India Renewable Energy Market Size, Share, Trends and Forecasts 2030

INTRODUCTION

In India, renewable energy is increasing at a higher rate than in any other major economy. The country is also one of the major producers of modern bioenergy in the world, with big plans to expand its use throughout the economy. Several firms had already lent their support to the government in achieving this remarkable feat.

INDIA RENEWABLE ENERGY MARKET SIZE AND FORECAST

The India Renewable Energy Market accounted for $XX Billion in 2021 and is anticipated to reach $XX Billion by 2026, registering a CAGR of XX% from 2023 to 2030.

MARKET DYNAMICS

Trichy Corporation has decided to relocate the smart cities solar power park from Panjapur along the Trichy-Madurai national highway to a vacant spot near the sewage treatment facility.

Tata Power Renewable Energy (TPREL), a wholly-owned subsidiary of Tata Power, has completed solar photovoltaic (PV) projects in Uttar Pradesh, India  In the Prayagraj and Banda regions, the business has completed two solar plants. This has bolstered their status as a major renewable energy company, as well as their contribution to the country's long-term energy sustainability.

In an effort to cut carbon emissions, the state-owned NTPC has teamed up with the Delhi Jal Board to transform sewage treatment plant sludge into energy. Sludge disposal is a significant concern since it contributes to environmental damage.

ReNew Power, India's largest renewable energy provider, has signed a deal with Mitsui & Co Ltd., a renowned global general trade and investment organisation. Mitsui will invest in ReNew's RTC renewable energy project as part of the cooperation. The RTC project will deliver electricity to SECI by constructing three new wind farms and one solar with battery storage farm across the states of Rajasthan, Karnataka, and Maharashtra.

Growth Drivers For The India Renewable Energy Market

• Government Policy Support and Climate Commitments
  Robust policy frameworks, including feed-in tariffs, renewable purchase obligations (RPOs), and green energy subsidies, are propelling renewable energy investments in India. Climate accords and net-zero commitments further strengthen the demand for clean energy.
• Declining Costs of Renewable Technologies
  The cost of generating electricity from solar, wind, and other renewables has declined significantly in India due to economies of scale, technological improvements, and enhanced manufacturing efficiencies. This is making renewables increasingly competitive with fossil fuels.
• Growing Demand for Energy Security and Independence
  The geopolitical and economic risks associated with importing fossil fuels have led India to prioritize renewable sources as a means to ensure domestic energy resilience and reduce dependency on foreign energy supplies.
• Corporate Sustainability Initiatives
  Large corporations operating in India are committing to 100% renewable energy sourcing through Power Purchase Agreements (PPAs) and green energy procurement strategies, creating additional demand for renewable projects.
• Grid Modernization and Decentralized Energy Models
  The adoption of smart grids, energy storage solutions, and distributed energy resources is enabling better integration of renewable energy into India’s power systems, especially in rural and underserved areas.

Market Trends In The India Renewable Energy Market

• Rise of Hybrid Renewable Systems
  Hybrid projects combining solar, wind, and storage are gaining traction in India as they offer greater energy reliability and reduce intermittency challenges associated with individual technologies.
• Offshore Wind Expansion
  Coastal and island regions in India are exploring offshore wind installations due to their higher capacity factors and less land-use impact. This segment is expected to see major investments and policy support in the near term.
• Decentralized Solar Installations and Rooftop PV Growth
  Residential and commercial rooftop solar projects are on the rise across urban centers in India. The availability of net metering and financing options is encouraging wider adoption among small-scale consumers.
• Green Hydrogen and Renewable Integration
  Green hydrogen produced from renewable electricity is emerging as a promising vector for decarbonizing industries such as steel, cement, and transportation in India. Pilot projects and public-private partnerships are already underway.
• Investment in Energy Storage Infrastructure
  As renewable capacity expands, the need for reliable energy storage becomes critical. India is witnessing increased investment in battery storage systems to balance the grid and ensure uninterrupted supply.

Challenges In The India Renewable Energy Market

• Grid Integration and Infrastructure Constraints
  The rapid growth of variable renewable energy sources poses challenges for grid stability and transmission capacity. India faces the task of upgrading and expanding its grid infrastructure to accommodate new projects.
• Regulatory and Permitting Delays
  Complex approval processes, land acquisition issues, and inconsistent policy enforcement can delay project execution in India, especially for utility-scale installations.
• Financing Barriers and Investment Risks
  While interest in renewable energy is high, project financing in India can be hampered by credit risks, high capital costs, and uncertainty in returns, particularly in emerging markets or rural regions.
• Land and Resource Conflicts
  Competition for land and natural resources, particularly in densely populated or ecologically sensitive regions of India, can lead to opposition and delay in renewable energy projects.
• Intermittency and Reliability Issues
  Solar and wind resources are weather-dependent, and without adequate storage or hybrid solutions, this can create reliability issues in India’s power supply, especially during peak demand.

India Renewable Energy Market Size And Forecast

The India Renewable Energy Market is projected to grow at a compound annual growth rate (CAGR) of approximately 9% to 12% between 2024 and 2030. Solar and wind power are expected to dominate new capacity additions, followed by emerging segments like green hydrogen and energy storage. By 2030, renewable energy could account for over 50% of India’s total energy mix, marking a substantial shift from conventional energy dependency.

Future Outlook

The future of renewable energy in India is bright, driven by aggressive climate targets, rising investor interest, and evolving consumer preferences. National and subnational governments are expected to continue incentivizing large-scale and decentralized renewable projects through policy tools and market-based mechanisms.

Emerging trends such as digitalization of the energy sector, AI-based energy forecasting, and energy-as-a-service (EaaS) models will play a key role in optimizing renewable energy usage. Technological breakthroughs in battery storage, floating solar, and offshore wind will open new frontiers for deployment.

With a strong push toward indigenization and local manufacturing, India is set to become a leading regional hub for renewable energy innovation, job creation, and sustainable development. Strategic collaborations between public and private stakeholders will be essential to overcome remaining bottlenecks and ensure inclusive energy access across all segments of society.

RECENT PARTNERSHIP IN INDIA RENEWABLE ENERGY MARKET

The strategic partnership agreement between India's Ministry of New and Renewable Energy and IRENA signals the two organizations' intent to deepen their cooperation in the area of renewable energy.

As part of the cooperation, IRENA will support India's efforts to enhance the development of domestic green hydrogen and cost-effective decarbonization by facilitating information exchange from India on scaling up renewable energy and clean energy technology.

The two will collaborate closely to evaluate the potential contribution that green hydrogen may make to India's energy transformation and as a new source of domestic energy exports.

In order to allow cost-competitive green hydrogen generation, storage, distribution, and application technologies, India has started the process of creating and establishing a National Green Hydrogen Mission.

COMPANY PROFILE

• Tata Power Solar Systems Ltd.
• ReNew Power Ventures
• ACME Solar
• Borosil Renewables Ltd
• SUZLON ENERGY
• Sterling and Wilson Solar
• NTPC

THIS REPORT WILL ANSWER THE FOLLOWING QUESTIONS

1. What is the average cost per India Renewable Energy Market right now and how will it change in the next 5-6 years?
2. Average cost to set up a Renewable Energy Market in India ?
3. How many India Renewable Energy Markets are manufactured per annum globally? Who are the sub-component suppliers in different regions?
4. What is happening in the overall public, globally?
5. Cost breakup of a India Renewable Energy Market  and key vendor selection criteria
6. Where is the India Renewable Energy Market manufactured? What is the average margin per equipment?
7. Market share of India Renewable Energy Market manufacturers and their upcoming products
8. The most important planned India Renewable Energy Market in next 2 years
9. Details on network of major India Renewable Energy Market and pricing plans
10. Cost advantage for OEMs who manufacture India Renewable Energy Market in-house
11. 5 key predictions for next 5 years in India Renewable Energy Market
12. Average B-2-B India Renewable Energy Market price in all segments
13. Latest trends in India Renewable Energy Market, by every market segment
14. The market size (both volume and value) of India Renewable Energy Market in 2025-2031 and every year in between?
15. Global production breakup of India Renewable Energy Market, by suppliers and their OEM relationship