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01 / 05
India’s Good Fortune: How the Country Is Tackling Energy Poverty, Increasing Growth, and Building the Future

Blog Post | Economic Growth

India’s Good Fortune: How the Country Is Tackling Energy Poverty, Increasing Growth, and Building the Future

Energy poverty and many other problems will soon be things of the past for India.

Summary: Over the past two decades, India has made remarkable strides in multidimensional poverty reduction. This comprehensive measure, which considers factors like education and infrastructure alongside income, paints a more accurate picture of poverty. Additionally, India has achieved significant progress in areas such as child mortality, sanitation, access to clean water, and electricity, signaling a positive trajectory for improved living standards and environmental outcomes in the country.


Just two decades ago, life in India looked bleak. Between 2005 and 2006, 55.1 percent of the Indian population—the equivalent of 645 million people—suffered from multidimensional poverty, and in 2004, 39.9 percent of Indians lived in extreme poverty.

Multidimensional poverty measures the percentage of households in a country deprived along three factors: monetary poverty, access to education, and basic infrastructure services. That captures a more thorough picture of poverty.

Multidimensional poverty dropped from over half of the population to 27.7 percent (370 million people) in 2014. In 2019–21, the proportion of people suffering from multidimensional poverty declined further to only 16.4 percent of the total population, or 230 million people. Although the pandemic slowed some aspects of poverty alleviation, the percentage of people in multidimensional poverty has continued to drop significantly year on year in India.

It’s also worth considering extreme poverty, which is defined as living below the international poverty line of $2.15 per day. Using this measure, the number of people living in extreme poverty in India declined from more than half of the population (63.1 percent) in 1977 to only 10 percent in 2019.

Moreover, child mortality declined from 43.4 percent in 1918 to only 3.1 percent in 2021. The number of people without adequate sanitation has dropped from 50.4 percent to 11.3 percent, and the proportion of people without adequate drinking water has fallen from 16.4 percent to just 2.7 percent. As well, more people in the country have access to clean cooking fuels than ever before, from 22.3 percent of people in 2000 to 67.9 percent in 2020.

India has also been tackling environmental concerns. The population of the greater one-horned rhino, which has a “vulnerable” conservation status, has increased from 40 in 1966 to over 4,000 in 2021. Air pollution is one of the world’s largest health and environmental problems, and in low-income countries, it is often the leading risk factor for death. Although there is still work to do, the death rate in India from air pollution decreased from 1990 to 2019 by 42 percent, from 280.5 deaths per 100,000 people to 164.1 deaths per 100,000.

In 2017, Indian Prime Minister Modi launched a plan to electrify more households, targeting over 40 million families in rural and urban India, or roughly a quarter of the population. The plan was called “Saubhagya”—literally, “good fortune” or “auspiciousness.” Although the country did not meet its target as quickly as planned, access to electricity in India has been increasing.

The term “access to electricity” does not have a universally accepted definition, but general usage takes into account the availability of electricity, safe cooking facilities, and a minimum level of consumption. According to the International Energy Agency, “access to electricity” involves more than just connecting a household to the grid; it also requires households to consume a certain minimum amount of electricity, which varies based on whether it is a rural or urban household.

According to the UNDP report, 97.9 percent of Indians had access to electricity between 2019 and 2021. Only 50.9 percent of Indians had access to electricity in 1993. The country has achieved immense progress. In 2018, Prime Minister Modi stated that every village in India had access to electricity.

Climate change is likely to be costly to the Indian subcontinent. Heatwaves have already led to an increase in deaths in India, particularly since a large share of the population is employed in outdoor labor like farming and construction.

India aims to reach net-zero emissions by 2070 and for 50 percent of the power-generation capacity to come from clean energy sources by 2030. The energy transition for India will take time, and the country will need fossil fuels to meet its energy needs for many years yet, but the future is looking promising.

Last year, for example, India brought an indigenous reactor design online at the Kakrapar Atomic Power Project Unit 4. India has 22 working nuclear reactors, which produce about 3 percent of the country’s electricity. India has ambitious plans to build more reactors—aiming to commission a new reactor every year.

The fact that a large country can more than halve multidimensional poverty in only 15 years is a cause for celebration, but India’s foresight of meeting future increasing energy needs is also something to be applauded. Energy poverty will soon be a thing of the past for India. Increased electricity will lead to further poverty alleviation, economic growth, and improved living standards, which in turn will lead to better air quality and environmental outcomes. These are good fortunes that we can all celebrate.

Financial Times | Communications

Spanish Electricity Blackout Drives Use of Elon Musk’s Starlink

“Spanish and Portuguese mobile and internet users turned to Elon Musk’s Starlink in record numbers on Monday, as a widespread electricity blackout on the Iberian peninsula exposed vulnerabilities in telecoms networks.

Usage of the Starlink satellite communications service rose by 35 per cent above average when telecoms coverage dropped in the two countries, according to data analysed by the Financial Times. Usage was 60 per cent higher in Spain than average on Tuesday, as mobile networks struggled to get back up to speed.”

From Financial Times.

CNN | Energy Production

Pakistan Pulls off One of the World’s Fastest Solar Revolutions

“Pakistan, home to more than 240 million people, is experiencing one of the most rapid solar revolutions on the planet, even as it grapples with poverty and economic instability.

The country has become a huge new market for solar as super-cheap Chinese solar panels flood in. It imported 17 gigawatts of solar panels in 2024, more than double the previous year, making it the world’s third-biggest importer, according to data from the climate think tank Ember.

Pakistan’s story is unique, said Mustafa Amjad, program director at Renewables First, an energy think tank based in Islamabad. Solar has been adopted at mass scale in countries including Vietnam and South Africa, ‘but none have had the speed and scale that Pakistan has had,’ he told CNN.

There’s one particular aspect fascinating experts: The solar boom is a grassroots revolution and almost none of it is in the form of big solar farms. ‘There is no policy push that is driving this; this is essentially people-led and market driven,’ Amjad said.”

From CNN.

Buenos Aires Times | Mineral Production

Largest Copper Find in 30 Years Revealed in Argentina

“BHP Group’s joint-venture partner Lundin Mining Corp declared that the companies’ Filo del Sol project in South America to be the largest discovery of copper in three decades, based on new drilling and analysis.

The undeveloped mine contains at least 13 million tons of the metal, as well as significant amounts of gold and silver, Lundin said in a statement on Sunday. Drilling is ongoing, and the deposit’s estimated size is increasing, it said.”

From Buenos Aires Times.

Nature | Mineral Production

Here’s How to Make Nickel Production Greener

“Researchers have developed a process for refining nickel that they say could dramatically cut its carbon footprint, which is currently equivalent to the total emissions of a small country.  Implementing the process on an industrial scale would present some engineering challenges, but the experiment, described in Nature on 30 April, is a first demonstration of principle…

Nickel is a key ingredient in stainless steel, and its use in lithium-ion batteries is predicted to lead to a doubling in global nickel demand by 2040. But it is also one of the dirtiest metals to process. ‘Primary production of nickel is highly carbon-intensive,’ says Manzoor. On average, refining one ton of nickel ore produces around 20 tons of carbon dioxide…

That carbon intensity could grow even higher as more nickel is extracted from laterites, a type of ore that is currently underutilised. That process can release more than 40 tons of carbon dioxide per ton of nickel, in part because it uses carbon-rich coke — a material usually derived from coal — to remove oxygen from the rock via a chemical reduction reaction.

Manzoor and his colleagues suggest an alternative method that extracts the oxygen using hydrogen plasma. They demonstrated this in a small-scale experiment, in which they put ground laterite into a tabletop electric arc furnace. They then injected hydrogen gas and ionized it with an intense electrical current. The hydrogen ions stripped the rock of its oxygen, producing a high-purity mix of nickel and iron, along with magnesium silicates from the rock, which the authors say could be used to make bricks.”

From Nature.