By Nidhi Dua
India’s wind power sector is evolving rapidly, marked by several policy announcements, regulatory developments and shifting tariff trends. According to the Ministry of New and Renewable Energy (MNRE), as of February 2026, India’s wind capacity had reached over 55 GW, making it the second largest contributor within the renewables sector. The country has a wind energy potential of 1,163.9 GW at 150 metres. However, much of the wind potential and growth has been concentrated in states such as Gujarat, Tamil Nadu, Karnataka and Maharashtra.
Renewable Watch provides an overview of the current status and developments in the sector, including tariff trends, cost economics, status of the manufacturing sector, challenges and the future outlook…
Onshore wind
India’s onshore wind sector has witnessed significant activity, with new capacity additions, project commissioning, and multiple tenders and auctions being announced, driven by the country’s target of achieving 100 GW of onshore wind capacity by 2030. Furthermore, the MNRE is targeting to invite bids for at least 10 GW of wind energy capacity annually from FY 2023-24 through 2027-28.
From January 2025 to March 2026, 9,215.6 MW of standalone wind capacity was tendered. During the same period, seven standalone wind auctions were conducted. The tariff trends for these auctions are illustrated in the graph. During this period, the highest tariff was discovered in SJVN Limited’s 600 MW auction in January 2025 at Rs 3.98 per kWh. Tariffs declined in some subsequent auctions. The lowest tariff during the period was discovered in Gujarat Urja Vikas Nigam Limited’s 250 MW Phase X auction in December 2025 at Rs 3.43 per kWh. This auction activity is resulting in a robust under-construction renewable energy pipeline. According to the Central Electricity Authority’s September 2025 quarterly report on under-construction renewable energy projects, wind power accounts for a substantial share, with over 26 GW of standalone projects and over 28 GW of hybrid projects under construction.
Offshore wind
Recognising India’s offshore wind potential, the government has set a target of deploying 30 GW of offshore wind capacity by 2030. As part of the central government’s bidding trajectory for offshore wind energy projects, around 37 GW of capacity is planned to be bid out by 2029-30. In 2024, the offshore wind segment began gaining momentum following tender announcements and policy interventions. The momentum strengthened further in June 2025, when plans for a fresh offshore wind tender of up to 4 GW covering sites in Gujarat and Tamil Nadu were announced. Planning for the associated transmission infrastructure also progressed in parallel. In March 2025, Power Grid Corporation of India Limited issued a tender for the design, supply and commissioning of a 220 kV undersea export cable and underground land cables for the 500 MW Offshore Wind Zone Phase I project. The project relates to the upcoming offshore wind development at sub-zone B3. Furthermore, in July 2025, the Ministry of Power approved the transmission infrastructure for the proposed 500 MW offshore wind project in Gujarat, which is scheduled for commissioning by March 2029.
Despite these developments, the sector experienced a setback in August 2025 when the Solar Energy Corporation of India cancelled two offshore wind tenders – a 500 MW project in Gujarat and a 4,000 MW seabed lease rights allocation –more than a year after their issuance. The tenders were cancelled due to a lack of developer participation, despite the government’s earlier efforts to support the sector through viability gap funding in 2024 and extended bidding timelines.
Manufacturing
Wind turbine generator (WTG) technology in India has advanced considerably. According to the MNRE, the sector has achieved around 70-80 per cent indigenisation, supported by a strong domestic manufacturing base. Most major global players are present in the Indian market, with nearly 14 companies operating through joint ventures under licensed production, subsidiaries of foreign companies, and Indian firms with their own technology. The unit size of wind turbines has increased to up to 5.3 MW. Currently, the annual domestic manufacturing capacity for wind turbines in India is about 18,000 MW.
The country has developed manufacturing capabilities across key WTG components such as nacelles, blades, towers, gearboxes, generators, converters and large castings, supported by both domestic manufacturers and global suppliers, according to GWEC’s India Wind Report 2025. The report further highlights that in the nacelle segment, the total manufacturing capacity in India is around 20 GW. Of this, Indian payers account for about 8 GW, while the remaining 12 GW is contributed by foreign players. In the blade segment, India has around 16 GW of manufacturing capacity. This capacity is split between about 8 GW produced in-house by original equipment manufacturers (OEMs) and around 8 GW manufactured by third-party suppliers. Similarly, in the tower segment, India has about 15 GW of manufacturing capacity, with around 6 GW produced in-house by OEMs and about 9 GW supplied by third-party manufacturers. For gearboxes, the Indian manufacturing base is around 29 GW. In the generator segment, the total manufacturing capacity in India is around 10 GW, including about 1 GW produced in-house by OEMs and around 7 GW manufactured by third-party suppliers. In the converter segment, India has around 11 GW of manufacturing capacity, comprising about 2 GW produced in-house by OEMs and around 9 GW by third-party suppliers. Finally, in the large casting segment, India has around 9 GW of manufacturing capacity.
Recently, several amendments were also introduced to strengthen turbine quality standards, address operational challenges, and ease supply chain constraints while supporting timely project implementation.
In December 2025, the MNRE amended the standard operating procedures for the Approved List of Models and Manufacturers (ALMM) for wind turbines and components. The revision strengthened provisions related to performance efficiency and safety, requiring turbine performance to be tested and certified by accredited laboratories as per IEC 61400-12-1 standards. The amendment also encouraged prototype testing in India, which will become mandatory after two years, subject to review.
In February 2026, the MNRE amended the procedure for the inclusion and updating of wind turbine models in the ALMM, providing additional time for compliance related to special bearings due to supply chain constraints.
Challenges and the way forward
Several challenges continue to affect the growth of the wind energy sector in India. These include difficulties in land acquisition, project execution and achieving grid connection. Unlike solar projects, which are not restricted to a specific location and generally allow easier land acquisition, wind projects require specific sites and often involve non-contiguous land parcels, which increases right-of-way efforts. In addition, resource assessment and project execution timelines are also longer for wind projects compared to solar projects. Additionally, limited progress in the offshore wind segment is a key concern.
India aims to reach 100 GW of onshore wind capacity by 2030, which will require a strong scale-up in installations. With around 55 GW already installed, the country needs to add about 45 GW over the next four years, translating to roughly 11.25 GW annually. Encouragingly, with nearly 48 GW of wind capacity already under construction, including both standalone wind and hybrid, India appears on track to meet its onshore wind target. However, the country is yet to witness its first offshore wind installation, and at the current pace, the 2030 offshore target seems difficult to achieve.
Overall, the wind sector appears to be entering a phase of gradual but steady growth. While progress is supported by the expansion of hybrid projects, increasing demand for round-the-clock power and a strong domestic manufacturing base, challenges related to project execution, slower contracting and uncertainties in offshore wind development will need to be addressed for the country to remain on track toward its 2030 wind capacity goals.
