Corporate Energy Transition in India: A Firm-Level Analysis of Energy Intensity and Renewable Energy Adoption

Abstract

This study explores the recent trends in industrial energy consumption and the relationship between energy intensity and renewable energy adoption across NSE-50 listed large-cap Indian companies over two financial years (202224). The study looks at energy data reported from publicly disclosed reports and analyses how the level of energy intensity affects adoption and transition towards renewable energy. The study uses descriptive statistics, linear regression models and non-parametric tests to test five hypotheses linking energy efficiency and renewable energy. The findings show a statistically significant inverse relationship between the level of energy intensity and Renewable Energy adoption, with the energy-intensity sector group emerging as a stronger predictor of Renewable Energy adoption. The findings reveal an uneven and polarised transition in corporate India, where a set of low-energy intensity firms are transitioning significantly faster than others.