chhattisgarh may see its budget deficit rise to as much as 17.1 per cent by 2030 — substantially higher than the limit posed by the Fiscal Responsibility and Budget Management Act, 2003)[7]. Needless to say, these dual pressures can significantly hamper the fiscal capabilities of a state.

Green growth and state economies

The final set of concerns has to do with the local economic effects of lopsided RE growth. In the last decade of RE growth, nearly 80,000 jobs were created in the RE sector (utility-solar, wind and rooftop solar)[8]. However, given roughly 70 per cent of the capacity addition was carried out in just the aforementioned states[9], it stands to reason that these jobs also largely accrued to the same states.

In addition, these states are also emerging as centres of industries that are downstream of RE. Green hydrogen hubs are already being established in Karnataka and Tamil Nadu[10] [11]. In the latter case, the project (an investment of Rs 36 billion) is set to create 1,000 jobs in the Thuthukudi area.

The implication is that the growing disparity of RE capacity can translate into lopsided development across regions. In such a scenario, the benefits of green growth would be localised to just a few states, undermining the ‘just-ness’ of India’s energy transition.

As we rally for an energy transition ahead of The International Day of Clean Energy, celebrated this week, it is worth underlining that India must move away from coal-fed power plants in eastern India to meet its decarbonisation goals. But as Mitra and Chandra (2023) point out, climate change mitigation has become a national level issue with states being kept out of the decision-making process[12]. The outcome is a mad rush by policymakers to court developers and attract RE (and downstream industry) to their states. Instead, these

threats suggest the need for a more co-operative federalist approach to tackle climate change while keeping technical, financial and economic outcomes in mind.

_{[5] Central Electricity Authority, Government of India. 2022. “Transmission system for integration over 500 GW RE capacity by 2030”. https://cea.nic.in/wp-content/uploads/notification/2022/12/CEA_Tx_Plan_for_500GW_Non_fossil_capacity_by_2030.pdf}

^{[6] Ministry of Environment, Forests and Climate Change, Government of India. 2023. “Factual report on the Great Indian Bustard recovery programme”. https://greentribunal.gov.in/sites/default/files/all_documents/Report%20byNo.385-2019..pdf}

^{[7] Sanjay Mitra and Rohit Chandra. 2023. “Deep decarbonization and regional equity”. National Institute of Public Finance and Policy. https://nipfp.org.in/media/medialibrary/2023/10/WP_402_2023.pdf}

^{[8]Kuldeep, Neeraj, Joshi, Madhura et al. 2019. “Powering Jobs Growth with Green Energy”. Council on Energy, Environment and Water, Natural Resources Defense Council, and Skill Council for Green Jobs. https://www.ceew.in/sites/default/files/CEEW-Jobs-Issue-Brief-2019-2-web-24Jul19.pdf}

^{[9] Ministry of New and Renewable Energy, Government of India. “State-wise cumulative installed capacity”. https://mnre.gov.in/year-wise-achievement/}

_{[10] Chauhan, Bala. 2022. “Karnataka plans India’s first green hydrogen cluster in Mangaluru”. The New Indian Express. https://www.newindianexpress.com/states/karnataka/2022/Oct/31/karnataka-plans-indias-first-green-hydrogen-cluster-in-mangaluru-2513358.html}

^{[11] Yadav, Subhash. 2024. “Sembcorp industries developing Rs 36,000 crore green hydrogen project in TN”. Iamrenew. https://www.iamrenew.com/green-energy/sembcorp-industriesdeveloping-rs-36000-crore-green-hydrogen-project-in-tn/}

^{[12] Sanjay Mitra and Rohit Chandra. 2023. “Deep decarbonization and regional equity”. National Institute of Public Finance and Policy. https://nipfp.org.in/media/medialibrary/2023/10/WP_402_2023.pdf}

 

As countries prepare to update their climate pledges under the upcoming Nationally Determined Contributions (NDC) 3.0 cycle, Just Transition is emerging as an essential cross-cutting agenda to strengthen the action of mitigation, adaption, and resilience measures by various countries.

The draft negotiation text of the United Arab Emirates Just Transition Work Programme (UAE-JTWP) has underscored the “multi-sectoral and multi-dimensional nature of just transition” that cuts across all the pillars of climate action. This comprehensive approach envisions addressing not only the carbon transition but also the socio-economic transformations it entails. Therefore, to ensure a Just Transition, or move away from fossil fuels, requires a ‘whole-of-economy’ approach.

Where are we on actionable steps?

An important agenda for COP29 this week will be to frame actionable steps under the JTWP to enable countries to design and implement Just Transition measures, aligning with climate commitments under the Paris Agreement. While each country’s journey to a Just Transition will be based on unique national circumstances, including socio-economic conditions, resources, and priorities, some clear actionable steps can ensure collective and timebound action.

The second annual inter-ministerial roundtable held in Baku on November 18th brought to light some steps that must be enforced through the work programme.

A key one in this regard is the need for strong financial commitments to support Just Transition measures in developing countries. There is a strong sentiment from the negotiators that this requires significant public investment to ensure a fair and inclusive transition. The emphasis should be on prioritizing public finance as the primary driver, rather than high reliance on market mechanisms or investments driven by profit. By placing public finance at the forefront, international institutions can address the social and economic challenges of transition, ensuring that the process is equitable and aligned with long-term development goals.

The other aspect is to guide Parties and build their capacity to develop comprehensive Just Transition policies and plans that can be suitably integrated into the updated NDs, National Adaptation Plans (NAPs), and also development plans.

Finally, there is a need to specify measurable targets, especially short and medium-term targets, to achieve long-term outcomes.

With such measures put in place through the JTWP, Just Transition can be a huge opportunity to support inclusive and green economic growth in developing countries, and not undermine their developmental ambitions. 

 

Listening to voices beyond decision-makers

Besides these, an important issue for Just Transition will be to create appropriate platforms, to ensure representation and participation of various stakeholders.  Mr. Nabeel Munir, the Chairperson of the Subsidiary Body for Implementation (SBI) to the UNFCCC, in his opening remarks at the inter-ministerial roundtable emphasized that a transition “will never be just if the floor is only given to the decision-makers.”

The JTWP should therefore design spaces where diverse voices can actively contribute to decision-making. This inclusivity will help to bring to the floor the unique challenges and needs of those most affected by the transition, making policies more responsive and grounded in local realities. Such an approach will also build trust, legitimacy, and broader support for Just Transition action and make it truly a people’s agenda.