**Executive Summary**
This document presents the Indian government's initiatives to enhance non-fossil fuel sources. It responds to questions raised in Lok Sabha Unstarred Question No. 2954, answered on December 17, 2025. It details the steps taken to promote renewable energy and achieve a 500 GW non-fossil energy capacity by 2030.
**Key Points / Main Content**
* **Renewable Energy Capacity & Goals:**
* As of November 30, 2025, India's non-fossil fuel based installed electricity capacity reached 262.74 GW, exceeding 51% of total installed capacity.
* The government aims to reach 500 GW non-fossil energy capacity by 2030.
* **Policy & Regulatory Measures:**
* Standard Bidding Guidelines issued for power procurement from Grid Connected Solar, Wind, Wind-Solar Hybrid, and Firm & Dispatchable Renewable Energy (FDRE) projects.
* Renewable Purchase Obligation (RPO) followed by Renewable Consumption Obligation (RCO) trajectory has been notified until 2029-30. RCO is applicable to all designated consumers under the Energy Conservation Act 2001.
* 100% Foreign Direct Investment (FDI) permitted under the automatic route.
* Waived Inter State Transmission System (ISTS) charges for inter-state sale of solar and wind power until June 30, 2025, for Green Hydrogen Projects until December 2030 and offshore wind projects until December 2032.
* Electricity (Rights of Consumers) Rules, 2020 issued for net-metering up to 500 kW or up to the electrical sanctioned load, whichever is lower.
* "National Repowering and Life Extension Policy for Wind Power Projects, 2023” has been issued.
* Offshore Wind Energy Lease Rules, 2023 were notified on December 19, 2023,
* Revised Guidelines for installation of prototype wind turbine models issued on June 12, 2025.
* Procedure for inclusion/updating Wind Turbine Model in the Approved List of Models and Manufacturers [ALMM (Wind)] issued on July 31st 2025, requiring mandatory relocation of data centres within India.
* The Standard Operating Procedure (SOP) for ALMM-Wind and ALMM – Wind Turbine Components (ALMM-WTC) was issued on October 29th 2025.
* “The Electricity (Late Payment Surcharge and related matters) Rules (LPS rules) have been notified.
* Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules, 2022, notified on June 6th 2022.
* Government orders ensure power dispatch against Letter of Credit (LC) or advance payment to ensure timely payment by distribution licensees to RE generators.
* **Infrastructure & Financial Support:**
* Funded laying of new transmission lines and creating new sub-station capacity under the Green Energy Corridor Scheme.
* Launched schemes like PM-KUSUM, PM Surya Ghar Muft Bijli Yojana, National Green Hydrogen Mission, and Viability Gap Funding (VGF) Scheme for Offshore Wind Energy Projects.
* Implementing a scheme for setting up Solar Parks and Ultra Mega Solar Power projects.
* Transmission plan prepared until 2030.
* **Quality & Standards:**
* Quality Control Orders notified for Solar Photovoltaic products (Solar PV Modules, Solar PV Inverters & Storage Battery) and Solar Water Heating systems.
* Launched Standard & Labelling (S&L) programs for Solar Photovoltaic modules and Grid-connected Solar Inverters.
* Issued National Framework for promoting & developing Energy Storage Systems.
* **Market Mechanisms:**
* Green Term Ahead Market (GTAM) launched to facilitate the sale of Renewable Power through exchanges.
* Issued Guidelines for Resource Adequacy Planning Framework for India.
**Impact Analysis**
**Stakeholder: Renewable Energy (RE) Developers**
* **Impact**: Can benefit from standardized bidding processes, land availability via solar parks, and transmission infrastructure support.
* **Action Required**: Participate in bidding processes, utilize available infrastructure, and comply with quality standards.
**Stakeholder: Consumers (including designated consumers under the Energy Conservation Act 2001)**
* **Impact**: May access affordable and sustainable green energy through open access rules and face penalties for non-compliance with RCO.
* **Action Required**: Comply with RCO requirements, explore green energy open access options.
**Stakeholder: Distribution Licensees**
* **Impact**: Required to ensure timely payment to RE generators and adhere to new dispatch rules.
* **Action Required**: Implement LC or advance payment mechanisms.
**Stakeholder: General Public**
* **Impact**: Benefits from increased renewable energy usage and a move towards sustainable electricity.
* **Action Required**: No direct action required.
Key Entities Referenced
Ministry of New and Renewable Energy: The primary ministry responsible for policies related to renewable energy in India, as indicated by the document.
Renewable Purchase Obligation (RPO): Mechanism to mandate consumption of renewable energy for designated consumers.
PM-KUSUM: Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan, a scheme to promote solar energy among farmers.
Green Energy Corridor Scheme: Scheme designed to facilitate the transmission of renewable energy.
Electricity (Rights of Consumers) Rules, 2020: Rules that address net-metering for renewable energy consumers.
GOVERNMENT OF INDIA
MINISTRY OF NEW AND RENEWABLE ENERGY
LOK SABHA
UNSTARRED QUESTION NO. 2954
ANSWERED ON 17.12.2025
ENHANCING NON-FOSSIL FUEL SOURCES
2954. SHRI KRISHNA PRASAD TENNETI
MS KANGNA RANAUT
Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:
(a) whether the Government has taken initiatives to enhance the use of non- fossil fuel sources for
incremental economic growth;
(b) if so, the details thereof and if not, the reasons therefor; and
(c) whether the Government has drawn up any action plan to ensure that fifty per cent of our
electricity needs are sourced through renewable energy and if so, the details therefor?
ANSWER
THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER
(SHRI SHRIPAD YESSO NAIK)
(a) to (c) As on 30.11.2025, the total non-fossil fuel based installed electricity capacity in the country
has reached to 262.74 GW which is more than 51% of the total installed electricity capacity. The
Government has taken several steps and initiatives to promote and accelerate renewable energy
capacity in the country to realize the commitment of 500 GW non-fossil energy capacity by 2030 as
given at Annexure.
*****Annexure
Annexure referred to in reply of parts-(a) to (c) of the Lok Sabha Unstarred Question
No. 2954 to be answered on 17.12.2025
The Government of India has taken several steps and initiatives to promote and accelerate
renewable energy capacity in the country to realize the commitment of 500 GW non-fossil energy
capacity by 2030. These include, inter-alia, the following:
• Standard Bidding Guidelines for tariff based competitive bidding process for procurement of Power
from Grid Connected Solar, Wind, Wind-Solar Hybrid and Firm & Dispatchable Renewable
Energy (FDRE) projects have been issued.
• To boost RE consumption, Renewable Purchase Obligation (RPO) followed by Renewable
Consumption Obligation (RCO) trajectory has been notified till 2029-30. The RCO which is
applicable to all designated consumers under the Energy Conservation Act 2001 will attract
penalties on non-compliance. RCO also includes specified quantum of consumption from
Decentralized Renewable Energy sources.
• Foreign Direct Investment (FDI) has been permitted up to 100 percent under the automatic route.
• Schemes such as Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM),
PM Surya Ghar Muft Bijli Yojana, National Programme on High Efficiency Solar PV Modules,
New Solar Power Scheme (for Tribal and PVTG Habitations/Villages) under Pradhan Mantri
Janjati Adivasi Nyaya Maha Abhiyan (PM JANMAN) and Dharti Aabha Janjatiya Gram Utkarsh
Abhiyan (DA JGUA), National Green Hydrogen Mission, Viability Gap Funding (VGF) Scheme
for Offshore Wind Energy Projects have been launched.
• Scheme for setting up of Solar Parks and Ultra Mega Solar Power projects is being implemented
to provide land and transmission to RE developers for installation of RE projects at large scale.
• Inter State Transmission System (ISTS) charges were waived for inter-state sale of solar and wind
power for projects commissioned by 30th June 2025, for Green Hydrogen Projects till December
2030 and for offshore wind projects till December 2032.
• Laying of new transmission lines and creating new sub-station capacity has been funded under the
Green Energy Corridor Scheme for evacuation of renewable power.
• Quality Control Orders for Solar Photovoltaic products (i.e., Solar PV Modules, Solar PV Inverters
& Storage Battery) and Solar Water Heating systems notified.
• Issued National Framework for promoting & developing Energy Storage Systems.
• Issued Guidelines for Resource Adequacy Planning Framework for India.
• Electricity (Rights of Consumers) Rules, 2020 has been issued for net-metering up to five hundred
Kilowatt or up to the electrical sanctioned load, whichever is lower.
• “National Repowering and Life Extension Policy for Wind Power Projects, 2023” has been issued.• The Offshore Wind Energy Lease Rules, 2023 have been notified vide Ministry of External Affairs
notification dated 19th December 2023, to regulate the grant of lease of offshore areas for
development of offshore wind energy projects.
• The Revised Guidelines for installation of prototype wind turbine models issued on 12th June 2025.
• Procedure for inclusion/updating Wind Turbine Model in the Revised List of Models and
Manufacturers of Wind Turbines (RLMM) issued on 31st July 2025. The amendment renames
RLMM as Approved List of Models and Manufacturers [ALMM (Wind)] and mandates usage of
listed components such as Blade, Tower, Generator, Gearbox and Special Bearings (Main, Pitch
and Yaw Bearing) along with mandatory relocation of data centres within India and prohibition of
real-time data transfer outside India.
• The Standard Operating Procedure (SOP) for ALMM-Wind and ALMM – Wind Turbine
Components (ALMM-WTC) issued on 29th October 2025, detailing the end-to-end process for
application, verification, factory inspection, component evaluation and model enlistment.
• Standard & Labelling (S&L) programs for Solar Photovoltaic modules and Grid-connected Solar
Inverters have been launched.
• To augment transmission infrastructure needed for steep RE trajectory, transmission plan has been
prepared till 2030.
• “The Electricity (Late Payment Surcharge and related matters) Rules (LPS rules) have been
notified.
• Electricity (Promoting Renewable Energy Through Green Energy Open Access) Rules, 2022,
notified on 06th June 2022 with objective of ensuring access to affordable, reliable, and sustainable
green energy for all. Green Energy Open Access is allowed to any consumer with contract demand
of 100 kW or above through single or multiple single connection aggregating Hundred kW or more
located in same electricity division of a distribution licensee.
• Green Term Ahead Market (GTAM) has been launched to facilitate sale of Renewable Power
through exchanges.
• Government has issued orders that power shall be dispatched against Letter of Credit (LC) or
advance payment to ensure timely payment by distribution licensees to RE generators.