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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.

Live Science | Energy Production

China’s “Artificial Sun” Shatters Nuclear Fusion Record

“China’s ‘artificial sun’ reactor has broken its own world record for maintaining super-hot plasma, marking another milestone in the long road towards near-limitless clean energy.

The Experimental Advanced Superconducting Tokamak (EAST) nuclear fusion reactor maintained a steady, highly confined loop of plasma — the high-energy fourth state of matter — for 1,066 seconds on Monday (Jan. 20), which more than doubled its previous best of 403 seconds, Chinese state media reported.”

From Live Science.

New Atlas | Energy Production

Molten Salt Nuclear Reactor in Wyoming Hits Key Milestone

In Kemmerer, Wyoming, the Naughton Power Plant has been burning coal to provide electricity since the 1960s. But in September 2019, it was announced that the plant would be shut down by 2025 due to issues with operating efficiency and compliance with environmental regulations. Yet unlike other towns where coal plants get shuttered, Kemmerer won’t simply fade from the map. Instead, it is the site where Natrium, America’s first coal-to-nuclear project, is taking place…

TerraPower broke ground on Natrium in June of last year and, this week, the company announced that it received approval from the Wyoming Industrial Siting Council (ISC) for the first of the Natrium plants, known as Kemmerer Power Station Unit 1. According to the company, this makes them the first developer to receive a state permit for an advanced nuclear project in US history…

The ISC permit will only cover the development of the non-nuclear components of Natrium. The subsequent permit for the nuclear tech will need to come from the US Nuclear Regulatory Commission. That body accepted TerraPower’s application last summer, so it might be some time until the project can move onto the nuts-and-bolts phase. Still, if the application gets approved as anticipated, it seems that reactor construction could begin in 2026.”

From New Atlas.

Financial Times | Energy Production

The Rise of Nuclear-Powered Batteries

“The nuclear industry is enjoying a renaissance as governments and big tech companies search for clean sources of power to meet their climate commitments. Dozens of projects are already under way to develop small modular reactors, which have capacities of up to about 300 megawatts. 

Microreactors have a much smaller output of up to 20MW, enough to power roughly 20,000 homes, and are likely to operate like large batteries, with no control room or workers on site. The reactors would be transported to a site, plugged in and left to run for several years before being taken back to their manufacturer for refuelling. 

Westinghouse in December won approval from US nuclear regulators for a control system that will eventually allow the 8MW eVinci to be operated remotely. The reactor, which has minimal moving parts, uses pipes filled with liquid sodium to draw heat from its nuclear fuel and transfer it to the surrounding air, which can then run a turbine to produce electricity or be pumped into heating systems.”

From Financial Times.

New York Times | Energy Production

Fusion Start-Up Plans to Build Its First Power Plant in Virginia

“Commonwealth Fusion Systems, a start-up founded by scientists at the Massachusetts Institute of Technology, said on Tuesday that it planned to build its first fusion power plant in Virginia, with the aim of generating zero-emissions electricity there in the early 2030s.

The proposed facility is among the first to be announced that would harness nuclear fusion, the process that powers the sun, to produce power commercially, a long-elusive goal that scientists have pursued for the better part of a century.

In theory, a fusion reactor could generate abundant electricity without releasing planet-warming carbon dioxide, and with no risk of large-scale nuclear accidents. But moving the concept out of the lab and onto the power grid has proved immensely difficult.

Commonwealth is the best funded of a crop of start-ups that are hoping to realize fusion’s potential soon. The company is first building a pilot machine in Massachusetts, one it says will demonstrate the feasibility of its technology in 2027.”

From New York Times.