Indian Railways (IR) is positioning itself as a bedrock of India’s decarbonisation strategy by achieving near-complete electrification of its network, transitioning from diesel to electric traction, and accelerating the adoption of renewable energy. This transformation signals a structural move towards a low-carbon rail system, aligned with India’s long-term energy security, climate commitments and environmental priorities.
Electrification of the network
The country has seen rapid electrification of the railway network, which has become the primary driver of IR’s decarbonisation strategy. Daily electrification rates increased from approximately 1.42 km per day between 2004 and 2014 to more than 15 km per day on average during the 2019-2025 period. Electrified track share expanded from 24 per cent in 2000 to 40 per cent by 2017, before crossing 96 per cent by the end of 2024. As of January 2026, IR has electrified 69,744 route km (rkm), covering roughly 99.4 per cent of the network. Of this, 46,900 rkm has been added during the 2014-2025 period alone.
Renewables powering rail operations
Parallel to electrification, IR has expanded renewable generation capacity to support its growing electric network. The transition is visible across stations and operational facilities nationwide. As of November 2025, IR has commissioned 898 MW of solar capacity, up from 3.68 MW in 2014, registering a nearly 244-fold increase. Solar infrastructure now spans 2,626 stations, embedding decentralised renewable generation into routine railway operations. Approximately 70 per cent (629 MW) of this capacity is directed toward traction use, directly supporting electric train movement and reducing dependence on conventional grid electricity. The remaining 269 MW serves non-traction requirements such as station infrastructure, workshops, service buildings and staff housing. This integrated deployment demonstrates how renewable energy is being institutionalised within both mobility and asset management functions, strengthening energy security while reducing carbon intensity.
Beyond on-site installations, IR is reshaping its energy ecosystem through large-scale renewable procurement and long-term supply strategies. As of November 2025, approximately 812 MW of solar and 93 MW of wind capacity have been commissioned specifically for traction requirements. Additionally, around 100 MW of renewable power under a round-the-clock (RTC) arrangement with the Solar Energy Corporation of India is operational, with a further 1,500 MW of hybrid RTC capacity – combining solar, wind and storage – contracted to ensure stable green power availability.
Zone-level green strategies
North Central Railway (NCR) has delivered measurable sustainability gains. It has achieved 100 per cent electrification across the Prayagraj division (1,210 rkm), Jhansi division (1,354 rkm), and Agra division (730 rkm), enabling 490 electric locomotives to operate while preventing about 0.5 million tonnes of carbon emissions annually and saving nearly 70 million litres of diesel each year. NCR’s adoption of head-on generation technology on 142 trains further reduced fuel consumption, saving 3,260 kilolitres of high-speed diesel and cutting over 2,000 tonnes of carbon emissions. The zone’s solar installations generated 11.87 MUs of clean electricity in FY 2024-25, with expansion plans targeting over 30 MW, reinforcing its pathway toward energy efficiency and net-zero goals.
Western Railway’s (WR) Mumbai Central division has installed nearly 12,500 energy-efficient brushless direct current motor fans at stations and service buildings. WR also achieved 100 per cent electrification of its broad-gauge network and expanded solar capacity across stations and offices to cut diesel use and lower its carbon footprint. It has further strengthened its sustainability strategy by installing organic waste convertors at key stations, transforming biodegradable waste into compost and reducing landfill emissions.
South Western Railway has completed the electrification of the 55-km Subramanya Roa-Sakleshpur stretch under the Mysuru-Hassan-Mangalore corridor, including the Hassan-Arsikere project, further strengthening India’s electrified rail backbone.
Freight forward
IR’s sustainability strategy extends beyond passenger operations into freight logistics. The development of Gati Shakti Multimodal Cargo Terminals (GCTs) is strengthening rail’s role as a lower-emission freight backbone. As of January 2026, 306 GCTs have been approved, with 118 commissioned and collectively capable of handling 192 million tonnes per annum. By enabling seamless intermodal connectivity across road, port and airport networks, these terminals incentivise a modal shift toward rail – a more energy-efficient alternative to road transport. Since 2014, an additional 2,672 million tonnes of freight have migrated to rail, avoiding an estimated 143.3 million tonnes of CO2 emissions. The adoption of engine-on-load practices, combined with modern freight infrastructure, is lowering idle running time, fuel consumption and emissions intensity. Integrated upgrades across signalling, overhead equipment and power supply systems are improving network reliability and energy efficiency. These measures ensure that sustainability gains are not limited to energy sourcing alone but are embedded in day-to-day operational practices across the railway ecosystem.
Replacing diesel in non-electrified operations
While renewable-powered electrification is transforming mainline operations, targeted efforts are also addressing the remaining diesel-dependent segments of the network. IR is systematically reducing its dependence on diesel traction by deploying battery-electric locomotives and battery-assisted diesel locomotives, with priority given to yard operations, shunting, short-haul services and last-mile freight movement – segments where diesel use persists despite extensive electrification. Within this framework, approximately 2,500 diesel locomotives have been identified for phased replacement or retrofit with battery-based propulsion systems, selected based on duty cycles and operational requirements. This targeted approach reduces diesel consumption and local air emissions in non-mainline operations while improving energy efficiency and lowering maintenance intensity.
Redefining rail mobility with low-carbon solutions
IR’s Vande Bharat Express has become an important pillar of its sustainability strategy by combining modern design with energy-efficient operations. As an indigenously developed semi-high-speed trainset, Vande Bharat uses regenerative braking systems that capture and reuse energy during deceleration, significantly lowering net electricity demand per trip compared to conventional locomotive-hauled trains, contributing to reduced traction energy consumption. As of December 2025, 164 Vande Bharat services were operational across the country, demonstrating strong ridership and shifting travellers from higher-emission road and air modes to rail. Looking ahead, IR plans to scale the Vande Bharat fleet dramatically – targeting about 800 trainsets by 2030 and around 4,500 trainsets by 2047 – embedding energy-efficient mobility at scale and reinforcing rail’s role in India’s long-term low-carbon transport pathway. Complementing this electrified fleet, as of December 2025, IR has also completed manufacturing its first indigenously designed hydrogen‑powered trainset on a pilot basis, as part of broader clean mobility initiatives.
IRFC’s green financing
Supporting the ongoing operational transition is a financing framework increasingly aligned with green investment principles. The Indian Railway Finance Corporation’s (IRFC) role in financing sustainability in IR has evolved significantly over the past decade. In 2017, IRFC issued a $500 million green bond, one of India’s early large-scale offshore green issuances, to refinance electric locomotive projects and support low-carbon rail investments. This bond, listed on the London Stock Exchange, marked a key milestone in mobilising climate-aligned capital for rail electrification and energy-efficient rolling stock. In January 2025, IRFC expanded its sustainability mandate beyond core rail assets by signing an MoU with the Railway Energy Management Company Limited (REMCL) to collaborate on financing renewable energy projects for the rail sector. By March 2025, IRFC had secured a bid to extend a rupee term loan of Rs 75 billion to NTPC Green Energy Limited and is also providing Rs 31 billion to a thermal power subsidiary of NTPC Limited. Additionally, its partnership with REMCL continues to support financing for renewable energy projects supplying power to IR. These financing measures are paving the way for IR to reach net-zero emissions.
In sum
IR is undergoing a structural shift in its approach to energy, infrastructure and climate responsibility. Electrification, renewable energy adoption, enhanced freight efficiency and the introduction of hydrogen trains are driving this shift. Most recently, IR has initiated discussions with the Department of Atomic Energy and Nuclear Power Corporation of India Limited to explore access to nuclear energy – specifically small modular reactors – to reliably meet a portion of the 10 GW of power it is projected to require annually by 2030. By integrating these advanced energy solutions, IR is positioning itself as a future-ready, low-carbon transport network that strengthens operational efficiency while supporting India’s broader sustainability and climate goals.
Simran Kapoor
