Renewable Energy Capacity:
India has emerged as the world’s 3rd largest country in installed renewable energy capacity, reflecting rapid growth in solar and wind power generation.
- A recent Morgan Stanley report highlighted that India’s renewable energy transition is accelerating, though dependence on imported upstream solar components remains a challenge.
- India has emerged as the third-largest country globally in terms of installed renewable energy capacity, driven mainly by rapid growth in solar and wind energy infrastructure.
Key Features:
- Renewable Capacity Growth: India’s non-fossil fuel energy capacity crossed 262.7 GW, accounting for over 50% of total installed power capacity.
- Solar Manufacturing Expansion: Domestic solar module manufacturing capacity increased from 38 GW (2024) to 74 GW (2025), while solar cell capacity rose from 9 GW to 25 GW.
- Dependence on Imports: Despite progress, India still imports a large share of upstream components like wafers and polysilicon, with 60–80% sourced from China.
- Energy Transition Focus: Solar and wind energy constitute the majority of new renewable energy additions in India.
Significance:
- Energy Security: Expanding renewable capacity reduces dependence on imported fossil fuels and enhances strategic energy resilience.
- Climate Commitments: Supports India’s Net Zero targets and commitments under the Paris Climate Agreement by accelerating clean energy adoption.
