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Himachal Pradesh State

Critical minerals, policy, and the energy transition

The Energy Transition in Himachal Pradesh, India

Himachal Pradesh, hill state straddling the western Himalaya, already runs mainly on its fast rivers. Of 11.2 GW installed capacity, about 9.4 GW is hydro, allowing the state to export surplus clean power into the northern grid. The government now targets 15 GW of hydro and 500 MW of solar by 2030, adding run-of-river schemes such as the 2 GW Chenab cascade, the 780 MW Jangi-Thopan and the 500 MW Dhaulasidh. Rooftop and floating PV on reservoir fringes at Koldam, Bhakra and Pong are under tender, while a 1 GWh pumped-storage pilot at Larji will absorb spring snow-melt surpluses and firm evening demand. Manali already hosts a small fleet of green-hydrogen fuel-cell buses, and the Satluj valley is being assessed for a 100 MW electrolyser cluster linked to round-the-clock hydropower. Geologically, Himachal sits astride the Tethyan metallogenic belt. Tungsten and molybdenum showings occur in Lahaul-Spiti and Kinnaur, barite and rock salt are worked in Mandi and Kangra, and high-grade limestone in Sirmaur feeds a cement sector testing low-carbon kilns. Graphite traces in Chamba may support future anode projects. By blending high-head hydro, emerging solar and niche critical minerals, Himachal Pradesh is positioning itself as a resilient clean-energy and materials hub for the Himalaya.

Critical Minerals produced in Himachal Pradesh
Essential Mineral Production and Products in Himachal Pradesh

A state-by-state analysis of India’s critical minerals and energy transition policies

SFA explores the state-level frontlines of India’s strategy to secure its position in the global energy transition. As demand surges for critical minerals used in electric vehicles, grid storage, solar, and hydrogen technologies, India is intensifying efforts to diversify supply, localise processing, and reduce strategic dependencies. This analysis examines how mineral endowments, state-level industrial policy, and renewable energy deployment intersect across the Indian landscape. From lithium-bearing pegmatites in Karnataka and Jammu & Kashmir to rare-earth-rich coastal sands in Tamil Nadu and Odisha, this state-by-state review highlights the opportunities and constraints shaping India’s clean-energy future and its role in global mineral security.

LithoX | Critical Minerals and the Global Energy Transition

The global energy transition to net zero is underway. Who is leading? How are supply chains being secured? How do the geopolitics vary? SFA (Oxford) provides a global overview of critical minerals, policy and legislation.

Asia

Asia's diverse geology includes significant rare earth reserves crucial for electronics and renewable energy technologies. Countries like China lead production and processing, driving economic growth while facing sustainability challenges and environmental impact.

Meet the Critical Minerals team

Trusted advice from a dedicated team of experts.

Henk de Hoop

Chief Executive Officer

Beresford Clarke

Managing Director: Technical & Research

Jamie Underwood

Principal Consultant

Ismet Soyocak

ESG & Critical Minerals Lead

Rj Coetzee

Senior Market Analyst: Battery Materials and Technologies

How can we help you?

SFA (Oxford) provides bespoke, independent intelligence on the strategic metal markets, specifically tailored to your needs. To find out more about what we can offer you, please contact us.

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