50% Of India's Installed Power Capacity Now Non-Fossil Fuel: MNRE

(MENAFN- KNN India) New Delhi, Dec 23 (KNN) India achieved a major climate milestone in 2025, with 50 percent of its installed power generation capacity now coming from non-fossil fuel sources, five years ahead of its 2030 Paris Agreement target.

The country's total installed generation capacity stands at about 510 GW, comprising 247 GW from fossil fuels and 262 GW from non-fossil sources, including 254 GW from renewable energy, reported PTI.

Record Renewable Energy Growth

India added around 50 GW of renewable capacity in 2025, supported by investments of nearly Rs 2 lakh crore. Solar power led the expansion with nearly 35 GW installed between January and November.

Union Minister, New and Renewable Energy, Pralhad Joshi, said by December end, we will touch nearly 48-50 GW, adding that growth momentum is expected to continue in 2026.

Public sector institutions have deployed about Rs 10.79 lakh crore in renewable projects since 2014, including Rs 2.68 lakh crore in 2024-25. According to IREDA, India will require roughly Rs 30.54 lakh crore between 2023 and 2030 to meet its 500 GW non-fossil fuel target.

Policy Support and Manufacturing Push

Government schemes such as PM Surya Ghar Yojana and PM Kusum have boosted project commissioning, which grew over 50 percent compared to 2024.

The government has also prepared a roadmap to expand domestic manufacturing of solar cells and ingot-wafers, encouraging large private investments. Storage capacity received a push through a new capital subsidy scheme, leading to increased tenders and auctions.

Challenges and Grid Integration

Industry experts noted several bottlenecks. Vinay Rustagi, Chief Business Officer, Premier Energies, highlighted grid imbalances and delays in transmission capacity addition, particularly in Rajasthan.

Laxit Awla, CEO, SAEL Industries, said the sector is shifting focus from capacity expansion to capacity absorption, with long-term financing and grid integration remaining structural challenges.

With sustained policy support, investment, and infrastructure upgrades, India aims to consolidate its position as a global clean energy leader while enhancing energy security and renewable capacity absorption in the coming year.

(KNN Bureau)

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