New Delhi: India has reached a defining milestone in its clean-energy transition, with non-fossil fuel sources now constituting a larger share of the country’s installed power generation capacity than fossil-fuel based sources.
As on October 31, the nation’s total installed capacity stands at 5,05,023 MW, of which 2,59,423 MW is derived from non-fossil sources, surpassing the 2,45,600 MW generated from fossil fuels. Notably, renewable energy accounts for 2,50,643 MW, underlining India’s accelerating shift toward sustainable energy systems driven by policy support, regulatory reforms and infrastructure augmentation.
This achievement reflects more than a statistical landmark. It signals India’s decisive progress in meeting its Nationally Determined Contributions (NDCs) under the Paris Agreement, with the country achieving 50% of its installed electricity capacity from non-fossil fuel sources by June 2025 — over five years ahead of schedule. The energy transition is now increasingly anchored in long-term security and affordability, even as India pursues its commitment to net-zero emissions by 2070.
A spectrum of government initiatives — from waiver of ISTS charges for renewable power and standard bidding guidelines to schemes supporting solar parks, offshore wind, PM-KUSUM and the National Green Hydrogen Mission — has laid the groundwork for sustained growth in clean energy. Policy efforts are further supported by aggressive transmission planning, the push for domestic manufacturing of high-efficiency PV modules under the PLI scheme, and the notification of the Renewable/Consumption Obligation trajectory until 2029-30.
Clean-energy portfolio
In parallel, India is broadening its clean-energy portfolio through strategic focus areas beyond solar and wind. Nuclear power is being positioned as a pivotal component of future baseload capacity, with an ambitious target of 100 GW by 2047, backed by a ₹20,000-crore Nuclear Energy Mission, reforms to attract private sector investment, and development of indigenously designed Small Modular Reactors.
Grid-stability mechanisms are also taking shape, including battery energy storage systems with 43.22 GWh capacity under two Viability Gap Funding schemes, as well as rapid construction of pumped storage projects totalling 11,870 MW. Offshore wind is set for a fresh push through viability gap support for the first 1 GW capacity, while the Green Hydrogen Mission targets 5 MMT annual production supported by 125 GW of renewable energy by 2030, reinforcing India’s position in emerging clean-fuel markets.
With non-fossil fuel sources already taking the lead in installed generation capacity, the coming decade will be a test of operational integration, affordability and speed of deployment. India’s trajectory underscores a gradual yet structural shift — from an energy system historically dominated by coal to one powered increasingly by solar, wind, nuclear and green hydrogen.
For industry stakeholders, the policy certainty, investment momentum and infrastructure push signal a long runway of opportunity, even as execution risks and storage requirements remain critical variables for the next phase of the energy transition.