With over $32 billion investments in 2025, India tops in clean energy sector
Installed capacity crosses 200 gigawatts, expected to increase more quickly than China
New Delhi: As barren arid land gets covered with solar panels and giant windmills dot the coastline, India made it to the high table of clean energy superpowers with installed capacity crossing 200 gigawatts and projections of investment doubling to over $32 billion in 2025.
According to the International Energy Agency, India’s annual renewable capacity additions through 2030 are expected to increase more quickly than any other major economy, including China. It seeks India’s capacity addition more than quadrupling from 15 GW in 2023 to 62 GW in 2030. By the end of 2024, its installed capacity touched 205 GW.
Alongside, domestic solar PV and wind turbine manufacturing is being scaled up as part of the broader commitment to decarbonise and shift away from fossil fuels. India, which has set 2070 as the target for Net Zero, is aiming 500 GW of renewable energy capacity by 2030. To achieve this it is looking to add 50 GW of renewable energy (RE) capacity annually.
Talking to PTI, Union New & Renewable Energy Minister Pralhad Joshi said, “We have installed a total capacity addition of 24.72 GW RE in the country during the last 11 months of 2024 (from 1st January 2024 to 30th November 2024), compared to 11.83 GW capacity addition during the same period last year.” Back-of-envelope calculations show that the RE capacity addition of 50GW will entail an investment of Rs 2,75,000 crore or USD 32.35 billion (at Rs 85 per USD) Joshi said that 2024 has been a remarkable year for the RE sector and added, “We are working relentlessly to chart the growth of the sector.”
He informed that in December 2023, as much as 1.23GW RE capacity was added which means that in the entire 2023, 13.06GW of RE capacity was added.
The 24.72 GW capacity added from 1st January 2024 to 30th November 2024 includes 20.85 GW Solar Power, 3.22 GW Wind Power, 0.50 GW Bio Power and 0.09 GW Small Hydro Power and 0.06 Large Hydro Power.
It has a share of 86.86 per cent in the total installed power generation capacity added during this period ( Jan to Nov) in the country (28.46 GW). “For the very first time in 2024, a record amount of Rs 32.45 lakh crore has been pledged,” he said.
About the PM-Surya Ghar Muft Bijli Yojana for installing rooftop solar and providing free electricity up to 300 units every month for 1 crore households, Joshi informed that there are more than 1.5 crore registrations so far and over 6.85 lakh installations are done till now. On challenges in 2025, he mentioned about the development of new policies to further reduce the cost of Green Hydrogen as well as pursuing remaining States & UTs to issue their Green Hydrogen Policies.
According to Joshi, getting additional standards to be published in various categories such as, hydrogen production, storage and transportation, application, aviation and railway etc. by relevant organisations is also a challenge. He thinks that identifying demand in domestic & international markets for Green Hydrogen consumption is also a challenge. However, Joshi is optimistic about the award of additional production capacity of 7.80 Lakh MTPA of Green Hydrogen and its derivatives in India in 2025.
Green Hydrogen Certification Scheme of India is likely to be published in 2025, he said, adding that the draft scheme has been published in public domain for stakeholders’ comments. He said that the Ministry will be encouraging potential use of Hydrogen in Hard-to-Abate/new sectors and the pilot projects in steel and transport sector are likely to be awarded.
Three pilot projects in the steel sector for a total plant capacity of 3,290 TPD using hydrogen have already been awarded in 2024 for a total amount of Rs 347 crore. At least two more pilot projects may be awarded in the coming year in this sector, he stated. He also hinted about setting up a Centre of Excellence for dedicated research in Green Hydrogen in 2025. The MNRE has proposed to create testing facilities for Green Hydrogen, for developing a Robust Standards and Regulatory Framework.
