India adds record 22GW renewables capacity
India added a record 22GW of renewable energy capacity in the first half of 2025 – but is still relying too heavily on fossil fuels, according to Rystad Energy.
The figure of 22GW was a 57% jump from the 14.2GW installed during the same period last year.
The new capacity includes 18.4GW of solar, 3.5GW of wind and 250MW of bioenergy, which is generated from plant and animal waste. This marks the country’s highest-ever addition in any six-month period.
Rystad Energy said the surge was largely driven by developers moving quickly to take advantage of the government’s Interstate Transmission System (ISTS) charge waiver, which begins at 25% and increases annually until full implementation by June 2028.
India is now inching closer to its goal of sourcing 50% of its installed power capacity from clean energy sources, with a total of 234GW in place, including large hydropower projects.
However, fossil fuels continue to dominate actual energy consumption in the country, accounting for around 75% of electricity generated in the first half of the year from coal, oil and gas-fired plants.
Additionally, nuclear power is beginning to play a larger role, with the commissioning of Unit 7 of the Rajasthan Atomic Power Project – a 700MW unit connected to the northern grid – and government approval for the country’s first small modular reactor (SMR) planned in the northern state of Bihar.
Rystad Energy’s vice president of renewables and power research Sushma Jaganath said: “India installed 22GW of renewable energy capacity in the first half of 2025, a new record. However, the country is still banking heavily on coal to meet growing power demand, with plans to install an additional 80GW of new thermal projects.
“India is not yet undergoing a true energy transition; instead, it is focusing on building up installed capacity from both conventional and renewable energy sources to ensure energy security.
“Without urgent action to improve affordability and sustainability, particularly through grid upgrades and energy storage, coal will remain central to electrification efforts, jeopardising progress toward India’s net-zero goals.”
While India’s renewable energy capacity more than doubled in the first half of the year, battery energy storage systems (BESS) also saw a significant uptick, with 5.4GW of collocated solar-BESS and 2.2GW of standalone BESS awarded to developers, marking the country’s highest battery storage allocation to date.
More information: https://renews.biz/101949/india-adds-record-22gw-renewables-capacity/
