Solar Hits 150 GW as India Adds Record 55 GW Non-Fossil Capacity in FY 2025-26

India’s renewable energy sector delivered a transformative performance in FY 2025-26, marking one of the strongest years of capacity addition on record. As on 31 March 2026, total renewable energy installed capacity (excluding large hydro) stood at 223.27 GW, up from 172.37 GW a year earlier — a 29.5% year-on-year jump. Including large hydro and nuclear, the non-fossil base reached 283.47 GW. The year saw 55.29 GW of non-fossil addition (50.91 GW from renewables excluding large hydro), driven almost entirely by solar and wind, with bio-energy and small hydro showing modest single-digit growth. This acceleration reflects maturing supply chains, aggressive bidding, improved transmission infrastructure, and sustained policy support, reinforcing India’s position as a global clean-energy leader while addressing energy security and import dependence.

Solar power remained the undisputed growth engine, expanding from 105.65 GW to 150.26 GW — a massive 42.2% increase and the largest absolute addition of any segment (44.61 GW). Utility-scale ground-mounted projects accounted for the bulk, with rooftop and hybrid components also scaling rapidly under PM-Surya Ghar Yojana and hybrid tenders. Regionally, the Western region dominated, led by Rajasthan (41.01 GW total, adding ~12.73 GW or 45% growth in the state) and Gujarat (29.30 GW total, adding ~10.81 GW). Maharashtra (19.62 GW) and the Southern states of Tamil Nadu (13.58 GW) and Karnataka (11.10 GW) followed, together contributing over 70% of national solar capacity. Eastern and North-Eastern states lagged, though Odisha and Assam posted steady rooftop gains. The shift toward hybrid solar-wind projects (61.94 GW under implementation) highlighted a strategic move to optimise land use and grid stability in high-irradiation zones like Rajasthan and Gujarat.

Wind power grew more moderately but still impressively, rising from 50.04 GW to 56.09 GW (+12.1%, or 6.06 GW added). The Western and Southern coasts continued to lead, with Gujarat (15.64 GW, adding ~2.96 GW) retaining pole position through policy continuity and coastal advantage. Tamil Nadu (12.15 GW) and Karnataka (8.73 GW) strengthened their Southern leadership, while Maharashtra (5.93 GW) and Rajasthan (5.35 GW) rounded out the top five. The segment’s growth was aided by repowering of older turbines and hybrid tenders, though slower than solar due to higher land and evacuation challenges. Overall, wind’s contribution to the renewable mix stabilised at around 25%, providing critical complementarity to solar’s daytime peak.

Bio-power (including bagasse cogeneration, non-bagasse, and waste-to-energy) expanded modestly from 11.58 GW to 11.75 GW (+1.4%, or 0.16 GW added), reflecting saturation in established agri-based segments and slower waste-to-energy rollout. Maharashtra (3.00 GW) and Uttar Pradesh (2.33 GW) remained the top national performers, leveraging agro-industrial clusters in the Western and Northern plains. Karnataka (1.92 GW) led the South, while Eastern states like West Bengal and Odisha showed incremental gains through bagasse and municipal waste projects. The segment’s limited growth underscores the need for stronger supply-chain reforms in biomass collection and off-grid waste-to-energy models.

Small hydro grew marginally from 5.10 GW to 5.17 GW (+1.4%), concentrated in Himalayan and Western Ghats states. Himachal Pradesh (1.01 GW) and Karnataka (1.28 GW) continued as regional frontrunners in the North and South respectively, though environmental clearances and hydrology risks capped expansion. Large hydro (including pumped storage) added 3.69 GW to reach 51.41 GW (+7.7%), with Himachal Pradesh (11.42 GW) reinforcing its Northern dominance and providing essential grid-balancing support.

The pipeline signals even stronger momentum ahead. As on 31 March 2026, 61.03 GW of solar (including hybrids) and 4.89 GW of wind were under implementation, with 37.87 GW solar and 1.80 GW wind already tendered — pushing the total RE pipeline beyond 503 GW. Power Purchase Agreements cover 84.92 GW of projects under execution, de-risking investments and attracting fresh capital. Hybrid tenders, in particular, have emerged as a game-changer, addressing intermittency and transmission constraints in major renewable-rich states.

Policy continuity has been central to this success. Schemes like PM-Surya Ghar Yojana (driving 25.73 GW rooftop solar), KUSUM for agri-solar, and viability-gap funding for hybrids have lowered costs, expanded decentralised generation, and boosted rural economies. The focus on domestic manufacturing under Atmanirbhar Bharat has also paid dividends, reducing module import dependence and creating green jobs across the value chain.

Economically and strategically, the transition carries profound national importance. The 55.29 GW non-fossil addition in FY 2025-26 alone is estimated to save billions in fossil-fuel imports annually, improve the current-account balance, and generate direct and indirect employment for several lakh workers. It enhances grid resilience through diversified sources and pumped storage, lowers long-term power costs for industry and households, and positions India favourably in global climate negotiations. Regionally, the Western and Southern states’ outperformance highlights the need for targeted incentives in Eastern and North-Eastern regions to ensure balanced national growth and inclusive energy access.

Challenges persist — faster evacuation infrastructure, battery storage scale-up at commercial pace, and financial health of distribution companies remain critical. Yet the data as of March 2026 paints a clear picture: India is not only meeting but exceeding its renewable ambitions through disciplined execution and market-driven innovation. With a robust pipeline, proven policy framework, and accelerating private investment, the country is firmly on course to emerge as a global clean-energy powerhouse, powering sustainable economic growth and energy independence for decades to come.

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