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GS Paper: GS3-13.Infrastructure: Energy, Ports, Roads, Airports, Railways etc:

  • Global Energy Investment Report, 2025

    Why in the News?

    China will lead global energy investments in 2025, making up over a quarter of total spending, says the International Energy Agency’s (IEA) 10th edition Global Energy Investment Report, 2025.

    Back2Basics: International Energy Agency (IEA)

    • Establishment: The IEA was formed in 1974 under the Organization for Economic Cooperation and Development (OECD) in response to the 1973 oil crisis, with headquarters in Paris, France.
    • Membership: It has 31 member countries (e.g., US, UK, France, Japan) and 11 association countries like India, China, and Brazil.
    • India’s Role: India joined as an Association Country in 2017, gaining access to data-sharing, policy support, and technical cooperation.
    • Expanded Mission: The IEA now supports energy security, clean energy transitions, emissions tracking, and policy development.
    • Global Influence: Its major reports—World Energy Outlook, Net Zero by 2050, and Energy Technology Perspectives—guide governments and investors worldwide.

    About the Global Energy Investment Report:

    • Origin and Purpose: Officially titled World Energy Investment Report, is the IEA’s flagship annual publication.
    • Published since 2016: To assess investment flows across the global energy system.
    • Scope of Coverage: It tracks investments in fossil fuels, renewables, electricity supply, critical minerals, energy efficiency, R&D, and innovation financing.
    • Strategic Value: The report helps determine if current investments support climate goals and universal energy access.

    Global Energy Investment Report, 2025

    Key Highlights from the 2025 Report:

    • China’s Role: China will account for over 25% of global energy investment, with over $625 billion in clean energy, though it also approved 100 GW of new coal plants in 2024.
    • Global Trends: Clean energy investment will hit $2.2 trillion, over twice the amount spent on fossil fuels, yet still falls short of COP28 targets.
    • Africa’s Investment Gap: Africa’s fossil fuel investment dropped from $125 billion to $54 billion, and it still receives only 2% of global clean energy funds, mainly due to debt burdens.
    • India’s Position: India’s renewables investment rose from $13 billion (2015) to $37 billion (2025), while fossil fuel investment also increased. However, grid and storage spending declined to $25 billion.
    • Financing Barriers: India’s high cost of capital—80% above advanced economies—limits clean energy growth. The “Baku to Belem Roadmap” seeks to mobilize $1.3 trillion by 2035 for such regions.
    • Global Mismatch: While $1 trillion is spent annually on power generation, only $400 billion goes to grid infrastructure, affecting distribution capacity.
    [UPSC 2022] Consider the following statements:

    1. The Climate Group” is an international non-profit organisation that drives climate action by building large networks and runs them.

    2. The International Energy Agency in partnership with The Climate Group launched a global initiative “EP100”.

    3. EP100 brings together leading companies committed to driving innovation in energy efficiency and increasing competitiveness while delivering on emission reduction goals.

    4.Some Indian companies are members of EP100.

    5. The International Energy Agency is the Secretariat to the “Under2 Coalition”.

    Which of the statements given above are correct?

    Options: (a) 1,2,4 and 5 (b) 1,3 and 4 only* (c) 2,3 and 5 only (d) 1,2,3,4 and 5

     

  • [4th June 2025] The Hindu Op-ed: A strategy fuelled by vision, powered by energy

    PYQ Relevance:

    [UPSC 2022] How will India transform from being a net import dependent country to a net export dependent in renewable energy by 2030 ? Justify your answer. How will the shift of subsidies from fossil fuels to renewables help achieve the above objective? Explain.

    Linkage: “A strategy fuelled by vision, powered by energy” as it discusses India’s explicit goal for a future energy landscape – transforming into a net export-dependent country in renewable energy by 2030. It also delves into the strategic policy shift – moving subsidies from fossil fuels to renewables – intended to power this transformation.

     

    Mentor’s Comment:  Energy is very important for India’s industry, saving foreign money, and global influence. India’s energy needs will grow 2.5 times by 2047, and it will use 25% of the world’s new energy. India’s shift to stronger, cleaner energythrough smart policies and renewable sources is a great success for the country.

    Today’s editorial will explain India’s energy sector strategy and challenges. This will be useful for GS Paper II(International Relations) and GS Paper III (Energy & Environment).

    _

    Let’s learn!

    Why in the News?

    India is now the world’s fourth-largest economy, moving ahead of Japan, with its GDP reaching $4.3 trillion in 2025. This major success happened because of important changes in the economy and energy sector.

    What are the key components of India’s energy strategy?

    • Four-pronged approach: a) Diversification of energy sources and suppliers, b) Expansion of domestic production, c) Transition to renewables, d) Ensuring affordability for citizens
    • Structural transformation: Significant reforms in both upstream and downstream sectors, including new revenue-sharing models, pricing reforms, and logistics integration.
    • Digital mapping & infrastructure: PM Gati Shakti digitally mapped over 1 lakh energy assets, integrated with the National Master Plan for real-time visibility and route optimization.

    Why is energy security considered equivalent to development security for India?

    • Rapidly Growing Energy Demand: With India projected to account for 25% of global energy demand growth by 2047, uninterrupted energy supply is essential to fuel economic growth, industrial output, and urban development. Eg: India’s rise to the 4th-largest oil consumer shows its energy needs are deeply tied to its global economic standing.
    • Foundation for Self-Reliance and Sovereignty: Ensuring access to affordable and sustainable energy strengthens national resilience and reduces geopolitical vulnerabilities. Eg: Ethanol blending (19.7% in 2025) and expanding biofuels have saved ₹1.26 lakh crore in foreign exchange, enhancing energy independence.
    • Social Stability and Equitable Access: Affordable and stable energy supply supports welfare schemes and shields vulnerable populations from price shocks. Eg: Under PM Ujjwala Yojana, LPG cylinder prices for beneficiaries remain at ₹553 despite a global 58% rise, ensuring energy access for the poor.

    How has India expanded its domestic oil and gas exploration acreage from 2021 to 2025?

    • Doubling Exploration Acreage: India increased its exploration area from 8% in 2021 to 16% in 2025, aiming to cover 1 million sq km by 2030 to unlock vast hydrocarbon resources. Eg: This expansion includes frontier basins like the Andamans and the Mahanadi.
    • Landmark Policy Reforms: Reforms such as reducing ‘No-Go’ zones by 99% and streamlining licensing through the Open Acreage Licensing Policy (OALP) rounds have facilitated easier access for exploration. Eg: The OALP rounds attract new investors by offering simplified licensing.
    • Attractive Pricing and Revenue Sharing: New pricing mechanisms link gas prices to 10% of the Indian crude basket with a 20% premium for new wells, and revenue-sharing contracts allow shared infrastructure, boosting investment incentives. Eg: These incentives encourage development of new gas wells and city gas networks.

    Which renewable energy initiatives have contributed significantly to India’s green energy transition?

    • Ethanol Blending in Petrol: Ethanol blending increased from 1.5% in 2013 to 19.7% in 2025, expanding the ethanol supply from 38 crore litres to 484 crore litres, reducing emissions and saving foreign exchange. Eg: This has saved ₹1.26 lakh crore in foreign exchange and reduced 643 lakh MT of emissions.
    • Compressed Biogas (CBG) through SATAT Initiative: The SATAT program has commissioned over 100 CBG plants and targets a 5% CBG blending mandate by 2028, promoting circular and affordable bioenergy. Eg: Central support for biomass procurement and CBG pipeline connectivity accelerates adoption.
    • Green Hydrogen Production: India has produced 8.62 lakh tonnes of green hydrogen and awarded 3,000 MW electrolyser tenders, with public sector units leading large-scale hydrogen projects. Eg: Indian Oil Corporation’s 10 KTPA green hydrogen tender for the Panipat refinery.

    What are the challenges? 

    • Infrastructure and Technology Gaps: Limited infrastructure for large-scale production, storage, and distribution of renewables like green hydrogen and biofuels slows down adoption. Eg: Need for expanded electrolyser manufacturing capacity to meet tender targets.
    • Feedstock Availability and Supply Chain Issues: Securing consistent and diversified feedstock for biofuels like ethanol and CBG is challenging due to agricultural dependencies and regional disparities. Eg: Ensuring steady supply of molasses, maize, and biomass for ethanol and CBG production.
    • High Initial Costs and Financing Constraints: Capital-intensive nature of renewable projects and lack of affordable financing options can hinder MSMEs and smaller players from scaling up. Eg: Limited access to credit for startups working on cutting-edge green hydrogen technologies.

    Way forward: 

    • Boost Infrastructure and Technology: Invest in large-scale renewable production, storage, and distribution facilities—especially for green hydrogen and biofuels—and expand domestic manufacturing of key technologies like electrolysers.
    • Enhance Feedstock Supply and Financing: Develop diversified, reliable feedstock supply chains for biofuels, and create affordable financing schemes to support MSMEs and startups in scaling clean energy innovations.

  • Energy and efficiency: On India and greater energy efficiency mandates

    Why in the News?

    Despite rising power deficits amid urbanisation and climate pressures, India’s UJALA scheme showcases energy efficiency’s impact—saving $10B and 9,500 MW—highlighting efficiency over mere capacity expansion.

    What challenges does India face in meeting its peak power demand?

    • Rising Peak Demand due to Urbanisation and Climate Change: Rapid urbanisation and increasing use of cooling appliances during hotter summers have significantly increased electricity demand. Eg: In 2023–24, India’s peak power demand reached 250 GW, making it the third-largest power consumer globally.
    • Slow Expansion of Power Generation Capacity: Building new power plants, especially coal-based, is capital- and time-intensive, which cannot keep pace with rising demand. Eg: Despite efforts, power deficit widened from 0.69% in FY20 to about 5% in FY24, reflecting supply constraints.
    • Integration Challenges with Renewable Energy: While renewables are growing, their intermittent nature and grid integration issues limit their effectiveness in meeting peak demand. Eg: Solar and wind power face supply variability, making it difficult to meet peak-hour requirements consistently.

    What is UJALA Scheme? 

    The UJALA scheme (Unnat Jyoti by Affordable LEDs for All) is a flagship energy efficiency program launched by the Government of India in 2015. It aims to promote energy-saving lighting solutions by distributing LED bulbs, tube lights, and energy-efficient fans at affordable prices

    How has the UJALA scheme contributed to energy efficiency and savings?

    • Massive Reduction in Power Consumption: The scheme distributed over 37 crore LED bulbs and enabled the sale of 407 crore more, replacing energy-inefficient lighting. Eg: LED bulbs consume half the power of CFLs and 1/9th the power of incandescent bulbs, leading to major power savings in households.
    • Reduction in Peak Demand and Generation Needs: By improving lighting efficiency nationwide, UJALA helped reduce peak power demand by over 1,500 MW. Eg: It avoided the need to build 9,500 MW of new power capacity—equivalent to 19 new 500 MW coal-fired plants.
    • Lower Costs and Emissions: UJALA reduced the cost of LED bulbs from ₹500 to ₹70, making them accessible and cutting emissions. Eg: The scheme has helped India save over $10 billion and significantly reduced CO₂ emissions.

    Why is enhancing energy efficiency crucial for India’s energy future?

    • Bridges the Gap Between Demand and Supply: India faces a widening peak power deficit (from 0.69% in FY20 to ~5% in FY24) despite increased generation. Eg: Energy efficiency helps reduce demand quickly—schemes like UJALA lowered peak demand by 1,500 MW, easing pressure on the grid.
    • Delays the Need for New (Often Fossil-Based) Power Plants: Building new fossil-fuel-based power plants is time-consuming and costly. Eg: Efficiency measures like LED lighting under UJALA avoided building 19 new coal plants (9,500 MW)—cutting cost, time, and pollution.
    • Supports Climate Goals and Reduces Emissions: India’s energy mix still depends 70% on coal, worsening climate and pollution. Eg: Energy efficiency improvements between 2000–2018 helped avoid 300 Mt of CO₂ emissions, according to the International Energy Agency.

    Where can further energy efficiency mandates be applied in India?

    • Buildings and Construction Sector: Residential and commercial buildings consume significant energy, especially for cooling and lighting. Eg: Mandating energy-efficient designs and green building codes (like ECBC) in urban housing projects can reduce long-term electricity use.
    • Home Appliances: Many households still use inefficient devices that consume more electricity. Eg: Expanding BEE’s star-rating program to cover more appliances like fans, refrigerators, and ACs can push consumers toward efficient options.
    • Micro, Small and Medium Enterprises (MSMEs): MSMEs often use outdated machinery that wastes energy. Eg: Energy audits and subsidized upgrades in sectors like textiles or ceramics can reduce energy costs and improve competitiveness.

    Way forward:

    • Invest in Grid Flexibility and Energy Storage: Promote battery storage, pumped hydro, and smart grid systems to manage peak loads and integrate renewable energy reliably.
    • Strengthen Energy Efficiency Mandates: Enforce stricter efficiency norms for buildings, appliances, and MSMEs, backed by incentives, audits, and awareness campaigns.

    Mains PYQ:

    [UPSC 2016] “Give an account of the current status and the targets to be achieved pertaining to renewable energy sources in the country. Discuss in brief the importance of National Programme on Light Emitting diodes (LEDs).”

    Linkage: Despite growth in electricity generation, including recent additions of renewable energy, India has faced peak power demand deficits. While adding new power production capacity takes time, especially for fossil fuels, focusing on energy efficiency is presented as the quickest and least expensive way to address rising power demand and climate change. This question is highly relevant as it specifically asks about renewable energy targets and the importance of the National Programme on LEDs.

  • [pib] Cabinet approves Revised SHAKTI Policy 

    Why in the News?

    The Cabinet Committee on Economic Affairs (CCEA) has approved a proposal under the Revised SHAKTI (Scheme to Harness and Allocate Koyla Transparently in India) Policy to enhance coal availability for Central/State Sector Thermal Power Plants and Independent Power Producers (IPPs).

    About the SHAKTI Policy:

    • The SHAKTI Policy, launched in 2017 by the Ministry of Power, created a transparent mechanism to allocate coal linkages to thermal power plants lacking Fuel Supply Agreements (FSAs).
    • It replaced the earlier nomination-based system with auction-based and tariff-based bidding, enhancing fairness and transparency.
    • While government-owned plants continue receiving coal through nominations, private power producers must obtain coal via competitive bidding.
    • The policy aimed to reduce coal imports, promote the domestic coal industry, and improve energy self-sufficiency.
    • It also intended to revive stressed assets in the power sector, indirectly supporting public sector banks and infrastructure growth.

    Key Features of the Revised SHAKTI Policy (2024):

    • The revised 2024 policy simplifies the system by merging eight criteria into just two windows, enhancing the ease of doing business.
    • Window-I allocates coal at notified prices to central and state government utilities, their joint ventures, and subsidiaries, including those with PPAs under Section 62 of the Electricity Act.
    • Window-II permits coal and imported coal-based producers to acquire coal through premium-based auctions for 12 to 25 years, without requiring a PPA.
    • The policy encourages pithead plants, supports new capacity planning, and allows Imported Coal-Based (ICB) plants to transition to domestic coal, reducing import reliance.
    • Existing FSA holders can now purchase coal beyond 100% of their Annual Contracted Quantity (ACQ) during periods of peak demand.
    • Unrequisitioned surplus electricity can be sold on power exchanges, boosting plant utilization.
    • The policy imposes no additional financial burden on coal companies.
    • Beneficiaries include thermal power plants, Coal India, SCCL, railways, state governments, and end consumers.
    [UPSC 2023] With reference to coal-based thermal power plants in India, consider the following statements:

    1. None of them uses seawater.

    2. None of them is set up in water-stressed district.

    3. None of them is privately owned.

    How many of the above statements are correct?

    Options: (a) Only one (b) Only two (c) All three (d) None*

     

  • Food vs fuel: Surge in ethanol blending and its impacts

    Why in the News?

    India now aims to increase ethanol blending in petrol to 30% to reduce the use of fossil fuels, after reaching its earlier target of 20% for 2025 ahead of time.

    What factors have contributed to the decline in sugarcane production in India since 2022?

    • Red-Rot Disease: A major fungal infection that affects the stalk and reduces crop health and yield. Eg. In Uttar Pradesh and Maharashtra, outbreaks of red-rot significantly reduced sugarcane productivity post-2022.
    • Deficient Rainfall: Inadequate monsoon rains have led to water stress in sugarcane-growing regions. Eg. In Maharashtra and Karnataka, below-normal rainfall in 2023 led to poor crop growth and lower yields.
    • Flowering Issues: Disruption in the natural flowering cycle affects cane maturity and sugar content. Eg. In southern India, unseasonal weather affected flowering patterns, resulting in underdeveloped canes.
    • Soil Depletion (Soil Fatigue): Continuous sugarcane monocropping depletes soil nutrients, lowering productivity. Eg. In western Uttar Pradesh, repeated sugarcane cultivation without crop rotation has led to reduced soil fertility.
    • Crop Diversion: Farmers are shifting to other crops due to uncertain returns and rising input costs. Eg. In Tamil Nadu and Andhra Pradesh, farmers moved to pulses and cotton, reducing the area under sugarcane.

    Why has the Indian government approved a hike in the Fair Remunerative Price for sugarcane?

    • Support for Farmer Income: The hike in FRP is intended to ensure that farmers receive a fair price for their produce, thus supporting their income. Eg: The increased FRP of ₹355 per quintal (up from ₹340) ensures that farmers are adequately compensated, especially as input costs have risen. This makes sugarcane cultivation more attractive to farmers.
    • Addressing Rising Input Costs: The costs of farming inputs, such as fertilizers, labor, and irrigation, have increased, and the FRP hike helps mitigate these expenses for farmers.
      Eg: With the rise in fertilizer prices, the government’s decision to raise the FRP ensures that farmers can continue cultivating sugarcane without facing financial distress due to high input costs.
    • Incentivizing Sugarcane Production: A higher FRP encourages farmers to cultivate more sugarcane, addressing concerns over declining sugarcane production in India.
      Eg: In regions like Maharashtra and Uttar Pradesh, where production has been affected due to reduced farmer interest, the FRP increase motivates farmers to maintain or increase their sugarcane acreage.
    • Ensuring Steady Sugar Supply: Maintaining sugarcane production through higher FRP ensures a stable sugar supply for the domestic market. Eg: With India being one of the world’s largest sugar producers, ensuring adequate sugarcane production is vital to prevent sugar shortages and price hikes, as seen in previous years.
    • Timely Payments to Farmers: The FRP hike ensures that sugar mills can afford to make timely payments to farmers, thus reducing arrears. Eg: In the past, many farmers faced delayed payments from mills. The higher FRP is expected to make it financially feasible for mills to pay farmers on time.

    Which alternatives is the government considering to offset the sugarcane shortfall for ethanol?

    • B-Heavy Molasses: The government has lifted restrictions on B-heavy molasses for ethanol production, increasing supply without extra sugarcane cultivation. Eg: 750,000 metric tons of B-heavy molasses are now available for ethanol production.
    • Cane Juice and Syrup: Sugar mills can now use cane juice and syrup for ethanol, boosting production capacity. Eg: Policy change allows sugar mills to divert more resources into ethanol production from sugarcane juice.
    • Grain-Based Ethanol: The government is encouraging the use of grains like maize and rice for ethanol, diversifying feedstocks. Eg: India has turned to maize for ethanol production, though it has led to increased corn imports.
    • Food vs. Fuel Balance: The government has adjusted policies to prioritize sugar production when needed. Eg: Restrictions were imposed on ethanol production in December 2023 to ensure sufficient sugar supply.
    • Molasses-Based Ethanol Procurement Price: The government has increased the procurement price for molasses-based ethanol to incentivize production. Eg: The procurement price was raised by 3% to ₹58 per liter to boost ethanol supply.

    Way forward: 

    • Promote Crop Diversification and Sustainable Practices: Encourage farmers to adopt crop rotation and diversified farming practices, alongside promoting resilient sugarcane varieties, to reduce dependency on sugarcane monocropping and mitigate soil depletion.
    • Strengthen Ethanol Supply Chain and Support Alternative Feedstocks: Enhance infrastructure for processing alternative feedstocks like maize and rice for ethanol production, while incentivizing the use of B-heavy molasses and cane juice to ensure a steady supply of ethanol without further straining sugarcane resources.

    Mains PYQ:

    [UPSC 2024] What are the causes of persistent high food inflation in India? Comment on the effectiveness of the monetary policy of the RBI to control this type of inflation.

    Linkage: The rise in sugar price, partly due to diversion for ethanol blending, is “pinching the pockets of consumers”. This question directly addresses the causes of high food inflation, which is a significant impact of the “food vs fuel” dynamic where increased demand for crops for fuel can drive up food prices.

  • Hydrogen versus Battery: The Cost of Clean Public Transport

    Why in the News?

    In India, a study published in The Lancet found that between 2008 and 2019, breathing in high levels of PM2.5 air pollution for short periods caused around 30,000 deaths each year in 10 major cities—making up about 7.2% of all deaths in those areas.

    What are the major health impacts of urbanisation-related air pollution in Indian cities, as reported by the Lancet study?

    • High Mortality Due to PM2.5 Exposure: Short-term exposure to fine particulate matter (PM2.5) caused nearly 30,000 deaths annually across 10 major Indian cities from 2008 to 2019.
    • Significant Share of Urban Deaths: These pollution-related deaths represented about 7.2% of all deaths in these cities, indicating a severe public health burden directly linked to air quality.
    • City-Specific Impact – Mumbai: Mumbai recorded the highest number of annual deaths due to PM2.5, with approximately 5,100 deaths each year attributed to air pollution.
    • Severe Effects in Eastern and Southern Metropolises: Kolkata and Chennai also showed worrying trends, with 4,678 deaths/year in Kolkata and 2,870 deaths/year in Chennai due to polluted air.
    • Urbanisation Intensifies Health Risks: Rapid urban growth increases traffic congestion and emissions, compounding the effects of air pollution and increasing the risk of respiratory and cardiovascular diseases.

    Why are Fuel Cell Electric Vehicles (FCEVs) considered more suitable for long-distance travel and extreme conditions despite their low adoption?

    • Longer Driving Range: FCEVs offer greater range than battery electric vehicles (BEVs) due to the higher energy density of hydrogen fuel. Eg: Hydrogen-powered vehicles can travel 500–700 km on a single tank, ideal for intercity transport.
    • Quick Refuelling Time: FCEVs can be refuelled in just 5–15 minutes, similar to petrol or diesel vehicles, unlike BEVs which may take hours to recharge. Eg: Hydrogen buses can be quickly refuelled during breaks, making them suitable for continuous long-haul operations.
    • Better Performance in Cold Weather: FCEVs are less affected by cold temperatures, which often reduce the efficiency and range of battery-powered vehicles. Eg: FCEVs are more reliable in regions with harsh winters like high-altitude or Himalayan areas.
    • Lighter Vehicle Weight: Hydrogen fuel cells are generally lighter than large lithium-ion battery packs, improving efficiency and payload capacity. Eg: Fuel cell trucks can carry more cargo weight over rugged terrain compared to heavier BEVs.
    • Ideal for Heavy-Duty and Rugged Use: Due to their durability and efficiency, FCEVs are well-suited for buses, trucks, and long-range vehicles on varied terrains. Eg: Countries like Japan and South Korea are deploying hydrogen buses for public transport in hilly and industrial regions.

    Which countries and regions are leading in global electric car sales and how does India compare?

    Country/Region 2023 EV Sales Market Share Key Highlights
    China 9.05 million 37% of total car sales World’s largest EV market; accounts for ~58% of global EV consumption
    Europe 3.02 million 24% of total car sales Strong adoption in countries like Norway, Germany, and the Netherlands
    United States 1.39 million 9.5% of total car sales Third-largest EV market globally
    India 80,000 ~5% of total car sales Rapid growth; EV sales nearly doubled in 2023; leading in electric three-wheeler sales

    When will hydrogen vehicle costs match battery-electric vehicles?

    • Cost Convergence Expected by 2030: Experts predict that the initial purchase cost of hydrogen Fuel Cell Electric Vehicles (FCEVs) will match that of BEVs by around 2030, due to advancements in hydrogen fuel cell technology and mass production. Eg: A hydrogen-powered bus may cost the same as a battery-electric bus by 2030, narrowing today’s 20–30% cost gap.
    • Technology and Manufacturing Scale-Up: As production scales up, the cost of fuel cells, hydrogen storage systems, and related components is expected to fall significantly. Eg: Mass production of hydrogen tanks and cheaper catalysts could lower vehicle costs similar to how lithium-ion battery costs declined over time.
    • Infrastructure Development and Government Support: Increased investment in hydrogen refuelling infrastructure and government subsidies are crucial for cost parity. Eg: Japan and South Korea are funding hydrogen highways and offering tax incentives to make hydrogen cars more affordable.
    • Operational Costs to Remain High: While initial costs may match BEVs by 2030, running costs are expected to remain significantly higher beyond that due to fuel prices. Eg: Operating a green hydrogen bus currently costs around $0.91/km, compared to $0.17/km for electric buses.
    • Limited Market Segments for Parity: Cost matching is likely only in specific segments like heavy-duty transport, not across all vehicle categories. Eg: Long-haul hydrogen trucks may achieve cost parity with electric trucks sooner than passenger cars due to their high utility.

    What are the steps taken by the Indian Government? 

    • FAME India Scheme: Launched in 2015, it offers financial incentives for EV adoption and charging infrastructure development. Phase II (2019) focuses on public transport EVs and charging stations.
    • PLI Scheme: A ₹26,000 crore initiative to boost domestic EV and hydrogen vehicle manufacturing, reduce imports, create jobs, and support ‘Make in India.’
    • Customs Duty Reduction: Import duties on EVs above $35,000 have been reduced from up to 100% to 15%, with a cap of 8,000 vehicles annually for five years, provided manufacturers commit to local production.
    • NEMMP: The 2013 National Electric Mobility Mission Plan aims to boost EV and hybrid vehicle adoption through technology, infrastructure, and demand generation.
    • State-Level Initiatives: States like Uttar Pradesh, Tamil Nadu, and Delhi have implemented various EV policies, including subsidies, tax waivers, and electric auto rickshaw programs to promote adoption.

    Way forward: 

    • Enhance R&D and Subsidies: Support innovation and provide financial incentives to reduce the cost of hydrogen vehicles and fuel.
    • Build Targeted Infrastructure: Develop hydrogen refuelling stations along key freight corridors and urban hubs.

    Mains PYQ:

    [UPSC 2024] How do electric vehicles contribute to reducing carbon emissions and what are the key benefits they offer compared to traditional combustion engine vehicles?

    Linkage: Electric vehicles (which often implies BEVs) and their role in reducing carbon emissions, aligning with the “clean public transport”.

  • Kaleshwaram Lift Irrigation Project (KLIP)

    Why in the News?

    The National Dam Safety Authority (NDSA) has reported major structural and operational defects in Telangana’s Kaleshwaram Lift Irrigation Project (KLIP), citing “irreparable damage” to three key barrages, including Medigadda.

    Kaleshwaram Lift Irrigation Project (KLIP)

    About Kaleshwaram Lift Irrigation Project (KLIP)

    • KLIP, located on the Godavari River in Telangana, is the world’s largest multi-stage lift irrigation project, inaugurated on June 21, 2019.
    • The project aims to irrigate 45 lakh acres, supply drinking water to Hyderabad, and support industrial use.
    • It plans to lift 240 TMC of water, with 195 TMC from Medigadda, 20 TMC from Sripada Yellampalli, and 25 TMC from groundwater.
    • The infrastructure includes 7 links, 28 packages, a 500 km span, 1,800+ km canal network, 20 reservoirs, and Asia’s largest pump house at Ramadugu.
    • Estimated cost: ₹80,000 crore to ₹1.2 lakh crore.

    Issues with the Project

    • In October 2023, Pillar No. 20 of the Medigadda barrage sank, causing flood-related damages.
    • NDSA’s April 2024 report identified structural distress in all 3 barrages (Medigadda, Annaram, Sundilla) due to poor design, lack of geotechnical studies, and inadequate safety protocols.
    • Overloading of barrages (10 TMC water stored instead of 2 TMC) caused foundation damage.
    • The state incurs ₹16,000 crore annually in loan and interest repayments, despite the project being criticized as a “man-made disaster.”

    Back2Basics: Godavari River

    • The Godavari, also known as Dakshin Ganga, is the largest peninsular river in India.
    • Originates from Trimbakeshwar in Maharashtra, flowing 1465 km to the Bay of Bengal.
    • Its basin spans: Maharashtra, Telangana, Andhra Pradesh, Chhattisgarh, Odisha, and parts of Madhya Pradesh, Karnataka, and Puducherry.
    • Right bank tributaries include Pravara, Manjira, and Maner; Left bank tributaries include Purna, Pranhita, Indravati, and Sabari.

     

    [UPSC 2024] Recently, the term “pumped-storage hydropower” is actually and appropriately discussed in the context of which one of the following?

    Options: (a) Irrigation of terraced crop fields (b) Lift irrigation of cereal crops (c) Long duration energy storage* (d) Rainwater harvesting system

     

  • [5th May 2025] The Hindu Op-ed: Shaping the port of the future

    PYQ Relevance:

    [UPSC 2021] Investment in infrastructure is essential for more rapid and inclusive economic growth.” Discuss in the light of India’s experience.

    Linkage: Vizhinjam Port is seen as a major infrastructure project that can bring big economic benefits and boost growth in the region. This “port of the future” is a clear example of how building key infrastructure can help speed up development and strengthen India’s role in global sea trade.

     

    Mentor’s Comment:  The town of Vizhinjam in Kerala has been an important part of global sea trade since ancient times. Inscriptions from the Pandya-Chola period (1129 AD) refer to it as Rajendra Chola Pattinam, a key port in Kerala. Some historians believe that Vizhinjam was earlier known as Balita, a port mentioned in the 1st-century travel book The Periplus of the Erythraean Sea. Over time, however, Vizhinjam lost its importance when colonial powers began to focus on developing other ports like Cochin and Madras.

    Today’s editorial analyses the first deep-water container transhipment port at Vizhinjam. This content would help in the GS Paper II (International Relations) and GS Paper III (Port & Infrastructure).

    _

    Let’s learn!

    Why in the News?

    India’s first deep-water container transshipment port at Vizhinjam has been officially opened by the Prime Minister.

    What historical records highlight Vizhinjam’s ancient maritime significance?

    • Inscriptions from the Pandya-Chola Era (1129 AD): Vizhinjam was referred to as Rajendra Chola Pattinam, highlighting its importance under Chola rule. Eg: Inscriptions found in Tamil Nadu indicate Vizhinjam was a maritime outpost under Rajendra Chola I.
    • Mention in The Periplus of the Erythraean Sea (1st century AD): Scholars correlate Vizhinjam with Balita, a port listed in this Greco-Roman navigational text. Eg: The Periplus details trade with South Indian ports exporting spices, pearls, and textiles.
    • Vital Node in the Ancient Spice Route: Vizhinjam facilitated trade in pepper and aromatics between India and the Greco-Roman world. Eg: Goods from Kerala were shipped to Alexandria and further into Europe via this port.
    • Geographic Advantage as a Natural Port: Vizhinjam’s deep-sea location and sheltering coastline made it ideal for anchorage and monsoon navigation. Eg: Sailors preferred Vizhinjam for docking during the southwest monsoon season.
    • Decline Due to Colonial Maritime Reorientation: Colonial interests bypassed Vizhinjam in favor of Cochin and Madras, leading to its historical obscurity. Eg: The British East India Company developed Cochin, reducing Vizhinjam’s strategic relevance.

    Why is Vizhinjam Port crucial for India’s transshipment strategy?

    • Proximity to International Shipping Routes: Vizhinjam lies just 10 nautical miles from the busy east–west international sea route, reducing diversion time for vessels. Eg: Ships plying between the Persian Gulf and the Malacca Strait can easily access Vizhinjam without significant deviation.
    • Natural Deep-Draft Port: It has a natural depth of over 20 meters, allowing large container ships (like Ultra Large Container Vessels) to dock without dredging. Eg: Unlike ports such as Chennai or Kolkata, Vizhinjam can handle Mother Vessels directly.
    • Reduces India’s Dependence on Foreign Ports: India currently transships ~75% of its cargo through ports like Colombo, Singapore, and Jebel Ali. Vizhinjam aims to internalize this traffic. Eg: Container traffic from Kochi or Tuticorin often goes to Colombo first—Vizhinjam can bypass this.
    • Strategic Location for Regional Hub Development: Located on the southern tip of India, it can serve as a transshipment hub for South Asia and East Africa. Eg: Ports in Maldives, Seychelles, and even parts of the African east coast could be serviced via Vizhinjam.
    • Boosts Sagarmala and Atmanirbhar Bharat Goals: It aligns with India’s vision to develop port-led development and reduce logistic costs under the Sagarmala Programme. Eg: Vizhinjam complements other projects like Vadhavan and Paradip in creating an integrated maritime network.

    Who are the main stakeholders in the Vizhinjam Port project?

    • Government of Kerala: Owns the port infrastructure and plays a key role in policy, land acquisition, and facilitating local support. Eg: Kerala State Industrial Development Corporation (KSIDC) is involved in project coordination.
    • Adani Ports and SEZ Ltd (APSEZ): The main private developer and operator of the port under a Public-Private Partnership (PPP) model. Eg: APSEZ is responsible for design, build, finance, operate, and transfer (DBFOT) of the port.
    • Central Government of India: Provides financial assistance and regulatory approvals via the Ministry of Ports, Shipping and Waterways. Eg: The project received viability gap funding (VGF) from the Centre to make it commercially feasible.
    • Local Community and Fisherfolk: Crucial stakeholders impacted by land use, fishing access, and environmental changes. Eg: Protests by fishing communities in 2022 highlighted concerns over displacement and livelihood loss.
    • Environmental and Regulatory Bodies: Ensure compliance with Coastal Regulation Zone (CRZ) norms, environmental clearances, and sustainable development. Eg: The Ministry of Environment, Forest and Climate Change (MoEFCC) granted conditional clearance after EIA studies.

    How can Vizhinjam’s economic potential mirror global models like Shenzhen?

    • Strategic Coastal Location for Global Trade: Like Shenzhen, Vizhinjam lies close to major global shipping routes, enabling it to become a vital logistics hub. Eg: Vizhinjam is just 10 nautical miles from the international east-west shipping corridor, ideal for transshipment.
    • Integrated Industrial and Port Development: Shenzhen’s success came from combining port infrastructure with export-oriented industrial zones; Vizhinjam can follow suit with Special Economic Zones (SEZs). Eg: Planned industrial corridors around Vizhinjam can attract electronics, pharmaceuticals, and marine processing units.
    • Private Sector-Led Infrastructure Expansion: Like Shenzhen’s model of leveraging private investment for rapid development, Vizhinjam is being developed under PPP with Adani Ports. Eg: Adani Ports has experience in developing Mundra Port as an integrated commercial port ecosystem.
    • Tech-Driven, Green Port Initiatives: Shenzhen is a pioneer in using smart and sustainable technologies; Vizhinjam can adopt automation, renewable energy, and green logistics. Eg: Vizhinjam’s deep draft allows handling of mega ships with less dredging, reducing ecological footprint.
    • Employment and Urban Transformation: Shenzhen evolved from a fishing village to a global metropolis; Vizhinjam can drive local employment, urbanisation, and socioeconomic growth. Eg: Development of port-linked infrastructure is expected to boost tourism, services, and real estate in the Trivandrum region.

    What are the challenges for the ports in India? 

    • Labor Disputes and Industrial Actions: Indian ports have experienced significant disruptions due to labor strikes and protests. Eg: In August 2024, approximately 20,000 port workers initiated a strike demanding wage revisions and improved pension benefits. This industrial action threatened to halt operations across major ports, causing delays in cargo handling and impacting global trade.
    • Inadequate Last-Mile Connectivity: Despite improvements in port infrastructure, many Indian ports suffer from poor last-mile connectivity. Eg: The Jawaharlal Nehru Port in Navi Mumbai often faces delays due to inefficient road networks and underdeveloped transport links, affecting overall port efficiency.
    • Port Congestion and Operational Inefficiencies: Indian ports are grappling with congestion issues, leading to delays in cargo handling and increased turnaround times for vessels. Eg: Factors like outdated cargo tracking systems and regulatory bottlenecks have forced some shipping lines to skip Indian port calls to maintain schedules.

    Way forward: 

    • Improve Port Infrastructure and Last-Mile Connectivity: Enhance road, rail, and port connectivity to streamline cargo movement and reduce congestion. Investments in modernizing transport networks and implementing smart technologies can ensure smoother operations and quicker turnaround times.
    • Strengthen Labor Relations and Efficiency: Resolve labor disputes through better communication and negotiations, ensuring worker welfare while maintaining productivity. Implementing automation and improving operational processes can also reduce dependency on manual labor and improve efficiency.

  • Port economy will drive India’s growth: PM

    Why in the News?

    Prime Minister Narendra Modi said on Friday that coastal states and port cities will play a major role in India’s growth as it becomes more developed. He was speaking after the launch of the ₹8,800 crore Vizhinjam International Deepwater Multipurpose Seaport in Kerala’s capital.

    What is the significance of the Vizhinjam International Deepwater Multipurpose Seaport for India’s maritime trade?

    • Strategic Global Location: Located close to the international East-West shipping route, making it ideal for global container traffic. Eg: Ships passing through the Suez Canal–Malacca route can now directly dock at Vizhinjam without diversion, saving cost and time.
    • India’s First Dedicated Transshipment Port: Will handle transshipment of containers that earlier went to foreign ports like Colombo (Sri Lanka), Dubai, or Singapore. Eg: Around 75% of India’s transshipped cargo is currently handled abroad; Vizhinjam aims to reverse this trend and retain revenue domestically.
    • Natural Deep Draft for Large Vessels: With a natural draft of nearly 20 metres, it can host Ultra Large Container Vessels (ULCVs) without the need for expensive dredging. Eg: Ports like Colombo or Rotterdam require regular dredging, while Vizhinjam offers cost-effective long-term operations.
    • Boost to Logistics and Trade Efficiency: Reduces logistics costs, cargo handling time, and dependence on intermediate ports, increasing India’s ease of doing business. Eg: Indian exporters from hinterland states can now ship directly via Vizhinjam, avoiding time-consuming rerouting through foreign ports.
    • Economic Multiplier Effect and Self-Reliance: Encourages Make in India, builds maritime self-reliance, and fuels coastal economy development. Eg: Encourages investments in warehousing, ship repair, and allied services around the port zone—generating local employment and GDP growth.

    Why is private sector participation considered crucial in developing port infrastructure in India?

    • Mobilization of Capital and Faster Project Execution: The private sector brings in large-scale investments that the government alone may not be able to allocate promptly. Eg: The ₹8,800 crore Vizhinjam Port was developed through a public-private partnership (PPP) with Adani Ports, accelerating infrastructure delivery.
    • Technological Innovation and Operational Efficiency: Private companies often introduce modern technologies and international best practices, improving service quality and turnaround time. Eg: Mundra Port, operated by Adani Ports, has emerged as one of India’s most efficient ports due to automation and smart logistics.
    • Risk Sharing and Long-Term Sustainability: PPP models allow for shared risks between the public and private sectors, reducing the financial burden on the government and ensuring long-term commitment. Eg: The collaboration between Kerala’s state government and Adani Group in Vizhinjam port demonstrates how risk-sharing enables execution even in ideologically diverse environments.

    Where is the new shipbuilding and repair cluster being set up?

    • Strategic Location in Kochi, Kerala: Kochi has been selected for its existing maritime infrastructure and strategic coastal position. The cluster aims to enhance India’s shipbuilding and repair capabilities, reducing reliance on foreign facilities. Eg: The cluster is being developed through a collaboration between Cochin Shipyard Limited and Drydocks World, aiming to create world-class ship repair facilities in Kochi.
    • Public-Private Partnerships Driving Development: The project leverages public-private partnerships to combine government support with private sector efficiency and investment. This approach is expected to bring in advanced technologies and best practices. Eg: Cochin Shipyard Limited, a government-owned entity, has signed an MoU with Drydocks World to jointly develop the ship repair cluster in Kochi.
    • Economic Growth and Employment Opportunities: The cluster is anticipated to generate substantial employment, particularly benefiting the local population in Kerala. It will also contribute to the growth of ancillary industries and services. Eg: The establishment of the shipbuilding and repair cluster in Kochi is expected to create numerous new employment opportunities, providing Kerala’s local talent and youth with a platform for growth.

    What opportunities is it expected to create?

    • Job Creation and Skill Development: The new shipbuilding and repair cluster in Kochi is expected to create thousands of direct and indirect jobs, particularly benefiting the local population by providing employment opportunities in shipbuilding, repair, and ancillary services.  
    • Boost to India’s Maritime and Manufacturing Sectors: The cluster will significantly enhance India’s shipbuilding capabilities, reducing dependence on foreign facilities and positioning India as a key player in global shipbuilding and repair.  

    Way forward: 

    • Strengthen Port Connectivity and Infrastructure: Enhance hinterland connectivity to ensure seamless movement of goods between ports and key industrial zones. Eg: Develop efficient road, rail, and inland waterways to complement the Vizhinjam Port and Kochi shipbuilding cluster.
    • Focus on Skill Development and Innovation: Invest in specialized maritime education and training programs to create a skilled workforce. Eg: Collaborate with global institutions to bring advanced shipbuilding technologies and best practices to India, fostering innovation and sustainability in the maritime sector.

    Mains PYQ:

    [UPSC 2021] “Investment in infrastructure is essential for more rapid and inclusive economic growth.”Discuss in the light of India’s experience.

    Linkage: Coastal states and port cities will be key growth centres and that strengthening the maritime sector through infrastructure is essential for driving economic power and achieving the full potential of the port economy. Thus, this question aligns with the core idea that ports, as critical infrastructure, are drivers of growth.

  • PM inaugurates Vizhinjam Port

    Why in the News?

    Prime Minister has formally commissioned India’s first deep-sea transshipment port at Vizhinjam in Kerala.

    About Vizhinjam Port

    • Vizhinjam Port is India’s first deep-sea transshipment port located near Thiruvananthapuram.
    • Developed under a Public-Private Partnership (PPP) model, the port cost ₹8,900 crore to build.
    • It is operated by Adani Vizhinjam Port Pvt. Ltd., with a 61.5% stake held by Kerala’s government and 9.6% by the Central government.
    • Commercial operations began in December 2024, following a trial run in July 2024.
    • The port has handled 285 ships and processed 5.48 lakh TEUs since its operational launch.
    • Positioned just 10 nautical miles from a major international shipping route, it provides quick access to global trade lanes.

    Notable Features of the Port:

    • It is India’s first semi-automated port, utilizing AI-powered control rooms and the Indigenous Vessel Traffic Management System (VTMS).
    • Its deep natural draft (up to 24 meters) allows it to accommodate Ultra Large Container Vessels (ULCVs).
    • The current infrastructure includes a 3,000-meter breakwater and an 800-meter container berth, with full capacity expected by 2028–29 at 6.2 million TEUs annually.
    • The port is designed as a multi-purpose, green port, ensuring year-round operations.
    • Positioned 20 kilometers from Trivandrum International Airport, it offers seamless air-sea connectivity.
    [UPSC 2023] Consider the following pairs:

    Port—–Well known as

    1. Kamarajar Port—-First major port in India registered as a company

    2. Mundra Port—–Largest privately owned port in India

    3. Visakhapatnam—-Largest container port in India

    Options: (a) Only one pair  (b) Only two pairs*  (c) All three pairs  (d) None of the pairs