Energy Dynamics in the Indian Economy: A Systematic Review of Consumption Patterns, Growth Nexus, Causality, and Energy Security

Sanjiv Sarkar *

Department of Economics, Faculty of Arts, Annamalai University, Annamalai Nagar, Chidambaram, Tamil Nadu, 608002, India.

B. Mathavan

Department of Economics, Faculty of Arts, Annamalai University, Annamalai Nagar, Chidambaram, Tamil Nadu, 608002, India.

*Author to whom correspondence should be addressed.


Abstract

This study provides a comprehensive systematic review of India’s energy sector, focusing on four key dimensions: energy consumption patterns, the energy–economic growth nexus, causality relationships, and energy security. The review is based on peer-reviewed literature sourced from Scopus and Web of Science databases covering the period 2001–2026. A structured selection process was employed using predefined keywords, inclusion and exclusion criteria, and a multi-stage screening method, resulting in 64 relevant studies for detailed analysis. The findings reveal that energy consumption in India is strongly driven by industrialization, urbanization, and income growth, though significant sectoral and regional disparities persist. The energy–growth relationship remains inconclusive, with evidence supporting unidirectional, bidirectional, and neutrality hypotheses depending on methodological approaches and data structures. The review also highlights that India’s continued dependence on fossil fuel imports poses critical energy security challenges, despite increasing adoption of renewable energy. A key contribution of this study lies in its comparative and integrative analysis, which identifies methodological inconsistencies, structural heterogeneity, and gaps in existing literature—particularly in disaggregated and region-specific studies. The study concludes by emphasizing the need for multidimensional policy frameworks that align economic growth with sustainability and energy security objectives, offering clear directions for future research and policy formulation.

Keywords: Energy consumption, energy–growth nexus, Granger causality, renewable energy, sustainable development, Indian economy


How to Cite

Sarkar, Sanjiv, and B. Mathavan. 2026. “Energy Dynamics in the Indian Economy: A Systematic Review of Consumption Patterns, Growth Nexus, Causality, and Energy Security”. Journal of Energy Research and Reviews 18 (4):61-80. https://doi.org/10.9734/jenrr/2026/v18i4507.

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