Earth Day 2025: Why India’s climate response will shape the world’s energy future

People around the world are coming together to celebrate Earth Day on Tuesday, April 22, with the powerful theme — “OUR POWER, OUR PLANET”. This isn’t just a catchy phrase — it’s a call for action. The goal is to triple the amount of clean electricity we produce by 2030. To make this happen, countries everywhere must work together — but countries like India have a very important role to play.

“This Earth Day, the theme ‘Our Power, Our Planet’ serves as a reminder of the collective role we play in shaping a more sustainable future. It’s a moment to reflect on how innovation, collaboration and long-term thinking can support the global transition to clean energy. As we look ahead to 2030 and beyond, advancing technologies like energy storage will be essential to expanding renewable capacity and building resilience into our power systems,” says Dhanya Rajeswaran, Global Vice President and Country Managing Director – India, Fluence.

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India has a fast-growing economy, a large population and is facing more and more climate-related problems like heatwaves and water shortages. This puts India right at the centre of the climate crisis. But it also gives the country a chance to lead the way in moving toward clean, renewable energy. While Earth Day is a global event, for India, it’s also a wake-up call to act now.

“This is not a hypothetical situation anymore,” says Rajesh Patel, CEO of Indian ESG data intelligence firm Snowkap. “Extreme heat is directly affecting operations. When temperatures rise above 45°C, factory floors can feel like blast furnaces and outdoor work stops.”

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In India’s manufacturing corridors — whether it’s the industrial belts of Gujarat, the logistics hubs of Maharashtra or the garment centres in Tamil Nadu — this scenario is not the future. It’s happening now.

India’s energy challenge in an age of extremes

India’s energy system is under unprecedented pressure. Economic growth, urbanisation and electrification are all increasing demand on a grid already vulnerable to weather extremes. Add to that the fact that India just recorded its hottest pre-monsoon season in years and the problem becomes acute.

“Power exhaustion driven by unprecedented demand is resulting in unplanned downtimes. Water scarcity is adding another layer of disruption,” Patel warns. Industries that rely on water for cooling, cleaning or production — such as food processing, pharmaceuticals or textiles — are feeling the pinch. “This is a wake-up call for businesses to embed climate buffers into their operations, not just for resilience but for survival in the coming season.”

According to an AFP report, the Indian Meteorological Department (IMD) has forecast above-normal maximum temperatures across most of the country this summer, with up to 10 heatwave days or more, especially in eastern India. Traditionally, India records around four to seven such days. The implication? India is rapidly heading toward a new climate normal and the energy sector must evolve accordingly.

When the climate crisis hits the corporate bottom line

In India, where SMEs make up a huge portion of the economy and where labour-intensive industries drive exports and employment, heatwaves aren’t just an environmental issue — they are a direct economic threat.

“Once climate hits the P&L, ESG (Environmental, Social and Governance) becomes a boardroom priority. A flood that shuts down a warehouse or a heatwave that halts production is no longer someone else’s problem. It’s an operational crisis, a reputational risk and a signal that reactive compliance won’t cut it,” says Patel.

This is especially relevant to sectors like agriculture, logistics and FMCG where the cost of disruption can be immense and felt across the supply chain—from rural producers to urban retailers.

India, therefore, must think beyond short-term disaster relief and move toward long-term ESG-aligned planning, particularly in the energy and water-intensive sectors.

Closing the ESG gap

Patel highlights a growing chasm between intent and implementation. “The desire is there, but the execution gap is wide,” he explains. While larger Indian companies are beginning to adopt Business Responsibility and Sustainability Reporting (BRSR) standards, many still struggle with fragmented systems and outdated tools like spreadsheets.

For India’s vibrant but underserved MSME sector, the challenge is even more acute. “They want to comply but lack the systems, staff and training to do so meaningfully,” he says.

As investors and regulators raise the bar on environmental transparency, Indian businesses must evolve from periodic, compliance-driven reporting to continuous, real-time ESG visibility. “It’s not about chasing numbers once a year — it’s about building a culture of measurable sustainability across the board.”

India’s digital edge

If India is to lead on ESG, technology will be its biggest enabler.

“ESG data today is more than a reporting tool — it’s a predictive engine,” says Patel. “Companies are beginning to overlay operational data with climate risk maps, satellite insights and regional forecasts to understand what’s coming down the line.”

This can mean pre-emptively adjusting factory schedules based on expected water shortages in Rajasthan or rerouting transport to avoid high-heat corridors in central India. “It’s a different mindset—one that prioritises preparedness over reaction,” he says.

And with rising urban temperatures and rural water scarcity now the norm, this kind of ESG foresight could be the difference between growth and collapse.

Greening India’s supply chains

India’s vast supply chains — from cotton to cars — have historically been focussed on price and volume, not environmental impact. But that’s changing. “Procurement is no longer just about price, but it’s about risk, resilience and long-term alignment,” says Patel.

Indian firms are now asking: What’s the carbon footprint of this supplier in Surat? How much groundwater does this production unit in Tiruppur consume? Are renewables being used in this unit in Noida?

“This isn’t about punishing suppliers — it’s about creating a shared standard and a roadmap for improvement,” Patel explains. “With better ESG visibility, companies can benchmark performance, introduce sustainability clauses in contracts and build greener, more future-proof supply chains.”

For India, where the bulk of emissions and inefficiencies lie in supply networks, this shift could be transformational.

India’s triple threat

According to a Times of India report, climate change is no longer a background issue — it is affecting public health, infrastructure durability and urban survival.

With concrete-heavy cities like Delhi, Ahmedabad and Kolkata turning into heat islands, the risks are severe. According to the World Health Organisation, heat kills at least half a million people annually and many of them are in the Global South.

The IMD has called for comprehensive heat action plans in India that include urban cooling centres, heat advisories and strategies to reduce the urban heat island effect, the AFP reported. ESG-linked planning can support this by aligning corporate operations with climate resilience strategies.

Tripling clean energy

India has made strong progress in renewable energy, especially in solar and wind power. But reaching the Earth Day 2025 goal of tripling clean electricity by 2030 will require even faster action, stronger policies, and greater investment from both the government and the private sector. The country has made strides in solar and wind, yet coal still dominates its energy mix.

The private sector must step up. ESG analytics, backed by predictive models and supplier-level insights, will allow Indian companies to decarbonise faster and more efficiently. “ESG intelligence is evolving into something dynamic and immediate, giving leaders the clarity they need to take smart action before losses set in,” says Patel.

Tripling clean energy is not just about installing more solar panels—it’s about changing how companies consume, produce and procure energy at scale.

On Earth Day 2025, the world looks to countries such as India to lead the renewable revolution, not just because it’s necessary, but because India has the scale, skill and spirit to make it happen. India’s power lies not just in megawatts — but in its people, its data, its decisions and its global example.