India's clean energy transition's biggest potential lies in agriculture

India's clean energy transition can gain scale through agriculture, using decentralised renewable energy to cut post-harvest losses, create green jobs and boost farmer incomes across rural India

In a small village in Odisha, a group of women farmers turned rising temperatures into an opportunity. With support from the Harsha Trust, the Markoma Women Farmer Producer Company (FPO) — a collective of more than 460 farmers — set up a 5 metric tonne Ecozen solar-powered cold storage unit to serve local vegetable growers.

 

Piloted in 2018 after a careful assessment of farmer needs, the initiative has reduced post-harvest losses, improved productivity, stabilised prices through organised market linkages, and spread awareness of solar technology across neighbouring communities. This experience shows that reducing food loss requires not just better supply chains, but smarter energy systems.

 

India loses an estimated 30-40 per cent of its fruit and vegetables after harvest, often before they reach consumers. These invisible losses happen during transport, storage, and processing — all of which depend on reliable energy. Without it, food spoils quickly, farmers are forced to sell at distress prices, and emissions rise as produce rots. Yet discussions on food loss tend to focus on infrastructure and logistics while overlooking the energy systems that power them. A cold storage unit is useless without electricity; processing centres cannot run on intermittent power; even simple preservation techniques like drying increasingly rely on mechanical equipment. For smallholders, dependence on unreliable grids or diesel generators can be devastating.

 

India’s clean energy transition is usually framed around solar parks, wind farms, and electric mobility. But its most transformative, least discussed potential lies in agriculture. Decentralised renewable energy (DRE) solutions — solar mini-grids, rooftop systems, hybrid units — can power cold storages, dryers, and packaging facilities close to farms. These community-level systems reduce grid dependence, cut diesel use, and enable local ownership of energy assets.

 

Government schemes such as PM-KUSUM, the National Solar Mission, and the PM Surya Ghar Muft Bijli Yojana have already expanded renewable energy access in rural India. If these initiatives were strategically linked with agricultural value chains, they could help bridge the infrastructure gaps that drive post-harvest losses. DRE systems can reduce reliance on diesel, cut operating costs, and make cold storages and processing units viable even in remote areas. However, policy coordination remains limited. Agriculture and energy continue to operate in silos, with separate ministries, financing channels, and implementation pathways. Bridging these divides is essential if renewable energy is to address post-harvest losses effectively.

 

The employment potential of DRE is also significant. The International Labour Organization estimates India could generate 3.7 million new green jobs, much of it in renewable energy and its agricultural linkages. Building decentralised solar infrastructure requires technicians, electricians, logistics staff, and operators. Cold chain management and decentralised processing create additional local employment. A solar-powered cold storage unit is not just a piece of infrastructure — it is an enterprise that demands skills, coordination, and community ownership. These green jobs span the entire food system, reducing post-harvest losses while raising farmer incomes.

 

The clean energy transition also intersects with India’s rapid digital transformation in agriculture. Platforms like ITC MAARS offer artificial intelligence-based crop advisory, diagnostics, and market intelligence. But digital tools alone cannot resolve post-harvest challenges. Farmers need energy infrastructure to act on information: Cold storage to preserve produce, processing units to add value, and logistics to reach markets. Digital innovation can guide farmers on when to harvest; renewable energy ensures the harvest does not go to waste. Together, these twin transitions — smart advisory and smart energy — can strengthen rural resilience.

 

Technology, however, tells only part of the story. Across India, rural communities innovate using what is often dismissed as “jugaad” — improvised, low-cost solutions rooted in local knowledge. In renewable energy, these solutions are not stopgaps but context-specific designs. Farmers have adapted solar dryers from local materials, converted old refrigerated trucks into mobile cold storages, and set up community-run processing units. These small, decentralised interventions rarely appear in policy reports, yet they solve real problems where they arise. Too often, policy conversations frame success in terms of “scaling up,” assuming replication at national levels. But agriculture and energy systems are inherently place-specific. What works in the hills of Himachal Pradesh may not work in coastal Odisha. Instead of vertical scaling, India may benefit more from horizontal replication — enabling multiple, locally adapted solutions to flourish. DRE systems are naturally suited to this approach.

 

As India advances towards its 2070 net-zero target, linking renewable energy with food systems must become a national priority. Programmes like PM-KUSUM have shown how solar can power irrigation; similar linkages are needed for post-harvest systems such as cold storages, dryers, and processing hubs — especially in horticultural clusters prone to spoilage. Financing and skills remain key challenges, particularly for farmer collectives facing high upfront costs. Targeted credit, public-private partnerships, and green skills training can help bridge this gap.

 

When a woman farmer in Odisha saves her tomato harvest in a solar-powered cold storage, she shows how energy access can reshape the future of food. As India builds its green energy future, anchoring this transition in local, adaptive, community-led solutions is essential. Sometimes, what works best is what stays small — rooted in its own soil, yet capable of lighting the path towards a more resilient tomorrow.

The authors are assistant professors of economics at Vidyashilp University, Bengaluru, and the University of Delhi, respectively. The views are personal