The green energy industry has long been demanding increased financing to tackle climate change, a key agenda in the ongoing climate change conference COP29. Meeting global climate goals will require over $1 trillion annually by 2030, far beyond the current commitments, Naveen Khandelwal, CEO, BrightNight India told Arunima Bharadwaj in an interview. It’s been fifteen years since the $100 billion annual target was set, and this year’s New Collective Quantified Goal (NCQG) aims to address the glaring gap. Khandelwal is optimistic that with the new NCGQ, capital flow will expand to under-served regions, ensuring a global transition to renewable energy. In India’s case, he highlighted that financing for new technologies and emerging markets remains tough.
What are likely to be the key focus areas and agendas in the COP29? What are your expectations?
COP29 could be the pivotal moment to establish a realistic financial strategy for climate action. It’s been fifteen years since the $100 billion annual target was set, and this year’s New Collective Quantified Goal (NCQG) aims to address the glaring gap. The core questions—how much, from whom, and to whom—need definitive answers to move forward. As weather extremes worsen and the IPCC warns of a potential 2.4°C rise, there is no denying the existence of climate change — the urgency of climate action is at an all-time high. A focus on funding adaptation finance for vulnerable nations, along with transparent financial structures, would hence be a powerful step.
This summit has the chance to create meaningful investment pathways, particularly for developing nations, balancing growth with green transition. Clarity on financial support could catalyze the global cooperation essential for our climate goals.
What do you have to say about the investment from developed and developing countries in achievement of RE goals as industry players have time and again urged for the need of more funding by the developed nations? How has the investment in the RE sector been over the last few years and how do you see the trend going forward?
Investment in renewables has grown, reaching around $500 billion annually, but remains unevenly distributed, heavily favouring developed nations. India has made impressive progress, now seeing annual investments of over $20 billion in renewables, thanks to strong policies and private sector confidence. However, the funding gap remains significant, especially for adaptation needs in more vulnerable nations. Meeting global climate goals will require over $1 trillion annually by 2030, far beyond current commitments.
Developed nations must step up their funding, especially for adaptation projects, while international financial institutions and the private sector have vital roles to play. With new frameworks like NCQG, I’m optimistic that capital flow will expand to underserved regions, ensuring a global transition to renewables.
What are the key challenges for the energy companies in realizing the ambitious targets set under COP conferences and tripling the RE till 2030? What can be done to mitigate these?
Tripling renewable capacity by 2030 is ambitious, but barriers loom large for certain countries, starting with capital access. In India’s case, financing for new technologies and emerging markets remains tough, affecting the pace of innovation. Energy companies also face logistical challenges like scaling infrastructure and ensuring grid stability amidst renewables’ intermittent nature, while recent trade headwinds add further complexity.
To address this, local governments can streamline regulations and provide stable policies that boost investor confidence. International institutions must increase financial support and risk mitigation, creating an ecosystem where energy companies can hit their targets and help drive a sustainable future.
What is your outlook on India’s renewable energy sector?
India’s renewable journey is impressive, with over 175 GW capacity and a path toward 500 GW by 2030. The “Panchamrit” pledge at COP26 set a bold precedent, backed by strong incentives for solar and wind. Yet, it’s been a tightrope walk for a country aiming for developed-nation status by 2047, as India realizes it cannot support its climate fight alone. Future success depends on global support—financial, technological, and political—so India can continue its green growth without trade-offs on economic ambitions.
I’m optimistic that with the right backing, India will lead by example, showing sustainable growth is possible for emerging economies.
How do you assess the outcome of COP28 and the action that followed?
COP28 saw promising steps, including the pledge to double adaptation finance to $300 billion per year by 2030 and a reaffirmation of the $100 billion annual climate finance goal. The Loss and Damage Fund’s official launch was significant, though its finer points remain in progress. But the real challenge is translating these pledges into action. For nations like India, the key will be accessing funds targeted at adaptation and resilience, as climate challenges intensify.
From Sharm el-Sheikh to Para, COP29 should bridge the gap, prioritizing global tech innovation and financing. As climate extremes grow and nations face pressing energy and geopolitical challenges, a strong, coordinated response is long overdue. COP29 must deliver on action and accountability, bringing in the funding commitments that vulnerable countries need to avoid bearing the climate burden alone.