The case of cooling-as-a-service in India

The scale of the opportunity

• India’s cooling market is projected to reach $30 billion by 2030.
• Sustainable cooling represents an estimated $1.5 trillion investment opportunity by 2040.
• Commercial-building assessments indicate potential payback periods of approximately 4–7 years and unlevered returns of 13–25%.
• In the paper’s Gurugram case study, CaaS reduced modeled upfront capital costs by 60% and total lifecycle costs by approximately 20%.
• The same case indicated potential energy and carbon reductions of 50–65%.

Why the model works

Cooling-as-a-Service replaces a large upfront equipment purchase with a predictable service fee, while the provider retains responsibility for the system’s performance and maintenance. This aligns financial returns with long-term efficiency—making sustainable cooling not only an environmental necessity, but a commercially compelling investment.