India Achieves 50% Non-Fossil Power Capacity, Advances Toward 500 GW Renewable Target by 2030

India has reached a major milestone in its clean energy transition by achieving 50% of its installed electricity capacity from non-fossil fuel sources in June 2025, surpassing its target under the Paris Agreement more than five years ahead of schedule.

According to official data, out of the country’s total installed power capacity of 484.82 GW as of June 30, 2025, non-fossil fuel sources accounted for 242.78 GW, representing 50.08% of the total. The share has further increased to 51.93% as of December 31, 2026, up from 32.54% in March 2014, reflecting a steady shift toward cleaner energy sources.

The achievement underscores the government’s continued push toward building a secure, affordable, and sustainable energy system, while supporting economic growth and addressing climate change challenges.

Policy Push Drives Renewable Expansion

The government has implemented a range of policy measures and reforms to accelerate renewable energy deployment and meet its ambitious target of 500 GW non-fossil capacity by 2030.

Key initiatives include the waiver of Inter-State Transmission System (ISTS) charges for solar, wind, offshore wind, green hydrogen, and co-located storage projects within specified timelines. Competitive bidding frameworks have also been introduced for procurement of power from solar, wind, hybrid, and firm dispatchable renewable energy (FDRE) projects.

The Ministry of New and Renewable Energy has issued a bidding trajectory targeting 50 GW of renewable energy procurement annually between FY2023–24 and FY2027–28 through Renewable Energy Implementing Agencies (REIAs).

In addition, 100% Foreign Direct Investment (FDI) has been allowed under the automatic route to attract global investments into the sector.

Infrastructure and Storage Development

To support the rapid scale-up of renewables, transmission infrastructure is being strengthened under the Green Energy Corridor Scheme, alongside a long-term transmission plan extending to 2032.

The government is also focusing on energy storage solutions to manage intermittency. A Viability Gap Funding (VGF) scheme approved in September 2023 is supporting 13.22 GWh of Battery Energy Storage Systems (BESS) with an allocation of ₹3,760 crore. A second VGF scheme approved in June 2025 aims to develop an additional 30 GWh BESS capacity with ₹5,400 crore support from the Power System Development Fund.

Further, Pumped Storage Projects (PSPs) are being promoted, with 10 projects totaling 11,870 MW currently under construction.

Expanding Renewable and Clean Energy Programs

The government continues to roll out large-scale initiatives to boost renewable adoption, including schemes such as PM-KUSUM, PM Surya Ghar Muft Bijli Yojana, and the National Green Hydrogen Mission.

Additional programs include solar parks, ultra-mega renewable energy projects, offshore wind development strategies, and the Production Linked Incentive (PLI) scheme for high-efficiency solar PV modules aimed at strengthening domestic manufacturing.

To ensure compliance and drive renewable consumption, the government has also notified the Renewable Consumption Obligation (RCO) trajectory through 2029–30, mandating minimum renewable energy usage among designated consumers.

Nuclear and Hydro Capacity to Support Energy Transition

Alongside renewables, the government is expanding other clean energy sources. Over 12.7 GW of hydropower capacity is currently under construction, with additional projects planned for completion by 2031–32.

Nuclear energy is also being positioned as a key pillar of long-term energy security, with the government setting a target of 100 GW nuclear capacity by 2047, contributing to India’s broader net-zero emissions goal by 2070.

With sustained policy support, infrastructure expansion, and investments in clean technologies, India is rapidly advancing toward its goal of becoming a global leader in renewable energy and sustainable power systems.