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How is India Embracing and Expanding Renewable Energy Initiatives?

India’s renewable energy journey has been marked by remarkable progress and ambitious targets, reflecting its commitment to a sustainable future. At the heart of this transformation lies the goal of achieving 500 GW non-fossil fuel-based energy capacity by 2030, a target announced during COP26. This vision, combined with a strategic mix of policy support, infrastructure development, and international collaboration, positions India as a global leader in renewable energy.


Scaling Renewable Energy Capacity


India has already crossed a significant milestone, with renewable energy capacity exceeding 200 GW as of late 2024. This accounts for 46.3% of the country’s total installed electricity capacity, showcasing its dedication to diversifying the energy mix and reducing dependence on fossil fuels. Solar power leads this transformation, with an installed capacity of 94.16 GW, followed by wind energy at 47.95 GW, hydroelectric power at 46.92 GW, and bioenergy at 11.32 GW. Together, these sources form a robust renewable energy foundation, driving the country toward its ambitious 2030 goals.


Infrastructure and Renewable Energy Zones


A cornerstone of India’s renewable energy strategy is its investment in large-scale infrastructure. To integrate 66.5 GW of renewable energy, transmission schemes spanning states like Rajasthan, Gujarat, Maharashtra, and Tamil Nadu are under various stages of implementation. Additionally, 181.5 GW of Renewable Energy Zones have been identified in eight states, including Andhra Pradesh, Karnataka, and Telangana, with provisions for hybrid systems and Battery Energy Storage Systems (BESS).


The expansion of the Inter-State Transmission System (ISTS) further underlines India’s commitment to scaling renewable energy. The network will add 51,000 circuit kilometers of transmission lines and 4,33,500 MVA of transformation capacity at an estimated cost of ₹2,44,000 crore. These investments ensure seamless integration of renewable energy into the grid, bolstering energy security and reliability.


Government Policies Driving Growth


India’s renewable energy progress is backed by forward-looking policies and initiatives. The government’s liberalized Foreign Direct Investment (FDI) policy permits 100% FDI under the automatic route for renewable energy projects. This has attracted significant international investments and fostered the growth of an indigenous supplier ecosystem for solar, wind, and green hydrogen technologies.

Other key initiatives include waivers on inter-state transmission charges for solar and wind power projects commissioned by June 2025, as well as for green hydrogen projects until December 2030. The Renewable Purchase Obligation (RPO) trajectory ensures that utilities and industries meet their clean energy targets, while the Production Linked Incentive (PLI) scheme for solar PV modules boosts domestic manufacturing capacity.


Programs like the National Green Hydrogen Mission, PM-KUSUM, and PM Surya Ghar further illustrate the government’s commitment to fostering renewable energy adoption. Solar parks, for instance, have been sanctioned across 12 states, each with capacities of 500 MW or more, to accelerate the deployment of solar power. Additionally, the “Sustainable Alternative Towards Affordable Transportation” (SATAT) initiative promotes the use of Compressed Bio-Gas (CBG) in automotive fuels, contributing to a cleaner energy landscape.


Leading States in Renewable Energy

Several states have emerged as frontrunners in renewable energy adoption. Rajasthan leads with 29.98 GW of installed capacity, leveraging its vast land and abundant sunlight. Gujarat follows closely with 29.52 GW, driven by its proactive policies and focus on solar and wind energy. Tamil Nadu and Karnataka also make significant contributions with 23.70 GW and 22.37 GW, respectively. These states’ efforts highlight the regional diversity and potential of India’s renewable energy resources.


Future Prospects and Global Leadership


India’s renewable energy vision extends beyond its 2030 targets. The government’s plan to expand wind energy capacity to 99.9 GW by 2029-30 underscores its focus on harnessing coastal and inland wind corridors. Offshore wind projects in Gujarat and Tamil Nadu are set to play a pivotal role, supported by viability gap funding and strategic policies like the “National Repowering and Life Extension Policy for Wind Power Projects” and “Offshore Wind Energy Lease Rules, 2023.”

The development of Green Energy Open Access Rules and the Green Term Ahead Market (GTAM) facilitates renewable energy trade and ensures timely payments to generators. These measures, coupled with investments in research and development, position India as a hub for innovation in renewable energy technologies.


Conclusion


India’s renewable energy journey is a testament to its strategic foresight and commitment to sustainability. By achieving over 200 GW of installed capacity and setting ambitious goals for 2030, the country is on track to lead the global shift toward clean energy. The integration of solar, wind, hydro, and bioenergy, supported by robust infrastructure and forward-looking policies, ensures a resilient and diversified energy future.

As India progresses toward its 500 GW non-fossil fuel capacity target, its efforts will not only enhance energy security but also contribute significantly to addressing climate change and fostering inclusive growth. By embracing renewable energy, India is lighting the way for a sustainable and prosperous future.

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