Nasscom: Indian IT firms cut energy use, expand remote work amid Middle East tensions

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Nasscom: Indian IT firms cut energy use, expand remote work amid Middle East tensions

Synopsis

Following PM Modi's appeal to reduce fuel consumption amid Middle East tensions, Nasscom says India's IT industry is already acting — cutting campus energy use and expanding hybrid work. The sector's distributed delivery models mean the response is structural, not reactive, signalling resilience built over years of business continuity planning.

Key Takeaways

Nasscom on 11 May 2025 confirmed Indian IT firms are adopting energy-saving measures and expanding remote work amid Middle East tensions.
Measures include optimising non-essential campus energy consumption, rationalising facility services, and enabling hybrid work where operationally feasible.
The industry body noted these steps are not new but part of the sector's existing operational resilience and sustainability strategy.
The statement follows PM Narendra Modi's appeal to citizens and organisations to reduce fuel consumption and adopt work-from-home practices.
Nasscom said it is closely monitoring the geopolitical situation and is engaged with government authorities for a coordinated response.

Nasscom, India's apex IT industry body, on Monday, 11 May said technology companies across the country are adopting prudent energy management measures and enabling remote or hybrid work arrangements wherever operationally feasible, amid ongoing tensions in the Middle East. The move follows a recent appeal by Prime Minister Narendra Modi urging citizens and organisations to reduce fuel consumption and embrace work-from-home practices.

What the Industry Is Doing

In a formal statement, Nasscom said companies are optimising non-essential energy consumption across their campuses, rationalising select facility services, and allowing remote or hybrid work in operationally suitable roles. "In light of the ongoing Middle East tensions, companies have adopted prudent energy management measures across campuses, including optimising non-essential consumption, rationalising select facility services, and enabling remote or hybrid work where operationally appropriate to reduce overall energy usage and commuting," the industry body said.

The body was careful to note that these are not emergency responses but extensions of frameworks already in place. "These measures are not new but are part of the industry's broader approach to operational resilience and sustainability," it added.

Hybrid Work Already the Norm

Nasscom pointed out that India's technology sector has long operated on well-established hybrid work models, calibrated according to role requirements and client needs. The sector's distributed delivery infrastructure allows companies to maintain seamless operations with flexibility, ensuring uninterrupted service delivery even under geopolitical stress. "India's technology sector has well-established business continuity frameworks and distributed delivery models, which enable seamless operation with flexibility when required while ensuring uninterrupted service delivery," the body noted.

Geopolitical Context

The statement comes against the backdrop of escalating tensions in the Middle East, which have prompted concerns over energy supply chains and fuel price volatility globally. PM Modi's appeal to reduce fuel consumption reflects the government's proactive approach to managing potential supply-side pressures on the domestic economy. India's IT sector, which employs millions and operates sprawling campuses across major cities, is among the country's largest institutional consumers of energy.

Monitoring and Coordination

Nasscom stated that it is closely monitoring the evolving geopolitical situation and remains in active engagement with industry stakeholders and government authorities. "While this remains an evolving situation, we are closely monitoring developments and remain engaged with industry stakeholders and government authorities to ensure a coordinated and responsible response," it said. The body's proactive communication signals the sector's intent to align with national priorities without disrupting client commitments. How long such measures remain in effect will depend on how the situation in the Middle East develops in the coming weeks.

Point of View

But it also reflects a genuine structural reality. India's IT sector has spent years building distributed delivery models, and that investment now doubles as geopolitical risk insulation. The more important question is whether smaller tech firms and BPOs without mature business continuity frameworks are equally prepared. Nasscom's response covers the sector's top tier; the mid-market and captive units are a different story.
NationPress
12 May 2026

Frequently Asked Questions

Why is Nasscom encouraging energy-saving measures now?
Nasscom is responding to ongoing Middle East tensions and a recent appeal by PM Narendra Modi urging organisations to reduce fuel consumption. The industry body says IT companies are extending existing energy management and hybrid work practices to support national conservation efforts.
What specific measures are Indian IT companies taking?
Companies are optimising non-essential energy consumption across campuses, rationalising select facility services, and enabling remote or hybrid work arrangements where operationally appropriate. These steps aim to reduce both overall energy usage and employee commuting.
Is work-from-home new for India's IT sector?
No. Nasscom clarified that the technology industry already operates on well-established hybrid work models calibrated to role requirements and client needs. The current measures are an extension of existing business continuity frameworks, not an emergency shift.
How is Nasscom coordinating with the government on this?
Nasscom said it is closely monitoring the evolving geopolitical situation and remains engaged with industry stakeholders and government authorities to ensure a coordinated and responsible response, though specific details of those consultations were not disclosed.
Which companies are affected by these measures?
The measures apply broadly to technology companies across India operating under Nasscom's umbrella. The industry body did not name specific firms, but the directive covers campus operations and delivery models sector-wide.
Nation Press
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