Page 52 - Policy Economic Report - April 2026

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

This milestone achievement is the result of sustained policy support, improved project execution, and
greater pipeline maturity across key wind states. States such as Gujarat, Karnataka, and Maharashtra have
been the primary contributors to capacity addition during the year, underpinned by a growing pipeline of
wind-solar hybrid projects and the progressive roll-out of green energy open access.

India’s wind energy sector has grown steadily making India one of the leading wind energy markets
globally. Government has taken several initiatives to promote the sector including Concessional Custom
Duty on certain components and raw materials used in manufacturing of wind turbines, graded Waiver of
Inter-State Transmission System (ISTS) charges till June, 2028, competitive bidding mechanisms, separate
Wind Renewable Consumption Obligation (RCO) frameworks, technical support from National Institute of
Wind Energy.

The record addition significantly strengthens India’s renewable energy portfolio and contributes towards
achieving the national target of 500 GW of non-fossil fuel-based energy capacity by 2030.

India’s wind energy program was initiated in the early 1990s as part of the Government’s broader
renewable energy strategy. Over the past three decades, India has developed a strong wind energy
ecosystem and a robust policy framework to promote grid-connected wind power projects.

India Ranks third globally in Renewable Energy Installed Capacity: Shri Pralhad Joshi

Union Minister for New and Renewable Energy and Consumer Affairs, Food and Public Distribution, Shri
Pralhad Joshi said India ranks third globally in Renewable Energy Installed Capacity, according to the
Renewable Energy Statistics 2026. He said India has moved ahead of Brazil in the ranking. The
International Renewable Energy Agency released the statistics as of December 2025.

While addressing media persons, Shri Joshi said India achieved a total non-fossil capacity addition of 55.3
GW during FY 2025–26.

The Minister also highlighted that in July 2025, India reached its highest-ever renewable energy share in
electricity generation. The renewables met 51.5% of the country’s total electricity demand of 203 GW. He
also said that a total of 283.46 GW of capacity from non-fossil fuel sources has been installed in the
country as on 31.03.2026.

Shri Joshi said India's total power generation during 2025-26 (up to March 2026) reached 1,845.921 BU.
The share of non-fossil fuels in total generation reached 29.2% in 2025-26 (538.97 BU). India achieved the
milestone of 50% of its cumulative electric power installed capacity from non-fossil fuel sources in June
2025, five years ahead of the 2030 target set under its Nationally Determined Contribution (NDC) to the
Paris Agreement.

In line with the Hon'ble Prime Minister’s announcement at COP26, the Ministry of New and Renewable
Energy is working towards achieving 500 GW of installed electricity capacity from non-fossil sources by
2030.

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