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Energy Subsidies in India

The GSI’s India country program undertakes research and policy engagement on energy subsidies for fuel consumers, fuel producers and renewable energy.

Research

Objectives
  • Reduce overall fossil fuel subsidy expenditure
  • Improve the progressive social distribution of subsidy expenditure
  • Increase clean energy access and use, particularly among poorer households

Reports: India's Accelerated Depreciation Policy for Wind Energy

In recent decades, wind power in India been deployed at a tremendous rate, such that wind power projects now account for two thirds of total renewable energy generating capacity and almost one tenth of total installed generating capacity. This case study examines one of the policies that is widely considered to be the primary driver behind this expansion—accelerated depreciation (AD) for wind power projects.

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Reports: Diesel Subsidy Reform in India: Lessons learned

The Indian government’s declaration of a formal end to diesel price regulation in October 2014 marked the culmination of a two-year process of price reform. The effective removal of diesel subsidies, although not yet accompanied by comprehensive price decontrol, nevertheless represents an important milestone in the reform of energy pricing in India, and provides policy-makers with a useful case study of successful fossil fuel subsidy reform. This report investigates lessons learned.

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Energy Empowerment Programme Launched at IISD Offices

February 16, 2015 | Shruti Sharma , Laura Merrill
Geneva—11-13 February—Last week the Global Subsidies Initiative (GSI) of the IISD Energy programme helped launch a new gender and energy initiative organised by ENERGIA and funded by UKDFID in Geneva at the IISD offices with 30 consortium participants.  The IISD programme will focus on energy empowerment, energy sector reform and impacts for gender.

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Indian Energy Pricing: Two Steps Forward, One Step Back

November 18, 2014 | Kieran Clarke
On Saturday 18th October the Indian Government announced a series of policy decisions in relation to energy, including decontrol of diesel pricing, revision of natural gas prices on a market-linked basis, and proposed changes to domestic LPG subsidy entitlements and delivery mechanisms. This package of measures, presented as a reflection of the new NDA administration’s reformist intent, represents a complex mix of continuity and change in relation to the previous UPA government’s policies, with important implications (both positive and negative) for the future direction of Indian energy policy.

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