Parliament Question: Investment in Renewable Energy Sector

GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY LOK SABHA UNSTARRED QUESTION NO. 1756 ANSWERED ON 29.07.2026 INVESTMENT IN RENEWABLE ENERGY SECTOR 1756. SHRI BRIJMOHAN AGRAWAL Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state: (a) the details of the total investment made by the Government and the private sector in the renewable energy sector during each of the last two financial years, State-wise; (b) the current share of renewable energy in the country's total power generation along with the source-wise (solar, wind, hydro, bio-energy and others) details of installed capacity (GW) and percentage contribution; (c) the details of household installations completed under the Pradhan Mantri- Surya Ghar: Muft Bijli Yojana (PM-SGMBY) against the target of one crore households by the year 2026- 27; (d) the steps taken by the Government to reduce import dependence on solar modules and batteries ensure their availability at affordable prices; and (e) the details of renewable energy capacity targets set by the Government for the coming years and the future plans to increase the share of renewable energy in the nation's total power generation? ANSWER THE MINISTER OF STATE FOR NEW & RENEWABLE ENERGY AND POWER (SHRI SHRIPAD YESSO NAIK) (a) Most of renewable energy projects in the country are being set up by private sector developers selected through a transparent bidding process. The Government of India formulates policies at the national level for uniform implementation across the country. During the last two financial years (FY 25 & FY 26), 12 Public sector banks, IREDA, PFC, REC, NaBFID, IIFCL & SIDBI have cumulatively deployed approx. Rs. 5.08 Lakh Crores in Renewable Energy sector. Further, Indian Renewable Energy Development Agency (IREDA), has disbursed Rs.30,167.87 Cr. and Rs. 34,945.67 Cr. during FY 25 and FY 26, respectively. The State-wise break-up of such disbursements is given at Annexure-I. (b) As on 30.06.2026, a total of 297.36 GW of non-fossil fuel-based installed electricity generation capacity has been established in the country, accounting for 54.18% of the total installed generation capacity of 548.85 GW. This includes 288.58 GW of renewable energy capacity, comprising 162.15 GW of solar power, 57.44 GW of wind power, 52.06 GW of large hydropower, 11.75 GW of bioenergy, and 5.18 GW of small hydropower, along with 8.78 GW of nuclear power capacity.Renewable energy generation has increased significantly from 190.96 Billion Units (BU) in 2014–15 to 477.79 BU in 2025–26. Consequently, the share of renewable energy in the country's total electricity generation increased from 17.00% in 2014–15 to 22.13% in 2024– 25, and further to 25.97% in 2025–26. During 2026–27 (up to 30.06.2026), renewable energy generation stood at 87.46 BU out of the total electricity generation of 343.41 BU. (c) Under the Pradhan Mantri- Surya Ghar: Muft Bijli Yojana (PMSG: MBY), a total of 48,02,717 households (with total installed capacity of 14,180.89 MW) has been covered till 22.07.2026. (d) The Ministry of New and Renewable Energy (MNRE), Government of India, has been consistently bringing out policies to promote domestic manufacturing of solar module. Various initiatives taken, inter-alia, include those mentioned at Annexure-II. These measures have contributed to reducing import dependence. As per the export–import databank of the Department of Commerce, imports of solar modules have declined from around USD 4,354 million in financial year 2023-24 to around USD 994 million in financial year 2025-26. For Battery Storage, Ministry of Heavy Industries (MHI), is having a Production Linked Incentive (PLI) scheme, ‘National Programme on Advanced Chemistry Cell (ACC) Battery Storage’ for implementation of giga-scale ACC manufacturing facilities in India, with an aim to establish a competitive domestic manufacturing ecosystem for 50 GWh with a total budgetary outlay of ₹18,100 crore. Out of 50 GWh capacity, 10 GWh has been earmarked for grid scale stationary storage applications. (e) The Government has set a target of achieving 500 GW of non-fossil fuel-based installed electricity capacity by 2030. To increase the share of renewable energy in the nation's total power generation, the Government is implementing a comprehensive set of measures, including competitive bidding for renewable energy projects, expansion of transmission infrastructure through the Green Energy Corridor and Inter-State Transmission System (ISTS), implementation of Renewable Purchase Obligations (RPO) and Energy Storage Obligations (ESO), promotion of Battery Energy Storage Systems (BESS) and pumped storage projects to facilitate higher renewable energy integration, development of the National Green Hydrogen Mission, promotion of offshore wind energy, implementation of PM Surya Ghar: Muft Bijli Yojana and PM-KUSUM, and support for domestic manufacturing through the Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules. 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-III. *****Annexure-I Annexure referred to Lok Sabha Unstarred Parliament Question Admitted No. 1756 on “Investment in Renewable Energy Sector” asked by Shri Brijmohan Agrawal to be answered on 29/07/2026. State-Wise Disbursement During Last Two Financial Years: (₹ in Crore) S. No. Name of State/ Union Territory 2024-25 2025-26 A. States 1 Andhra Pradesh 1187.43 2539.12 2 Arunachal Pradesh 61.55 90.61 3 Bihar 68.28 36.00 4 Chhattisgarh 476.59 83.84 5 Gujarat 1532.72 3126.72 6 Haryana 695.67 364.17 7 Himachal Pradesh 440.66 71.58 8 Jharkhand 216.35 98.81 9 Karnataka 3309.93 2998.69 10 Madhya Pradesh 1134.67 2623.86 11 Maharashtra 1803.13 3244.28 12 NCT of Delhi 174.87 93.22 13 Odisha 759.24 323.54 14 Punjab 305.34 317.47 15 Rajasthan 6855.53 5314.65 16 Sikkim 1018.00 28.76 17 Tamil Nadu 3898.13 3946.10 18 Telangana 3987.63 7330.85 19 Uttar Pradesh 628.85 910.87 20 Uttarakhand 84.16 35.16 21 West Bengal 79.50 88.50 22 Multistate Projects 1113.89 1238.62 Total ‘A’ 29832.12 34905.42 B. Union Territory 1 Jammu & Kashmir 335.75 40.25 Total ‘B’ 335.75 40.25 C. Total ‘A’ + ‘B’ 30167.87 34945.67Annexure-II Annexure referred to Lok Sabha Unstarred Parliament Question Admitted No. 1756 on “Investment in Renewable Energy Sector” asked by Shri Brijmohan Agrawal to be answered on 29/07/2026. The following are the initiatives taken by the Government to promote domestic manufacturing of solar module (i) Production Linked Incentive (PLI) Scheme: The Government of India is implementing the Production Linked Incentive (PLI) Scheme for High Efficiency Solar PV Modules, for achieving domestic manufacturing capacity of Giga Watt (GW) scale in High Efficiency Solar PV modules, with an outlay of Rs. 24,000 crore. Under the Scheme, Letters of Award have been issued for setting up of 48,337 MW of fully/ partially integrated solar PV module manufacturing units. (ii) Domestic Content Requirement (DCR): Under some of the current schemes of the MNRE, namely CPSU Scheme Phase-II, PM-KUSUM Components B & C, and PM Surya Ghar: Muft Bijli Yojana, wherein government subsidy is given, it has been mandated to source solar PV cells and modules from domestic sources. (iii) Imposition of Basic Customs Duty on import of solar PV cells and modules: The Government has imposed Basic Customs Duty (BCD) on import of solar PV cells and solar PV modules. (iv) Exemption of Custom Duty on capital goods for manufacture of Solar Cells and Modules: The Government has exempted Basic Customs Duty on import of goods specified in List 18 of Notification No. 45/2025-Customs dated 24th October 2025, for the manufacturer of solar PV cells and modules.Annexure-III Annexure referred to Lok Sabha Unstarred Parliament Question Admitted No. 1756 on “Investment in Renewable Energy Sector” asked by Shri Brijmohan Agrawal to be answered on 29/07/2026. The Government of India has taken several steps and initiatives to promote and accelerate renewable energy capacity in the country. 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. • Pilot scheme for Contract for Difference (CfD) for renewable energy projects of 500 MW capacity issued. The CfD mechanism, a globally proven framework, will provide an alternative instrument (in addition to long term Power Purchase Agreements) for sale of renewable energy, through power exchanges. • 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, Small hydro power development scheme 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.• Waiver on Inter State Transmission System (ISTS) charges for renewable energy projects including green hydrogen projects, with certain timelines and conditions. • 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.