Summary:
India’s renewable energy sector marked a historic achievement in FY25, with the Ministry of New and Renewable Energy (MNRE) making significant strides under Prime Minister Mr. Narendra Modi’s leadership. The country added an impressive 25 gigawatts (GW) of renewable energy capacity, reflecting a 35% jump from the 18.57 GW installed in the previous year. The solar sector played a pivotal role in this expansion, with new installations increasing from 15 GW in FY24 to nearly 21 GW in FY25, an exceptional 38% growth. A major highlight was India crossing the milestone of 100 GW in total installed solar capacity.
India’s solar manufacturing sector also witnessed substantial growth. The nation’s solar module production capacity almost doubled, rising from 38 GW in March 2024 to 74 GW in March 2025, while solar photovoltaic (PV) cell manufacturing saw an even more dramatic threefold increase from 9 GW to 25 GW. Additionally, India inaugurated its first 2 GW ingot-wafer manufacturing facility in FY25. The Production Linked Incentive (PLI) Scheme for High-Efficiency Solar PV Modules attracted investments totalling Rs. 41,000 crore (US$ 4.8 billion), generating employment for approximately 11,650 people. Meanwhile, the PM Surya Ghar Muft Bijli Yojana provided electricity benefits to over 11.01 lakh households, with Rs. 5,437.20 crore (US$ 636.59 million) disbursed as Central Financial Assistance to 6.98 lakh recipients. The Green Hydrogen sector also advanced significantly, with Rs. 2,220 crore (US$ 259.92 million) allocated to establish electrolyser manufacturing capacity of 1,500 megawatts (MW) per annum, while Rs. 2,239 crore (US$ 262.14 million) was designated for the production of 4,50,000 tons per annum of Green Hydrogen. Under the PM-KUSUM Scheme, 4.4 lakh pumps were installed as part of Component B, while 2.6 lakh pumps were transitioned to solar power under Component C. Additionally, the Indian Renewable Energy Development Agency (IREDA) sanctioned loans worth Rs. 47,453 crore (US$ 5.56 billion), reflecting a 27% increase, while loan disbursements rose by 20%, reaching Rs. 30,168 crore (US$ 3.53 billion).
Source: IBEF
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