India’s Renewable Energy Revolution

As India speeds up its transition to a sustainable future, the renewable energy (RE) sector has seen remarkable growth. In 2024, the country made substantial progress in solar and wind energy installations, policy developments, and infrastructure enhancements, laying the groundwork for ambitious goals in 2025. With a goal to reach 500 GW of non-fossil fuel-based energy capacity by 2030, India is positioning itself as a global leader in clean energy. As of January 20, 2025, India’s total non-fossil fuel-based energy capacity has reached 217.62 GW.

The year 2024 saw a record-breaking 24.5 GW of solar capacity and 3.4 GW of wind capacity added, reflecting a more than twofold increase in solar installations and a 21% rise in wind installations compared to 2023. This surge was driven by government incentives, policy reforms, and increased investments in domestic solar and wind turbine manufacturing. Solar energy remained the dominant contributor to India’s renewable energy growth, accounting for 47% of the total installed renewable energy capacity. Last year saw the installation of 18.5 GW of utility-scale solar capacity, a nearly 2.8x increase compared to 2023. Rajasthan, Gujarat, and Tamil Nadu emerged as the top-performing states, contributing 71% of India’s total utility-scale solar installations.

The rooftop solar sector also experienced significant growth in 2024, with 4.59 GW of new capacity installed, marking a 53% increase from the year 2023. The PM Surya Ghar: Muft Bijli Yojana, launched in 2024, played a crucial role in this expansion, facilitating 7 lakh rooftop solar installations within ten months. Additionally, the off-grid solar segment recorded a 182% increase, adding 1.48 GW in 2024, furthering India’s energy access goals in rural areas.

In 2024, India added 3.4 GW of new wind capacity, with Gujarat (1,250 MW), Karnataka (1,135 MW), and Tamil Nadu (980 MW) leading the contributions. These states together accounted for 98% of the new wind capacity, reinforcing their dominance in wind power generation.

The Ministry of New & Renewable Energy (MNRE) has been instrumental in driving the growth of renewable energy through strategic policies and financial support. Key highlights include:

• Green Hydrogen Push: The government actively pursued the development of green hydrogen policies to reduce costs and attract investments in this emerging sector.
• Manufacturing Expansion: Domestic solar PV and wind turbine manufacturing were scaled up, supporting India’s ambition to become a global RE manufacturing hub.
• Grid Infrastructure Development: The MNRE proposed significant investments in inter-state transmission systems to evacuate power from renewable-rich states like Rajasthan, Gujarat, and Madhya Pradesh.

India’s renewable energy sector is undergoing a significant transformation, with 2024 being a year of record capacity additions and policy progress. As the country moves into 2025, overcoming regulatory, financial, and infrastructural challenges will be essential. With ongoing policy backing, higher investments, and a focus on emerging technologies, India is well-positioned to meet its ambitious renewable energy goals and strengthen its role as a global leader in the clean energy transition.