As India prepares for the Union Budget 2026, the renewable energy sector is looking at this moment as a turning point in the country’s clean energy journey. Over the past few years, India has made strong progress in adding renewable power capacity and advancing tax and policy reforms. Renewables now form a large share of installed power capacity, showing a clear intent to move away from fossil fuels. However, industry voices agree that the next phase of growth must go beyond generation and focus on building a reliable, stable, and self-sufficient energy system.
While solar and wind capacity additions have been impressive, the lack of grid-scale energy storage remains a major gap. Intermittent power cannot fully replace conventional sources unless it is supported by battery energy storage systems, pumped hydro, and emerging solutions like green hydrogen. Storage is essential to manage peak demand, balance supply fluctuations, and provide round-the-clock clean power to industries. Without this support, high renewable penetration could put pressure on the grid and limit the true impact of the energy transition.
Another key concern is domestic manufacturing. India still depends heavily on imports for critical components such as battery cells, electrolysers, and advanced power electronics. These components will shape the future of energy infrastructure, and continued import dependence exposes the sector to supply-chain risks and foreign exchange pressures. Industry expectations from Budget 2026 include stronger production-linked incentives, lower taxes on clean energy equipment, and long-term policy clarity to help build a competitive “Make in India” clean-tech supply chain. Support for in-house technology development and manufacturing equipment is also seen as vital to achieving self-reliance.
Financing and policy certainty are equally important. High cost of capital, delays in signing power purchase agreements, and complex approval processes have affected investor confidence. The industry is seeking clear assurances on pending contracts, easier access to green finance, priority sector lending status, and lower taxes and duties related to renewable and storage projects. Strengthening transmission infrastructure, extending transmission charge waivers, and faster execution of green corridors are also viewed as necessary to ensure smooth power evacuation and grid stability.
Surendra K Gupta, Executive Director & CFO, AMPIN Energy Transition
“Budget 2026 should boost domestic solar technology, clarify delayed PPAs, strengthen green transmission, support BESS manufacturing, lower financing costs, extend ALMM/ISTS waivers, and reduce GST. Strategic interventions will ensure energy security, self-reliance, cost competitiveness, and accelerated deployment of renewables while supporting jobs and clean energy growth.”
Ankush Malik, CEO, Juniper Green Energy
“Budget 2026 is a chance to strengthen India’s renewable ecosystem. Focus should be on reliability, domestic manufacturing, energy storage, and grid modernization. Incentives, affordable financing, and storage-linked projects will reduce import dependence, support hybrid projects, create jobs, and position India as a global clean energy leader.”
Shyam Sunder Jindal, Promoter, BC Jindal Group
“FY26 is critical for India’s power sector. Budget 2026 should enable large-scale energy storage alongside renewables, address financing and supply-chain bottlenecks, and strengthen skilled employment. This will drive clean energy growth, improve competitiveness, and support India’s long-term transition to sustainable power.”
Shobit Rai, Co-Founder & MD, Prozeal Green Energy Limited
“As India grows with CY2025 tax reforms, Budget 2026 should focus on energy storage, flexibility, and domestic manufacturing. Storage, pumped hydro, and green hydrogen are essential to make renewables reliable, reduce imports, and support industrial-scale, round-the-clock clean energy while boosting jobs and India’s leadership in the global energy transition.”
Bhuvneshwar Pal Singh, MD & CFO, Maxvolt Energy
“Budget 2026 must provide long-term policy support and fiscal incentives for battery and energy storage manufacturing. Strengthening green finance, R&D, and a ‘Make in India’ supply chain is vital for reliable, 24/7 clean power, fresh capital, high-quality jobs, and ensuring sustainability and energy security amid global resource uncertainties.”
Arif Aga, Director, SgurrEnergy
“With 500 GW renewable targets by 2030, Budget 2026 must focus on grid readiness, storage, domestic manufacturing, and execution quality. Policy support for transmission, storage, hybrid projects, and data-driven planning will reduce risk, attract capital, and build a sustainable, reliable, and robust power system.”
From an overall perspective, the expectations from Budget 2026 reflect a clear shift in thinking. The energy transition is no longer just about adding megawatts; it is about reliability, resilience, and long-term sustainability. Storage, grid readiness, skilled workforce development, and domestic manufacturing are now central to the discussion. A well-aligned budget that connects power, industry, finance, and infrastructure can unlock fresh investments, create quality jobs, and reduce energy security risks.
Budget 2026 is seen as a crucial opportunity to strengthen the foundations of India’s clean energy future. By addressing storage, manufacturing, financing, and grid challenges together, the budget can help transform renewable energy into dependable, round-the-clock power and position India as a global leader in the clean energy transition.
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