2024 has been a year of visible maturing of the Indian renewable energy sector. The deployment of new power projects continued at a brisk pace and a slew of successful auctions strengthened the upcoming project pipeline, supported by an enabling policy and regulatory regime and sustained investments in the sector.
There was a clear shift from standalone solar and wind projects towards more balanced and hybrid renewable energy projects especially in the firm and dispatchable renewables space. In addition, there was much-needed focus on securing the country’s supply chains for clean energy equipment. Further, emphasis was given on the policy side to emerging segments like offshore wind, energy storage and green hydrogen. Meanwhile, older but struggling segments like residential rooftop solar and bioenergy got a big boost with new set of policy initiatives.
The overall transition to clean energy in India seems to be finally moving in the right direction – that is more inclusive and diversified across technologies as well as business models. As this growth momentum continues in the next year, and we move closer to our 2030 targets, we are keenly looking forward to a few expected developments in 2025.
First, the results of the first offshore wind auction are expected soon and there is clear anticipation regarding the initial set of projects that receive the viability gap funding support. Second, the inter-state transmission charges waiver for renewable energy projects is going to be withdrawn in June 2025, and it will be interesting to see the impact on bidding activity. Third, the progress of PM Surya Ghar Yojana in taking rooftop solar to household level pan-India will be clearly visible in a few months’ time. Fourth, Approved List of Models and Manufacturers for solar cells will be applicable from June 2026, and initial signs of its impact on overall solar power landscape will be visible from next year onwards. Finally, fifth, we expect the swift launch of policies and schemes for pumped storage projects, critical minerals supply chains as well as carbon markets.
