India is advancing its electrification efforts at a pace that surpasses China’s earlier development trajectory, driven in large part by the adoption of inexpensive renewable energy technologies and electric vehicles. A recent analysis by global energy think tank Ember highlights that India’s shift toward cleaner electricity is happening faster and with lower fossil fuel use per person than China experienced at a similar stage of economic growth.
When comparing economies on an adjusted purchasing-power basis, India’s current per-person income aligns closely with China’s economic level around 2012. At that stage in China’s development, fossil fuel consumption per capita was significantly higher than India’s present levels. The report notes that India’s consumption of coal and oil per person is only a fraction of what China recorded when it was at a comparable income level, underscoring a departure from the conventional development path that historically relied heavily on fossil fuels.
A key factor in India’s progress has been the widespread availability of affordable solar panels, battery storage, electric vehicles, and related technologies, many of which have become cost-effective thanks to earlier global investments and manufacturing scale-ups. These “modular” clean technologies, which can be deployed incrementally, are helping reduce reliance on fossil energy while supporting rapid expansion of electrification.
In 2024, electric vehicles accounted for roughly 5 percent of new car sales in India, and road transport oil consumption per person remains far below the levels China registered at a similar stage of EV adoption. This has led analysts to suggest that India may never reach the oil use peak per capita that China experienced, even as the economy grows.
Despite the progress, India continues to rely on fossil fuels for a portion of its energy needs, and policymakers are considering plans that could expand coal power capacity by 2047. However, India’s high dependence on imports for oil and gas, over 40 percent of its energy supply, provides strong economic incentives to accelerate electrification and reduce fuel import bills.
The report also notes that China remains the world’s largest manufacturer of many clean-energy components, which presents both opportunities and challenges for India’s domestic manufacturing ambitions. Securing greater self-reliance in clean-tech production could help India sustain and scale its electrification transition further.
