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Alternative energy sources are being promoted the worldover to replace polluting fossil fuels. For example, in many of the European countries it is mandatory for conventional power producers to purchase certain amount of renewable energy. More than 15 per cent of energy generated in the world comes from this ecofriendly sector. India has a vast potential for tapping solar energy, power from small hydroelectric projects, biogas plants and industrial and other waste plants. It stands fifth in wind power production in the world. Though India has made some strides, a sluggish bureaucracy and unfriendly policies of state governments have impeded the growth of the renewable energy sources. The Union government is yet to formulate a uniform policy on the green energy.
Alternative energy source or technologies | Unit | Potential | Achieved |
| Wind Power | megawatt (MW) | 45,000 | 1,267 |
| Small hydropower (up to 25 MW) | MW | 15,000 | 1,341 |
| Biomass power Biomass gasifiers Biomass congeneration | MW MW MW | 19,5000 16,000 3,500 | 308 35 273 |
| Urban and industrial waste-based power | MW | 1,700 | 15.20 |
| Solar photovoltaics | MW per square kilometre | 20 | 47 |
| Solar water heating | million square metre collector area | 140 | 0.55 |
| Biogas plants | Million | 12 | 3.1 |
| Improved biomass cooking stoves | Million | 120 | 33 |