In the present machine-age energy resources are very important. One or other sources of energy drive various industries, means of transportation, tubewells, etc. Energy is amongst the basic requirement of man besides food, shelter and clothing. In present scenario, allmost, all the substances are obtained directly or indirectly with the help of energy resources: such as coal, petroleum, natural gas, etc. The per capita availability and consumption of the inanimate energy( primarily in the form of electricity) is an important index of the overall development of a country. With every development, there is an increase in the availability and consumption of energy resources. India annually consumes about three percent of the world's total energy. The country is the world's sixth largest energy consumer, and is in fact a net energy importer (source: DOE/EIA). The continued economic development and population growth are driving energy demand faster than India can produce it. The shortfall means the country will increasingly have to look to foreign sources of energy supplies, transported mostly via ship and pipeline. 

Hydro power and thermal power are  the primary sources of energy in Punjab, besides fuelwood and dung cakes in rural area. The total installed capacity of Punjab in 2000-01 was 4458 MW, in which hydro and thermal power contribution were 2328 MW and 2130 MW respectively. After industrial revolution coal and in the later half of nineteenth century petroleum, natural gas and water energy become the important sources of power. All of these are traditional sources of power. Except water power other traditional sources of power are exhaustible. These cause much pollution also. Therfore, there is a greater necessity for paying more attention to the development   and use of non traditional sources of energy, i.e  solar energy, wind energy , geo-thermal energy, gobar gas, bio mass, etc. which are free, inexhaustible and clean sources for our ecology. This necessity is all more greater for Punjab which has no coal and petroleum.

Increased energy input from renewable sources is required for the sustainable and qualitative growth of developing economies and habitat. It has also been realized that renewable energy sources maintain the balance in the ecosystem so adequate protection should be taken while exploiting these options.  It is, therefore, necessary to develop cost-effective renewable energy technologies along with efficient use of energy. 

Efficient use of energy means using improved equipment for better controls, thus saving a lot of money today for a sustainable future tomorrow. Using renewable energy sources such as solar power, wind energy, photovoltaic cells also helps to reduce GHG ( Green House Gases) emissions, which is necessary for a clean environment.