Backed by strong renewable resources, a world-class port ecosystem and progressive policy support, Odisha is poised to lead India’s transition in pumped storage, green hydrogen and low-carbon manufacturing—positioning Eastern India as a globally competitive clean energy hub.
Odisha is emerging as one of India’s most promising clean energy destinations, driven by strong natural advantages, progressive policy support and rapidly growing industrial demand, according to the latest EY–ASSOCHAM report titled “Odisha Energy Transition – Chariots of Change.” The study positions the state as a major contributor to India’s renewable energy push and long-term net-zero goals.
The report highlights that Odisha’s substantial solar, wind and hydro resources—combined with its robust port ecosystem—can support India’s clean energy targets for 2030 and create a resilient green manufacturing hub for Eastern India. The state’s accelerated plans for pumped storage, energy storage systems and green hydrogen production are expected to attract significant domestic and global investments.
Somesh Kumar, Partner and Leader – Power & Utilities, EY India, stated that Odisha’s green industrialisation is being fuelled by its port-based ecosystem at Paradeep, Dhamra and Gopalpur, strong renewable energy potential and policy incentives. “The state’s 34 GW of pumped storage potential positions it to lead India’s energy storage transformation, enabling 24×7 renewable power and boosting grid stability,” he noted. He added that measures including electricity duty exemptions, tariff reimbursements and SGST incentives are helping industries transition to low-carbon energy.
Echoing the outlook, Shri Pankaj Lochan Mohanty, Chairman, Odisha State Development Council, ASSOCHAM, said Odisha stands at the “intersection of industrial scale, renewable abundance and a world-class port ecosystem,” giving it one of the strongest clean energy value propositions in the country. He added that the state is ready to lead in pumped storage, green hydrogen and low-carbon manufacturing, shaping Eastern India into a globally competitive hub for clean energy.
Key Insights from the EY–ASSOCHAM Report
- Odisha’s coastal logistics advantage strengthens green hydrogen and ammonia export opportunities to markets such as Japan, Korea and the European Union.
- Multiple global companies are evaluating green hydrogen and ammonia projects across the eastern coastal corridor.
- The state’s peak electricity demand is projected to reach 10,564 MW by FY 2033–34, requiring 26,237 MW of total contracted capacity additions to ensure reliability and industrial expansion.
Policy Recommendations
The report calls for a coordinated and long-term transition strategy, including:
- A dedicated State Energy Planning & Transformation Unit for integrated planning across renewables, pumped storage, hydrogen, ports, transmission and finance.
- Standardized PPP procurement templates to fast-track competitive bidding for pumped storage projects, hydrogen hubs and energy parks.
- A state-level blended climate finance vehicle to de-risk large-scale clean energy projects and mobilize global capital.
- Reskilling and workforce development initiatives to support clean energy industries and ensure a just transition for workers shifting from coal-linked sectors.
The report emphasises the need for collaboration between industry and government to unlock renewable deployment, operationalize hydrogen hubs, and boost energy efficiency across industrial clusters—including Angul, Jharsuguda and Rourkela.
Concluding its findings, the EY–ASSOCHAM report asserts that Odisha’s energy transition—rooted in policy clarity, industrial intent and natural advantage—can set a national benchmark for sustainable, resilient and inclusive development. The authors note that Odisha’s clean energy leadership will be crucial for achieving India’s net-zero ambitions by 2070.