As India prepares for the Union Budget for the 2025-26 financial year, the renewable energy sector is eagerly awaiting a set of progressive measures to drive growth and contribute to the nation’s ambitious renewable energy goals for 2030. With significant milestones already achieved in the renewable energy space, the industry expects targeted initiatives that will help accelerate India’s green transition and support the achievement of these goals.
Chetan Shah, Chairman and Managing Director of Solex Energy Limited, emphasizes the need for a sector-specific Production-Linked Incentive (PLI) scheme to help domestic PV module manufacturers scale up their operations. He suggests that this measure will not only meet the growing market demand but will also contribute to India’s renewable energy goals. Shah also advocates for the establishment of government-funded R&D laboratories in collaboration with private players to enhance technological advancements in the solar sector, reduce testing costs, and improve efficiency in PV module production. Additionally, he highlights the importance of fostering a self-reliant ecosystem for manufacturing machinery used in PV module production and promoting the development of captive solar power parks. He concludes by stating that these measures will help position India as a global leader in solar manufacturing.
Gautam Mohanka, CEO of Gautam Solar, reflects on the success of initiatives like the Jawaharlal Nehru National Solar Mission and the supportive government policies that helped India surpass 200 GW of renewable energy capacity in 2024. He hopes that Budget 2025 will continue to build on this momentum, focusing on scaling rooftop solar installations, improving digital infrastructure like the National Solar Portal for better project execution, and supporting battery energy storage systems (BESS). Mohanka also expects the government to address the talent gap in the sector by supporting rural skill development programs through the PMKVY and PM-KUSUM schemes, solidifying India’s position as a global leader in renewable energy.
Tanmoy Duari, CEO of AXITEC Energy India, anticipates that Budget 2025 will provide incentives for solar energy storage, green hydrogen, and grid-scale solar projects to bridge the gap between India’s current solar capacity and the ambitious 2030 target. Duari stresses that clarity on customs duty exemptions and GST reductions will be essential to make renewable energy more affordable and accelerate India’s transition to a low-carbon economy. This will also help reduce the cost of renewable energy systems, thus driving growth in the sector.
Preeti Bajaj, MD & CEO of Luminous Power Technologies, expects the Union Budget 2025 to introduce enhanced financing schemes for solar installations, including subsidies, low-interest loans, and tax incentives. Bajaj also advocates for expanding initiatives like the Pradhan Mantri Suryoday Yojana to drive solar adoption among households and businesses. Moreover, she calls for support for MSMEs in the sector through tax breaks, grants, and funding for R&D, which will reduce costs and encourage innovation. Bajaj highlights the importance of investing in skill development programs, particularly for women and youth, to create a skilled workforce for India’s growing solar market.
Naveen Munjal, Director of Business Development and Commercial at Apraava Energy, views Budget 2025 as an opportunity to expand India’s energy transition efforts. He advocates for the development of domestic solar power equipment manufacturing to meet the growing demand and reduce dependence on imports. Munjal suggests offering incentives for export-oriented manufacturing units and reducing corporate taxes to stimulate private investment in the renewable energy sector. He also calls for faster signing of power purchase agreements (PPAs) to ensure smoother project execution, boost investor confidence, and expedite the commissioning of renewable energy projects.
Ashish Agarwal, Head of Solar & Storage at BluPine Energy, underscores the importance of public-private partnerships in workforce development to meet the demand for skilled labor in the renewable energy sector. He urges the government to accelerate efforts to incentivize energy storage systems, particularly by offering additional support for battery manufacturing and encouraging domestic production. Agarwal believes that incentivizing energy storage will help stabilize India’s power grid, reduce dependence on imports, and enhance the reliability of the renewable energy supply.
Anirudh Saraswat, Founder of Oriana Power, highlights land acquisition and transmission connectivity as major roadblocks to solar project development. He urges the government to fast-track the digitization of land records and simplify laws related to land acquisition, especially those concerning environmental and wildlife protection. Saraswat believes that addressing these issues will not only help achieve India’s renewable energy targets but will also significantly enhance the country’s energy security by enabling the faster execution of solar projects.
Manish Dabkara, Chairman and Managing Director of EKI Energy Services, looks to Budget 2025 to drive India’s net-zero ambitions. He anticipates a forward-looking budget with targeted initiatives to accelerate renewable energy investments and decarbonize key supply chains. Dabkara calls for support for green hydrogen economies and technologies, as well as investments in cleaner mobility solutions, including electric motorized bicycles. He believes that the government should also focus on skill development to support the regular operation and maintenance of green technologies.
Vikram V, Vice President & Co-Group Head – Corporate Ratings at ICRA Limited, emphasizes the importance of energy storage in India’s renewable energy transition. He calls for measures to fast-track the development of battery storage and pumped hydro storage projects and policy measures to incentivize the manufacturing of grid-scale batteries. He also advocates for increased budgetary allocation for smart metering to improve the efficiency of state distribution utilities.
Sandiip Bhammer, Managing Partner at Green Frontier Capital, views the upcoming budget as a crucial opportunity to accelerate growth in the Greentech, energy, and electric mobility sectors. He suggests scaling up PLI schemes for EV manufacturing, introducing tax benefits for R&D in climate-tech solutions, and strengthening renewable energy adoption through clear implementation roadmaps. Bhammer believes that creating an enabling ecosystem for private capital and innovation will help India meet its climate goals and position itself as a global hub for green solutions.
Jaideep N. Malaviya, Managing Director of Malaviya Solar Energy Consultancy, urges the government to prioritize circular economy practices for solar energy. He calls for the creation of dedicated funds to support the recycling of solar panels at the end of their life cycle. Malaviya believes that recovering critical minerals from used solar panels will help balance supply and demand and contribute to India’s self-reliance in solar manufacturing.
Aniruddh Agrawal, Chief Strategy Officer at Airox Nigen, calls for a strategic push for the green hydrogen mission in the upcoming budget. He suggests expanding the PLI scheme for electrolyzer manufacturing, offering subsidies for green hydrogen production, and providing tax relief and financing options for hydrogen infrastructure projects. Agrawal believes that these measures will make green hydrogen more cost-competitive and help India lead the global hydrogen economy.
The expectations surrounding the 2025 Union Budget reflect a collective desire for policies and initiatives that will bolster India’s renewable energy sector, improve energy security, and accelerate the country’s transition to a low-carbon economy. The focus on domestic manufacturing, energy storage systems, skill development, and green hydrogen technology will be crucial to achieving the ambitious renewable energy targets set for 2030. Furthermore, addressing challenges like land acquisition and transmission connectivity will help overcome existing barriers to the growth of solar projects. Ultimately, the Budget 2025 has the potential to position India as a global leader in renewable energy, driving economic growth, environmental sustainability, and energy security.
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