India, other BRICS nations call for increased concessional financing for low-carbon energy transition

New Delhi | India along with BRICS countries has called for increased concessional and low-cost financing from developed nations to help emerging nations transition towards low-carbon energy usage.

Union Minister for Power Manohar Lal is leading a delegation to attend the BRICS Energy Ministers' Meeting which began on May 19 in Brazil.

Apart from India and Brazil, BRICS countries include Russia, China, South Africa, Egypt, Ethiopia, Indonesia, Iran and the United Arab Emirates.

"Affirming each country's right to determine its own energy transition path and pace, the ministers advocated efficient use of all energy sources and called for increased concessional and low-cost financing from developed to developing nations," a power ministry statement said on Tuesday.

The energy ministers also highlighted the role of the New Development Bank (NDB) in promoting sustainable energy infrastructure, especially through local currency financing.

At the Energy Ministers' meeting, the participants called for stronger partnerships, supported open, fair, and non-discriminatory international energy markets, and encouraged the use of local currencies in energy trade, the statement said.

The ministers also advocated for the adoption of fair, transparent, and consistent guidelines for assessing carbon intensity, energy classification, and mutual recognition of taxonomies and certifications.

Underscoring energy security as vital for socio-economic development, they highlighted the importance of market stability, resilient infrastructure, diversified energy sources, and critical minerals for clean technologies.

In his address, Lal underscored the vital role of fossil fuels in the global energy mix -- especially for developing countries -- and urged greater cooperation to promote their cleaner and efficient use through technologies such as coal gasification, carbon capture and storage, and green chemical innovations.

BRICS energy ministers reaffirmed their commitment to strengthening energy security and advancing UN Sustainable Development Goal 7 (SDG 7), focusing on universal electricity access, clean cooking, and tackling energy poverty.

"They emphasised the need for just, inclusive, and balanced energy transitions in response to climate change," the statement said.

Highlighting India's achievements in the energy sector over the past decade, Lal said the country has increased its electricity capacity by 90 per cent to reach 475 GW in 2025 and aims to achieve 900 GW by 2032.

Besides, India is launching a domestic carbon credit market, and invites interested players from across the globe for collaborations, Lal said.

As per the statement, the BRICS ministers have also reaffirmed the goal to double energy efficiency by 2030 and emphasised enhanced cooperation and knowledge sharing.