India poised to become top global energy consumer as data centre capacity surges

The International Energy Agency’s World Energy Outlook 2025 projects that India will become the world’s largest driver of energy demand by 2035, outpacing China and Southeast Asia combined. Rapid urbanisation, a rising middle class and a per‑capita GDP expected to be 75 % higher than today will lift oil consumption from 5.5 million barrels per day in 2024 to 8 million barrels by 2035, while non‑fossil power capacity is set to rise from 50 % to 70 % of installed capacity.

At the same time, India’s data‑centre capacity is forecast to reach between 3.4 GW and 3.6 GW by 2030, with hyperscalers such as Amazon Web Services, Microsoft and Google expected to account for about 90 % of the demand. Supply‑chain constraints and power‑availability issues could keep operational capacity below announced targets, and AI‑focused facilities are 10‑15 % more capital‑intensive than traditional builds. The combined growth of energy use and digital infrastructure underscores India’s expanding role in both global energy markets and the digital economy.