India–Sweden Clean Energy Ties: Five Key Things to Know

Sweden, located in northern Europe on the Scandinavian Peninsula, is globally known for its innovation ecosystem. The country was ranked second in the world in the Global Innovation Index (GII) by the World Intellectual Property Organization (WIPO). It was also ranked second in the Sustainable Development Report 2025.

But how is a country that has developed onshore wind, offshore wind and nuclear energy, alongside other power sources, working with India to help it achieve its net-zero targets?

Sweden sees India as a natural partner for scaling clean energy and sustainability solutions, as India balances rapid economic growth with increasing pressure on energy and environmental systems, Sven Östberg, Consul General of Sweden, told Saur Energy. Östberg said India’s sustainability push is gaining momentum, driven not only by climate concerns but also by strong business incentives.

Below are some of the key initiatives and learnings from the bilateral cooperation between India and Sweden.

1. Industry Transition Partnership (ITP) under LeadIT

Under LeadIT, the governments and businesses of both countries are working within a common framework to accelerate decarbonisation in hard-to-abate sectors such as steel and cement. The partnership was established by the respective prime ministers with the objective of co-developing technologies, sharing knowledge and demonstrating projects.

This includes joint innovation, research and development, and project preparation for decarbonisation solutions.

The ITP is a targeted decarbonisation programme focused mainly on the steel and cement sectors and aims at deep, systemic emission reductions. Projects are supported through government co-funding and involve close engagement with regulators and research institutions.

2. India–Sweden Green Transition Partnership (ISGTP)

The ISGTP is a bilateral platform formed to promote sustainable and low-carbon development between Swedish and Indian public and private sector stakeholders. It was established in 2022 in Mumbai to enable the exchange of green technologies, practices and solutions between the two countries.

Unlike LeadIT, ISGTP is a broad, multi-sector platform that focuses on the overall green transition across industries, energy systems, manufacturing and sustainability solutions. It primarily operates through business-to-business and business-to-government engagement.

The platform enables Swedish companies to introduce proven green technologies into the Indian market through technology showcases, industry workshops, partner matchmaking and policy dialogues. It is commercial and deployment-oriented and is coordinated by Business Sweden with support from Swedish and Indian government stakeholders. The initiative is industry-led, with strong participation from SMEs and mid-sized technology firms.

3. Energy Mix of Sweden

Due to its proximity to the Baltic Sea, Sweden has developed offshore wind projects and is among the few countries globally with experience in this segment. With limited solar potential compared to India, Sweden has also relied on nuclear power and other energy sources to meet its electricity needs.

This offers learning opportunities for India, which has recently begun planning offshore wind projects along the Tamil Nadu coast. Sweden also sets an example globally through its minimal use of fossil fuels, as its power system is heavily dependent on hydropower, nuclear energy and wind power.

4. How Sweden Worked with Firms on Sustainability

Östberg said Sweden has put several measures in place to achieve its climate goals, which can broadly be grouped into three key areas.

“First, we have adopted a legally binding long-term climate target, with a clear timeline up to 2045. This gives companies certainty about what is expected of them and supports long-term business planning. Second, Sweden has implemented carbon pricing, which ensures that companies factor the real cost of emissions into their decisions and encourages more sustainable practices,” he said.

He added, “Third, there is strong collaboration between industry, government and academia, often referred to as the triple helix model. This approach has proven effective in helping Swedish companies innovate and transition toward more sustainable operations.”

5. How Indian Firms Are Looking at Sustainability

Östberg said Indian companies are increasingly integrating sustainability into their business roadmaps.

“While development places pressure on the country’s sustainability, many Indian companies are increasingly committed to doing more in this area. In areas such as energy efficiency, sustainability also makes strong business sense, as it helps reduce costs and improve competitiveness,” he said.