Solar and Wind Boom: India Reaches 308 GW of Non-Fossil Power Capacity – USD 220 Billion Investment Needed by 2030
New Delhi – India has increased its installed non-fossil power capacity to around 308 GW by the end of September 2026. For further expansion to 500 GW by 2030, the Indian government estimates a capital requirement of around USD 220 billion.
India Nearly Doubles Annual Additions – Solar Drives Expansion
According to government figures, around 55 GW of non-fossil power capacity was newly installed in India’s 2025/26 fiscal year, compared with just under 30 GW the year before. Annual additions have thus nearly doubled.
Solar energy accounts for the largest share of installed non-fossil power capacity at around 171 GW, followed by wind energy at 59 GW. Other sources include, in particular, hydropower and nuclear energy. The pace of expansion achieved recently shows that India has moved considerably closer to its target of 500 GW by 2030.
USD 220 Billion Investment Need – Power Infrastructure Gains Weight
For further expansion, India’s Ministry of New and Renewable Energy (MNRE) estimates a capital requirement of around USD 220 billion over fiscal years 2027 to 2030. At the Bharat Renewable Energy Summit, which opened in New Delhi on November 2, 2026, the government intends to work with investors, project developers and manufacturers on a roadmap for mobilising the required capital.
The breakdown of the estimated investment need shows that, in addition to expanding power generation, substantial funds are also required to integrate the additional capacity. The Indian business daily Business Standard, citing MNRE official J. V. N. Subramanyam, reported that around USD 95 billion to USD 100 billion is estimated for solar and wind energy combined. A further USD 55 billion to USD 65 billion is needed for transmission networks and energy storage combined. The plans also include investments in green hydrogen, domestic manufacturing capacity and other renewable energy technologies.
Grid Expansion and Offtake: India Adjusts Framework Conditions
With Green Energy Corridor III, the Indian government approved a further infrastructure programme at the end of September 2026. It is intended to enable the grid integration of 135 GW of renewable power capacity and support the build-out of battery storage with a capacity of 50 GWh. Implementation is scheduled through fiscal year 2032/33.
However, India also faces problems with power offtake as expansion continues. According to a Business Standard report, MNRE Secretary Santosh Kumar Sarangi said on August 21, 2026, that secured power purchase agreements (PPAs) are still lacking for awarded renewable energy projects with a capacity of around 42 GW. Standalone solar projects without storage and projects with comparatively high power tariffs are said to be particularly affected.
To align the award of new projects more closely with actual electricity demand, the government has reorganised the central procurement of renewable power. Since April 2026, the state-owned Solar Energy Corporation of India (SECI) has been responsible for new central tenders as an intermediary procurer.
India’s expansion plans open up considerable market potential for suppliers of solar and wind energy equipment, grid technology and storage. The rapid pace of deployment and the planned investments underscore the growing importance of the Indian energy market. At the same time, the offtake problems show that, alongside new generation capacity, the financial security of projects is also decisive for further market development.
Source: IWR Online, 03 Nov 2026
