India's Path to Global Steel Competitiveness Lies in Rapid Decarbonization and Renewable Energy Initiatives

At the forefront of India's steel industry transformation, Pradip Kumar Das, Chairman and Managing Director of the Indian Renewable Energy Development Agency (IREDA), articulated a vision for the future during the recent India Steelex 2025 conference. He underscored the critical role that rapid decarbonization, underpinned by innovative financing and renewable energy, plays in establishing India's global competitiveness in the steel sector.

Speaking to an audience of policymakers, industry leaders, and financiers at the Bombay Exhibition Centre, Das outlined the multifaceted approach required for the production of green steel. He identified four essential drivers: renewable energy, green hydrogen, electric arc furnaces utilizing scrap, and effective carbon capture technologies, all supported by a clear and robust green taxonomy. This taxonomy, he argued, is vital for ensuring statutory clarity, establishing transparent benchmarks, and fostering investor confidence in emerging technologies like Carbon Capture Utilization and Storage (CCUS).

Highlighting India's impressive progress in clean energy, Das revealed that as of August 2025, the nation boasts a renewable capacity of approximately 242 GW, with nearly half of its power generation coming from non-fossil sources. The addition of 22 GW in just five months of the fiscal year demonstrates a remarkable momentum, particularly as Maharashtra leads initiatives such as PM KUSUM, which aims to solarize agriculture.

Das emphasized the necessity of Renewable Purchase Obligations (RPOs) to maintain demand in the sector, noting that about 80% of India's renewable capacity has been developed by private entities. This reality underscores the importance of mobilizing large-scale capital to support the industry's growth.

Reflecting on IREDA's significant contributions over nearly four decades, Das reported that the agency has financed over ₹1.63 lakh crore with minimal write-offs, showcasing strong governance and recovery standards. He reiterated IREDA's commitment to de-risking emerging sectors, from green hydrogen to solar manufacturing, enabling India to not only adopt but also manufacture and export critical technologies.

Furthermore, Das outlined key financing instruments such as concessional and blended finance, green bonds, ESG-linked debt, and green public procurement, all essential for scaling up green steel production. He concluded with a call to action, asserting that "Make in India steel" must excel globally, not just in volume, but in quality and sustainability, as the nation charts its path toward a more sustainable industrial future.