
India installs record 22 GW renewable capacity in H1 2025; solar leads with 18.4 GW: Report
Of the total, 18.4 GW came from solar installations, followed by 3.5 GW of wind and 250 megawatts (MW) of bioenergy. This is the highest-ever renewable capacity addition for any six-month period in the country. The growth was driven by developers rushing to capitalise on the Interstate Transmission System (ISTS) charge waiver, which starts at 25 per cent and increases annually until full implementation in June 2028.
With this, India's total installed renewable energy capacity, including large hydropower, has reached 234 GW. However, fossil fuels continued to account for around 75 per cent of the electricity generated in the first half of 2025, the report noted.
'India installed 22 GW of renewable energy capacity in the first half of 2025, a new record. However, the country is still banking heavily on coal to meet growing power demand, with plans to install an additional 80 GW of new thermal projects. India is not yet undergoing a true energy transition; instead, it is focusing on building up installed capacity from both conventional and renewable energy sources to ensure energy security. Without urgent action to improve affordability and sustainability, particularly through grid upgrades and energy storage, coal will remain central to electrification efforts, jeopardizing progress toward India's net-zero goals,' said Sushma Jagannath, Vice President of Renewables and Power Research at Rystad Energy.
Battery Energy Storage Systems
(BESS) also saw a major expansion, with a total of 7.6 GW allocated to developers. This includes 5.4 GW of collocated solar and BESS projects, and 2.2 GW of standalone BESS—India's highest BESS allocation to date. Average tariffs were ₹4,000 per megawatt-hour (MWh) for standalone BESS and ₹3,208 per MWh for collocated solar-BESS projects.
Jindal Group secured 990 MW of collocated solar and BESS capacity, while NTPC and ReNew each won 900 MW. In the standalone BESS segment, JSW Energy was allocated 625 MW and Reliance Power secured 525 MW of collocated capacity. Adani Green Energy secured a 510 MW collocated solar and BESS project.
State-wise, Rajasthan led the renewable capacity chart with 37.4 GW, including 32 GW of solar and 5.2 GW of wind. Gujarat followed with 35.5 GW (21.5 GW solar and 13.8 GW wind), while Tamil Nadu ranked third with 11.8 GW of wind and 10.6 GW of solar. Tamil Nadu also contributed 1 GW to the national bioenergy total of 11.6 GW. Other key contributors to onshore wind capacity included Karnataka (7.7 GW), Maharashtra (5.3 GW), Andhra Pradesh (4.4 GW), and Madhya Pradesh (3.2 GW).
Rystad Energy stated that the strong BESS auction participation reflects growing attention to grid stability and renewable integration. It expects continued acceleration in the sector due to policy and market signals.
Nuclear power also saw some expansion, with the commissioning of the 700 MW Unit 7 of the Rajasthan Atomic Power Project. The government has also approved the country's first small modular reactor (SMR) in Bihar.
Despite the growth in renewables and storage, coal remains the mainstay of India's power mix, and its phase-down remains a critical challenge in achieving the country's net-zero targets.
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