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Subject: Renewable Energy Sector

  • India’s Renewable Energy Installed Capacity Nearly Quadruples Since 2014

    Why in News?

    The Union Government informed the Rajya Sabha that India’s installed renewable energy (RE) capacity has increased from 76.38 GW in 2014 to 288.58 GW (as of 30 June 2026), marking nearly a fourfold increase.

    Key Highlights

    • India’s total renewable energy installed capacity reached 288.58 GW by 30 June 2026.
    • Solar power contributes the largest share with 162.15 GW.
    • Wind power accounts for 57.44 GW.
    • Hydro power contributes 57.24 GW.
    • Bio power contributes 11.75 GW.

    Non-Fossil Fuel Electricity Capacity

    • Total installed non-fossil fuel electricity capacity stands at 297.36 GW.
    • It comprises: 288.58 GW from renewable energy. 8.78 GW from nuclear power.

    Investment in Renewable Energy (FY 2014 to FY 2026)

    • The renewable energy sector attracted USD 45.72 billion in Foreign Direct Investment (FDI).
    • Domestic financial institutions deployed ₹12.32 lakh crore towards the sector.
    • Major financing institutions include IREDA, PFC, REC, IIFCL, NaBFID, SIDBI, along with 12 Public Sector Banks.

    Significance

    • Solar energy has become India’s largest renewable energy source.
    • Strengthens India’s progress towards its Nationally Determined Contributions (NDCs) and Net Zero by 2070 target.
    • Improves energy security by reducing dependence on imported fossil fuels.
    • Encourages green jobs, private investment, and domestic manufacturing.
    • Supports the growth of emerging sectors such as Green Hydrogen and battery storage.

    Challenges

    • Integrating intermittent renewable energy into the power grid.
    • Scaling up energy storage infrastructure.
    • Land acquisition and transmission bottlenecks.
    • Financial stress of power distribution companies (DISCOMs).

    [2022] Consider the following statements:
    1. Gujarat has the largest solar park in India.
    2. Kerala has a fully solar powered International Airport.
    3. Goa has the largest floating solar photovoltaic project in India.
    Which of the statements given above is/are correct?

    [A] 1 and 2

    [B] 2 only

    [C] 1 and 3

    [D] 3 only

  • India’s Green Transition Is Missing Long-Duration Energy Storage

    Why in the News?

    India recorded its highest-ever electricity peak demand of 270.8 GW on May 21, exposing gaps in the country’s storage architecture during periods of low renewable generation. This has sharpened focus on long-duration energy storage (LDES), a category entirely absent from India’s current national storage planning framework despite its technologies and resource potential already existing.

    Why did India’s existing storage roadmap prove inadequate against actual demand patterns?

    1. Record peak demand: India recorded its highest-ever peak electricity demand of 270.8 GW on May 21. This is an increase of approximately 90 GW over the same period in 2019.
    2. Dual demand peaks: Power generators typically meet India’s summer daytime peak. Demand rises again at night, driven largely by air conditioner use, precisely when solar generation is unavailable.
    3. Roadmap’s duration ceiling: The 2026 Long-Term National Resource Adequacy Plan envisages 80 GW of battery energy storage and 94 GW of Pumped Hydroelectric Energy Storage (PHES) by FY2035-36. These translate to average discharge durations of roughly 4 hours and 6 hours, respectively.
    4. Adverse-weather gap: Four-to-six-hour storage can manage routine daily demand swings. It cannot sustain the grid through prolonged low-generation events such as heatwaves.

    What technologies make up India’s Long-Duration Energy Storage (LDES) landscape, and how do they compare?

    1. Definition: LDES refers to technologies that store energy and discharge it as power or thermal energy over extended periods, ranging from 8 hours to days, weeks, or seasons.
    2. Functional distinction: Short-duration storage systems discharge for under 8 hours and smooth intra-day demand fluctuations. LDES instead balances supply and demand over prolonged periods, eases grid congestion, and adds resilience.
    3. Pumped Hydroelectric Energy Storage (PHES): PHES remains the technology benchmark. It has mature infrastructure and an energy efficiency of 70-80%.
    4. Compressed-Air Energy Storage (CAES): CAES has a similar level of market readiness to PHES. Its efficiency is slightly lower, at 40-70%.
    5. Thermal and hydrogen storage: Thermal storage offers the longest discharge duration among developed technologies, around 200 hours, with 55-90% efficiency. Hydrogen-based storage can discharge for up to 1,000 hours but remains inefficient.
    6. Vanadium flow batteries and emerging tech: Vanadium flow batteries are commercially ready, come in different sizes, and deliver 80-85% efficiency across 10-24 hour durations. Iron-air batteries are an emerging technology still under development.

    Why do cost and site constraints limit LDES deployment despite its technical readiness?

    1. Duration-cost relationship: Longer discharge duration improves a technology’s economics. Storing more energy simultaneously raises total costs, making short-duration systems uncompetitive beyond six hours of discharge.
    2. Cheapest options: PHES and CAES are currently the most cost-effective and commercially viable LDES technologies, at $0.12/kWh and $0.10/kWh respectively, per a Pacific Northwest National Laboratory study.
    3. Site dependency of PHES: PHES needs two water reservoirs at different heights, adequate land, and sufficient height difference for water to generate force when released.
    4. Site dependency of CAES: CAES needs large underground spaces, such as salt caverns or depleted gas fields, that can safely hold high-pressure air without leaking.
    5. Site-flexible alternatives: Where such geological or land conditions are unavailable, hydrogen, thermal storage, or vanadium flow batteries are more suitable, since they depend less on specific land, water, or subterranean conditions.

    What do international institutional and regulatory models demonstrate about accelerating LDES investment?

    1. LDES Council (international industry body): This body brings together industry leaders, technology developers, investors, and policymakers to accelerate LDES innovation and commercialisation. It projects a significant decline in LDES costs by 2030.
    2. United States-Pacific Northwest National Laboratory: This research body, under the U.S. Department of Energy, benchmarked PHES and CAES as the most cost-effective LDES technologies at present.
    3. California-Public Utilities Commission: California’s primary utility regulator has set an LDES procurement target of 2 GW, to be deployed between 2031 and 2037.
    4. United Kingdom- investor revenue guarantee: The U.K. has launched a financial framework guaranteeing LDES projects a minimum revenue even in poor market conditions, to unlock investment and accelerate deployment.

    Where does India currently stand on LDES resource potential and deployment?

    1. PHES potential: A 2026 Central Electricity Authority report placed India’s PHES potential at about 267 GW.
    2. Planned PHES capacity: India plans to install PHES projects with an aggregate capacity of 100.8 GW by 2035-36. Of this, 11.6 GW is currently under construction.
    3. CO2 battery pilot: In early 2025, India launched a 160-MWh carbon dioxide battery storage system at NTPC Kudgi, Karnataka. It cycles carbon dioxide between liquid and gas phases and has an operational life exceeding 25 years.
    4. Vanadium flow pilot: India inaugurated its first MWh-scale vanadium redox flow battery system, a 3-MWh facility at NTPC Greater Noida.

    Why does India’s national storage planning still not recognise LDES as a category?

    1. Resource Adequacy Plan silence: The Long-Term National Resource Adequacy Plan acknowledges the general role of energy storage in grid reliability. It does not specifically recognise the need for LDES.
    2. National Electricity Plan silence: The National Electricity Plan projects capacities for battery energy storage systems and PHES. It provides no technology-specific assessments or deployment pathways for LDES.
    3. Capability-recognition gap: India already has a 267 GW PHES resource base and functioning LDES pilot projects. National planning documents do not treat LDES as a distinct storage category requiring its own targets or provisions.

    What policy and institutional measures would close India’s LDES planning gap?

    1. Framework integration: LDES should be incorporated into the Ministry of Power’s National Framework for Promoting Energy Storage Systems, with guidelines on its deployment and grid integration.
    2. Technology-specific planning: Future planning exercises should estimate LDES requirements and identify technologies suited to India’s extreme weather and geography, rather than treating storage as a single undifferentiated category.
    3. Clearances and regulatory classification: Faster environmental and land clearances, transmission alignment, and clear regulatory classification of LDES technologies are needed to unlock investment.
    4. Technology-agnostic incentives: The incentive structure, including subsidies and viability-gap funding, must be technology-agnostic and incentivise co-location with data centres. As the market matures, the focus must shift to long-term revenue contracts, tariff structures, and procurement frameworks.
    5. Capacity building: Dispatch centres need staff trained in optimal dispatch, multi-day charge-discharge decisions, and state-of-charge management across seasons, supported by clear protocols for LDES.

    Conclusion

    India’s storage roadmap treats energy storage as a short-duration, hourly balancing problem, while a renewables-heavy grid increasingly requires multi-day resilience. LDES technologies and resource potential already exist in India; what is missing is formal policy recognition, technology-specific planning, and an incentive architecture built around them. Unless LDES is written into national storage planning documents, India’s clean energy transition will remain dependent on favourable weather and market conditions rather than assured grid reliability.

  • El Niño to Dent India’s Wind & Hydropower Output

    Why in the News?

    The Centre for Research on Energy and Clean Air (CREA) projects an 18 TWh clean-power shortfall for India by June 2027, driven by El Niño-linked weakness in wind and hydropower output and rising cooling demand. The finding exposes a gap between the record renewable capacity India has installed and the storage needed to actually deliver that capacity as power, forcing the shortfall to be filled by coal.

    What has changed in India’s exposure to this El Niño cycle?

    1. Monsoon deficit: June rainfall closed with an all-India deficit of about 40%, the fifth-lowest June since 1901, with the cumulative shortfall at 20% below normal by July 6.
    2. IMD forecast: The India Meteorological Department has forecast below-normal southwest monsoon rainfall at 90% of the long-period average, with a 60% chance of a deficient season.
    3. Generation gap: CREA projects a median shortfall of 17.7 TWh and a severe-case shortfall of 24 TWh, against India’s total 2025-26 generation of about 1,846 billion units.
    4. Emissions cost: A coal-led response to the gap would release an estimated 17 million tonnes of additional carbon dioxide.

    Is this a capacity shortfall or a utilisation shortfall?

    1. Record capacity base: Non-fossil installed capacity reached 283.46 GW by March 31, including 150.26 GW of solar and 56.09 GW of wind.
    2. Record additions: India added 44.6 GW of solar and 6 GW of wind capacity in 2025-26 alone.
    3. Curtailment: Grid operators curtailed about 2.1 TWh of solar and wind generation last year to keep coal plants running.
    4. Storage gap: CREA estimates roughly 10 GWh of battery storage could have averted this curtailment.

    Why does the response default to coal rather than storage?

    1. Coal’s continuing weight: Coal remains about 42% of installed capacity even as coal generation fell 3.69% over the year.
    2. New coal pipeline: India is adding around 130 GW of new coal capacity to buffer peak demand, such as the 270.82 GW peak recorded on May 21.
    3. Policy diagnosis: CREA director Nandikesh Sivalingam states India must move faster on batteries and grid upgrades to meet future demand surges.
    4. Dispatch logic: Coal capacity can be dispatched on demand without storage investment, making it the default buffer despite its emissions cost.

    Conclusion

    India’s projected clean-power shortfall is a storage and grid-integration deficit, not a generation deficit. The 130 GW of new coal capacity being planned addresses the symptom of demand variability, not the missing battery and transmission investment needed to convert installed renewable capacity into reliable output. Without storage scaling alongside capacity addition, each future El Niño cycle will repeat the same coal fallback and its emissions cost.

  • What do you understand by run of the river hydroelectricity project? How is it different from any other hydroelectricity project?

  • Write a note on India’s green energy corridor to alleviate the problem of conventional energy.

  • To what factors can be the recent dramatic fall in equipment cost and tariff of solar energy be attributed? What implications does the trend have for thermal power producers and related industry?

  • Give an account of the current status and the targets to be achieved pertaining to renewable energy sources in the country. Discuss in brief the importance of National Programme on Light Emitting diodes (LEDs).

  • “Access to affordable, reliable, sustainable and modern energy is the sine qua non to achieve Sustainable Development Goals (SDGs)”. Comment on the progress made in India in this regard.

    The SDGs recognise energy as a foundational driver of human development. SDG-7 emphasises ensuring affordable, reliable, sustainable and modern energy for all.

    Importance of Energy for SDGs

    SDG 1 & 2 – Affordable energy reduces poverty and improves food security through irrigation, cold chains. Eg- Solar pumps under PM-KUSUM

    SDG 3 – Clean cooking reduces indoor air pollution and respiratory diseases. Eg- 10 Cr LPG connections under PM Ujjwala

    SDG 4 – Electrification improves learning outcomes and digital access. Eg- Electrification of over 1 lakh schools under Saubhagya Scheme

    SDG 8 – Creates green jobs and boosts industrial productivity. Eg- India’s renewable industry employs over 3.7 lakh workers

    SDG 9 – Supports innovation and sustainable infrastructure. Eg- Green Hydrogen Mission

    SDG 10 – Reduces inequality through universal access. Eg- Rural electrification through DDU Gram Jyoti Yojana

    SDG 13 – Clean energy drives climate change mitigation.

    SDG 5 – Clean cooking reduces drudgery of women and improves participation in the workforce.

    Progress Made by India in Energy

    Clean Cooking Energy – PM-Ujjwala raised LPG coverage to 99% of households.

    Renewable Energy Expansion

    India ranks 4th globally in renewable capacity.

    244+ GW installed RE capacity (50% of total demand)

    Energy Efficiency Gains- PAT, BEE standards saved significant electricity and reduced CO₂ emissions.

    Global Leadership

    International Solar Alliance (ISA) promotes global solar cooperation.

    Coalition for Disaster Resilient Infrastructure (CDRI) integrates climate-resilient energy systems.

    New Technologies – National Green Hydrogen Mission to produce 5 MMT of green hydrogen by 2030.

    Updated NDC Commitments

    45% reduction in emission intensity of GDP by 2030.

    50% electricity from non-fossil sources.

    Net Zero by 2070.

    Challenges

    Import Dependency: over 85% of its crude oil and 50% of its natural gas

    Financing Needs: $160 billion per year to meet 2070 goal ((IEA)).

    Rising Energy Demand: double by 2040

    High DISCOM losses affect reliable supply.

    Affordability concerns – rising LPG refill prices.

    Land acquisition issues for solar/wind parks.

    Going forward, technology integration, financial reforms, domestic manufacturing, and a just transition is needed for Energy Security.

  • Describe the benefits of deriving electric energy from sunlight in contrast to the conventional energy generation. What are the initiatives offered by our Government for this purpose?

    India ranks 3rd globally in Solar Power capacity, (IRENA 2025) with 1.16 GW production. Solar energy is critical for objective of 500 GW of clean energy by 2030.

    Benefits of Deriving Electric Energy from Sunlight vs Conventional Energy Generation

    Sunlight is inexhaustible, unlike fossil fuels that are finite and depleting. India receives 4-7 kWh/m²/day solar radiation.

    Enhances Energy Security – Reduces dependence on imported coal, oil, and gas. (India imports over 85% of crude oil)

    Once installed, solar projects have minimal maintenance and no fuel cost, unlike thermal plants dependent on continuous coal supply.

    Decentralised and Inclusive – Solar energy supports off-grid and rooftop systems. Eg- Solar Pumps under PM Kusum

    Promotes Improved Public Health – Solar reduces air pollution-related diseases linked with thermal power. Eg- asthma, cardiovascular illnesses.

    Solar energy is critical for achieving India’s NDC targets of 50% non-fossil electricity by 2030 and Net Zero by 2070.

    Generates Green Jobs in solar manufacturing, installation, maintenance. India’s RE sector employs 3.7 lakh+ workers (IRENA 2024).

    Government Initiatives to Promote Solar Energy in India

    National Solar Mission – Target of 280 GW solar capacity by 2030.

    PM-KUSUM Scheme – Promotes solar pumps and solarisation of agricultural feeders.

    PM Surya Ghar Muft Bijli Yojana (2024) – Supports rooftop solar installation for households with subsidy and free electricity up to 300 units/month.

    Solar Parks and Ultra Mega Solar Power Projects – Eg- Bhadla (Rajasthan) and Pavagada (Karnataka). (target of 40 GW by March 2026)

    PLI Scheme – Encourages domestic manufacturing of high-efficiency solar PV modules and cells.

    Green Energy Corridor – Strengthens transmission infrastructure.

    International Solar Alliance (ISA) – India’s global initiative to promote solar energy in tropical countries.

    Solar Cities Programme – Promotes solar-based infrastructure in urban and semi-urban areas.

    PM JANMAN: electrifying one lakh un-electrified households in Tribal and PVTG habitations across 18 states

    State-level initiatives

    SMART Solar Scheme (Maharashtra) – Offers subsidies up to 95% for 1 kW rooftop solar system

    Indira Soura Giri Jala Vikasam (Telangana) – 100% subsidy for solar-powered irrigation systems

    These initiatives underscore India’s vision of inclusive, secure, and clean energy for all (SDG -7).

  • Do you think India will meet 50 percent of its energy needs from renewable energy by 2030 ? Justify your answer. How will the shift of subsidies from fossil fuels to renewables help achieve the above objective? Explain.

    Under panchamrit Targets at COP26, India committed to achieving 50 percent of its installed electricity capacity from non-fossil (clean and renewable) sources by 2030.

    Progress towards 50% energy needs from renewables – Justification

    Non-fossil capacity reached around 50% of installed capacity in 2025, ahead of the 2030 deadline.

    India stands 4th globally in Renewable Energy Installed Capacity, 4th in Wind Power capacity and 3rd in Solar Power capacity (as per IRENA RE Statistics 2025).

    India focuses on five key priorities to achieve its 2030 target of 500 GW non-fossil capacity.

    Better Contracts: Long-term power deals to attract investors.

    Stronger Grids: Modern grids and battery storage for steady power supply.

    Make in India: Boosting local production of solar panels and wind turbines.

    Smart Land Use: Using land wisely with floating solar and solar on farms.

    Easy Financing: Making funds available to support clean energy projects.

    Government efforts

    National Solar Mission – Expansion of solar capacity at utility and rooftop level.

    PM-KUSUM – Solarisation of agricultural pumps and rural feeders.

    National Wind-Solar Hybrid Policy – Maximises land and grid utilisation.

    PM Surya Ghar Muft Bijli Yojana – Accelerates residential rooftop solar.

    Institutional mechanisms

    Green Grids Initiative under OSOWOG

    BEE and PAT Scheme – Promote energy efficiency.

    Economic incentives

    PLI Scheme for Solar PV Modules and Batteries

    Viability Gap Funding and Capital Subsidies

    Green bonds for clean energy projects.

    Global efforts and partnerships

    Technology transfer and funding through ISA, IBSA, G20

    Participation in Just Energy Transition Partnerships (JETP) and multilateral climate funds.

    Challenges

    Policy inconsistency (continued approval of coal plants) weakens investor confidence in renewables.

    Financial Challenges

    India needs nearly

    High upfront capital costs and slow RoI discourage private investors.

    Limited availability of low-cost green finance for small and medium developers.

    Intermittency issue and limited energy storage solutions.

    Grid integration problems due to weak transmission and distribution.

    Import Dependence. Eg- China supplied ~56% of India’s solar cells in FY2024. 100% import-dependent for lithium, cobalt, nickel, graphite, copper.

    Skilled manpower shortage in advanced RE technologies.

    Land & Environmental Constraints – Eg- Sillahalla Hydro Project (Tamil Nadu) raised concerns over biodiversity loss and displacement.

    E-Waste – No comprehensive solar recycling policy or sufficient recycling infrastructure

    Delayed payments and PPA renegotiations/cancellations coupled with weak financial capacity of DISCOMS impact market stability

    How shifting subsidies from fossil fuels to renewables will help

    Level playing field – Removing fossil-fuel subsidies makes RE more competitive and attractive.

    Lower cost of clean energy – Redirected subsidies can reduce tariffs of solar and wind

    Crowding in private investment due to higher returns and lower risk

    Savings can be used for battery storage, smart grids, green corridors and EV charging networks.

    Reduced fossil fuel demand due to higher prices

    Global leadership – Strengthens India’s position in climate negotiations and green diplomacy.

    Way Forward

    Optimize Land and Water Resources – Eg- Omkareshwar Floating Solar Park.

    Develop Renewable Energy Clusters with single-window clearances and fiscal incentives.

    Leverage Emerging Technologies – Eg- blockchain-based P2P renewable energy trading

    Expand Renewable Infrastructure – Scale rooftop solar, microgrids and solar pumps for rural electrification and off-grid solutions.

    Circular Waste-to-Energy Parks using anaerobic digestion, gasification and pyrolysis. Eg- Jamnagar

    India’s energy transition can help realise SDG 7 (Affordable and Clean Energy), SDG 13 (Climate Action), and SDG 9 (Industry, Innovation, and Infrastructure).