In a recent interview with Renewable Watch, J.P. Chalasani, Chief Executive Officer, Suzlon Group, shared his perspectives on the evolving landscape of the wind energy sector. He spoke about the recent trends shaping the segment, key policy developments such as the GST reforms and the revised ALMM guidelines, and the emerging opportunities in the commercial and industrial (C&I) segments. He also discussed Suzlon’s performance in the past year, its growth strategy, and the company’s outlook for the sector in the coming years. Edited excerpts…
How has the renewable energy sector, particularly the wind power segment, performed over the past one year or so?
The entire world is looking at India’s renewable energy journey as we are charting one of the most ambitious clean energy transition journeys. Recently, we reached 50 per cent of installed capacity from non-fossil fuel sources – a milestone that firmly establishes India as one of the fastest growing clean energy markets in the world – five years ahead of the target.
Within this, wind energy has re-emerged as a critical driver of growth and stability in the renewable mix. India crossed 51 GW of installed wind capacity, steadily progressing towards the 100 GW target by 2030. With policy continuity, the introduction of progressive policies such as the Approved List of Models and Manufacturers (ALMM) for wind, and the growing opportunity in the commercial and industrial (C&I) and PSU segments, wind is on the priority map for both investors and developers.
What will be the impact of the recent GST reforms on the wind energy segment?
We deeply value the Ministry of New and Renewable Energy’s (MNRE) efforts and its continuous commitment to advancing clean energy. The goods and services tax (GST) reduction from 12 per cent to 5 per cent is a decisive step that will significantly reduce power tariffs by up to Re 0.20 per kWh, making clean energy more affordable for consumers and improving project economics for developers.
In wind energy, lower taxation on turbines, nacelles, blades and balance-of-plant components will cut capital intensity and the levellised cost of energy, enabling faster commissioning, lower tariffs and greater capacity additions.
Reforms like these go beyond the energy sector; they stimulate domestic manufacturing, create thousands of jobs and directly contribute to India’s GDP growth.
How is the C&I market segment driving the demand for new wind power development in the country?
The C&I sector is one of the fastest growing drivers of renewable energy demand in India, with its potential estimated to reach 78 GW by 2030. Large corporates, particularly in sectors such as IT, manufacturing, cement, steel and consumer goods, are aggressively signing power purchase agreements (PPAs) to meet the country’s sustainability goals, reduce carbon footprints and lock in cheaper long-term power tariffs compared to grid electricity.
What is the potential for offshore wind energy in the country? How can it be tapped?
We believe offshore wind is still very nascent in the country. High investment costs per MW and the need for advanced technology will make generated power expensive for end-consumers. India has been blessed with a 1.1 TW onshore wind potential, 96 per cent of which remains largely untapped.
With the right technology, this potential can be increased to 3 TW. So as a country, we need to focus on leveraging the onshore wind potential first.
What are the key supply chain issues for turbine manufacturers in India? How does the recent ALMM notification impact the strategies of manufacturers?
India is among the few countries with the capability to develop a complete manufacturing ecosystem for all five major components, and hence, remains mostly unaffected by geopolitical tensions. The recent ALMM (Wind) will enable improved capacity utilisation for many component suppliers/micro, small and medium enterprises, and encourage foreign manufacturers to make in India.
What is your outlook for the wind energy segment going forward? What are the reform measures needed in the segment?
Wind is a critical resource for making India’s energy transition successful, sustainable and, most importantly, affordable. With the right policies and planning, we expect the industry to reach 6 GW of wind installations by FY 2026 and 8 GW by FY 2027.
The MNRE’s revised ALMM guidelines are more than just a policy update – they represent a strategic action plan to ensure that wind energy components are manufactured, designed and tested in India, for India and the world.
Some of the critical challenges being faced by the wind power sector are land acquisition/right-of-way challenges and the timely execution of evacuation systems. There is an urgent need for both the central and state governments to work on these issues. One of the key reforms needed is to consider the 33 kV system (for evacuating power from wind turbines to pooling substations) as a part of Section 164 of the Electricity Act, 2003.
What have been the key performance highlights of Suzlon Energy in the past one year or so? What are your top priorities and key focus areas going forward?
Over the past few years, and especially last year, Suzlon Energy has delivered one of its strongest performances in decades, guided by our singular mantra of “Profitable and Sustained Growth”. In the fourth quarter of FY 2025, we posted a 10-year high profit before tax at Rs 14.47 billion. Notably, the profit after tax stood at Rs 20.72 billion (pursuant to a deferred tax asset recognition of Rs 6.38 billion).
With a firm order book of 5.6 GW and a net cash position of Rs 19.43 billion, Suzlon has emerged stronger and future-ready. Today, we hold a 5.7 GW order book, with 80 per cent from the C&I and PSU segments, underscoring market confidence and sector momentum.
Looking ahead, our priorities include delivering on our 60 per cent growth guidance for FY 2026, increasing our Engineering, Procurement, and Construction share from 22 per cent to 50 per cent by FY 2028, and strengthening our leadership in hybrid and despatchable renewables.
We aim to deepen our C&I and PSU partnerships, build a robust firm and despatchable renewable energy (FDRE) pipeline, drive localisation and leverage 30 years of data intelligence to unlock India’s wind energy potential – contributing to the country’s goals of net zero and Atmanirbhar Bharat.
