Odisha To Meet 33% Of Its Power Needs Through RE By 2036

Odisha To Meet 33% Of Its Power Needs Through RE By 2036

Odisha has attracted over ₹5 trillion in investments across manufacturing sectors over the past three years, with 14% flowing into green energy equipment and 8% into electric vehicles (EVs) and EV components. In its “Odisha Vision 2036 & 2047” document, the state outlined plans to meet at least 33% of its energy needs from renewables by 2036 and 50% by 2047.

As part of the strategy, the state aims to mobilise ₹1.8–2 trillion in corporate investments—around 70% of its total requirement—through targeted incentives and energy-themed roadshows. These will focus on emerging technologies such as floating solar, small modular nuclear reactors, and energy storage.

Renewable Energy Target

The Odisha government plans to raise the share of renewable energy in its total installed capacity from 18% at present to 36% by 2029, 60% by 2036, and 70% by 2047. It also aims to develop at least three green energy zones for industries that rely primarily on clean power. Under its long-term energy roadmap, the state will develop solar and wind parks in western Odisha and create over 75,000 green energy jobs. These initiatives aim to support Odisha’s goal of becoming energy self-reliant and ensuring that 50% of electricity used in the services sector comes from green sources by 2047.

These efforts align with Odisha’s ambition to become a USD 1.5 trillion economy by 2047. Energy demand is projected to grow at a compound annual growth rate (CAGR) of over 7%, driven by rising investments, urbanisation, and the expansion of energy-intensive sectors such as data centres. Total electricity consumption is expected to rise from 90,000 million units (MUs) in 2023–24 to 400,000 MUs by 2047, with peak demand jumping from 16 GW to 80–90 GW.

RE Addition

To meet this rising demand, the state plans to add 21,000 MW of new generation capacity by 2047, with over 70–75% of the total from renewables, including solar, wind, round-the-clock clean energy, and advanced storage. However, shifting consumption patterns may necessitate up to 50,000 MW of grid capacity, twice the current planned capacity.

Odisha also aims to fully implement the PM-KUSUM scheme by 2036 to solarise all feasible irrigated farmland, promote solar pumps, and deploy micro-irrigation systems to reduce energy and water consumption. The state will set up a Green Energy Transition Fund to support early-stage clean energy investments. It also aims to commission 7 GW of pumped storage hydropower capacity by 2036 to enhance renewable energy integration and ensure grid stability. The state, through this transition, plans to mobilise over ₹38,000 crore in green infrastructure investments. Moreover, plans to launch workforce skilling programmes in areas such as rooftop solar installation and operations and maintenance (O&M) of clean energy systems. A dedicated inter-departmental war room chaired by the Chief Secretary will oversee the state’s energy expansion and green transition.

Planned Investment

Green Goals for 2047

Odisha is expanding solar, pumped hydro, green hydrogen, and biomass value chains to become a green energy exporter and clean tech manufacturing hub. It aims to be among the top five energy-exporting states, supplying power to southern and eastern India and beyond.

The government targets 33% green power consumption in industrial sectors and will maintain competitive tariffs to attract more investment. Over 50% of electrification in agriculture and households will be driven by state-specific programs like PM-KUSUM and PM Surya Ghar.

The green vision will require ₹2.5–3 trillion in investments over the next 12–15 years in generation, transmission, and distribution. This is expected to triple employment in the energy sector.

Key Implementation Measures

• Enable robust resource adequacy and project planning to meet 400,000 MUs of annual consumption and 80–90 GW peak demand, including institutionalised demand forecasting on a rolling five-year basis for high-growth zones like Bhubaneswar.

• Implement transmission expansion projects worth ₹800–1,000 billion, including tenders for intra- and inter-state grid infrastructure using the tariff-based competitive bidding (TBCB) route.

• Develop at least three dedicated green energy zones for industries primarily powered by renewables.