An EY–ASSOCHAM report projects Odisha’s peak electricity demand to reach 10,564 MW by FY 2033–34, requiring 26,237 MW of total contracted capacity by that year.
Titled “Odisha Energy Transition – Chariots of Change,” the report states that Odisha is rapidly emerging as one of India’s most promising clean energy destinations. It highlights the state’s significant solar, wind and hydro potential, strong port ecosystem and clear policy direction—positioning it to support India’s 500 GW non-fossil target for 2030 and long-term net-zero vision for 2070. Odisha’s ports, its large industrial base, and plans for energy storage and green hydrogen give it a unique opportunity to attract investment and become a green manufacturing hub for Eastern India.
The report notes that Odisha’s port ecosystem provides a competitive edge for exports to Japan, Korea and the EU, with several global companies exploring green hydrogen and ammonia projects along the eastern coastal corridor.
“Odisha’s strong foundation for green industrialisation is anchored in its port-based ecosystem at Paradeep, Dhamra and Gopalpur, its substantial renewable energy potential, and progressive incentives for green infrastructure and captive generation. The state’s 34 GW of pumped storage potential positions it to lead India’s energy storage transformation, enabling 24×7 renewable power and enhancing grid stability,” said Somesh Kumar, Partner and Leader, Power & Utilities, EY India. “Targeted fiscal and regulatory measures such as electricity duty exemptions, tariff reimbursements, capital subsidies and SGST reimbursements are enabling industries to adopt clean technologies and lower their carbon footprint.”
The report recommends:
- Setting up of a strategic State Energy Planning & Transformation Unit for integrated planning across renewables, pumped storage, hydrogen, ports, transmission, land-pooling and finance mobilization.
- Standardized PPP procurement templates for design-build finance-operate (DBFO) PSPs, energy parks and hydrogen hubs, which include risk allocation tables, revenue stacking frameworks (capacity payments, ancillary services, merchant sales) and dispute resolution mechanisms. These templates can accelerate competitive bidding and create predictable risk-return profiles.
- State-level blended climate finance vehicle, combining concessional donor/ MDB capital with private co-investment, to underwrite first-loss for PSP, large-scale PSP + RE hybrid and hydrogen anchor projects.
- Design modular curricula for RE O&M, PSP operation, electrolysis plant operation, hydrogen safety and battery assembly. Implement a Just Transition Fund to finance reskilling of coal-sector workers.
The EY – ASSOCHAM report calls for a coordinated industry–government approach to scale renewable deployment, operationalize hydrogen hubs, accelerate storage projects, and enhance energy efficiency across industrial clusters such as Angul, Jharsuguda, and Rourkela.
It concludes that Odisha’s energy transition anchored in policy clarity, industrial commitment, and natural advantage can set a national benchmark for integrated, resilient and inclusive clean energy development, crucial for achieving India’s net-zero ambition by 2070.
