India’s renewable transition is evolving from gigawatt targets to a deeper redesign of markets, manufacturing, grid systems and citizen-centric reforms, aimed at delivering a power sector that is flexible, reliable and competitively low-carbon.
If the last decade gave India a new energy baseline, the next must deliver a new energy architecture—one that is citizen-centred, grid-aware, and globally competitive. India’s clean-energy story is no longer measured in gigawatts alone; it is now a story of markets, manufacturing, and millions of empowered consumers. The task is to build a system that creates value where energy is generated, where it is delivered, and where it is used— reliably, affordably, and sustainably.
India’s renewable energy programme today rests on four structural pillars that have steadily evolved from early experimentation into the policy mainstream. The first is scale with purpose: rapid additions in solar and wind capacity have pushed renewables to the centre of planning, procurement and dispatch supported by competitive auctions and transparent contracting that have deepened market liquidity. The second is affordability driven by competition, where falling tariffs, better risk allocation, and stronger counterparty frameworks have made renewables the lowest‑cost source of new power in many contexts—a shift shaped as much by smart policy design as by technology learning curves.
The third pillar is integration by design, as renewables increasingly “talk” to the grid and the market through realtime scheduling, time-of-day retail tariffs, ancillary services and renewable-plus-storage procurement, aligning science, economics and system reliability. The fourth is the rise of institutions that learn, with both central and state bodies steering the transition by pairing ambition with regulatory discipline and market instruments, moving decisively beyond the earlier reliance on one-off schemes.
India’s most profound energy shift is from power‑as‑a service to power‑as‑an‑asset for citizens. The national rooftop solar programme, anchored in a transformative household initiative, seeks not only to subsidise panels but to build a trustworthy and seamless user experience. It does so by offering a single-window consumer journey, pre-approved vendors, high standards, and predictable disbursals, while simultaneously aggregating demand and enabling concessional finance architectures. Complementing this framework are local installation, operations and maintenance (O&M), and skilling ecosystems that create city-level employment. A rooftop, in this model, becomes a small power plant; and when deployed at scale, it evolves into a resilience layer for the grid, a productivity booster for households and Micro, Small, and Medium Enterprises (MSME), and a foundation for new markets in services, sensors and storage
Solarisation of agricultural pumps under Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) scheme is more than a renewable programme; it is a reform through engineering. Three public‑interest outcomes reinforce each other. First, it provides farmers with reliable daytime power, bringing prosperity to farmers. Second, it reduces subsidy burdens and lowers technical losses to ease pressure on utilities. Third, it creates a platform to link efficient pumps and better irrigation practices for groundwater prudence. Ultimately, scheme’s legacy will be defined by its ability to reduce cross‑subsidies, strengthen feeders, and boost rural incomes without endangering water tables.
“PLI scheme has created the foundation for gigawatt scale domestic manufacturing across the solar value chain”
The Production Linked Incentive (PLI) scheme has created the foundation for gigawatt‑scale domestic manufacturing across the solar value chain—from polysilicon to modules and balance‑of‑system components. Priorities going forward include moving from assembly to depth, supported by quality testing and traceability; and diffusion of advanced cell technologies while building indigenous R&D and pilot lines. Equally important is building the full component ecosystem for inverters, glass, backsheets, power electronics, and encapsulants; and designing circularity and recycling into the cost structure early. Manufacturing is not only a national capability, but also a grid capability. It shortens supply chains, stabilises project timelines, and creates skilled employment.
Renewable scale-up hinges on firming (adequacy), forecasting (visibility), and pricing (flexibility). The pathway is clear: Green Energy Corridors and interstate networks that stay ahead of evacuation need; hybrid and round the‑clock procurement that harnesses resource diversity; battery storage and pumped hydro for short and long duration flexibility; time‑of‑day retail tariffs to shape demand; and ancillary services and co‑optimised markets that reward ramping and reserves. Integration is not one reform; it is the cumulative effect of codes, markets, and digitalisation moving cohesively.
“India’s renewable leadership is shaping expectations across the Global South, and the next phase will rest on three critical enablers.”
Commercial and industrial (C&I) demand is an accelerant to decarbonisation. Green Open Access and predictable banking/scheduling frameworks allow enterprises to reduce emissions cost‑effectively. For state systems to benefit, three design levers are essential. The first is transparent, cost‑reflective wheeling and surcharge trajectories. The second is smart metering and energy accounting to curb AT&C losses. The third is Direct Benefit Transfer (DBT)-aligned subsidies that protect vulnerable consumers while retaining price signals.
Delivering 500 GW of non-fossil electricity capacity requires careful sequencing. The first step is to accelerate renewable capacity with diversified siting and strengthened evacuation. Once this is in place, bring f irming resources: hydro, pumped storage, batteries, into markets with stable remuneration. This should be followed by improving fleet flexibility of thermal assets to support renewable variability. Finally, digitise dispatch and retail through time‑variant tariffs, demand response, and data‑rich settlement. The more the system recognises and rewards flexibility, the faster renewables can scale without compromising reliability.
India’s renewable leadership is shaping expectations across the Global South, and the next phase will rest on three critical enablers. First is blended f inance at scale to reduce the cost of capital, especially for distributed and storage‑linked assets. The second is standards and certification that strengthen investor confidence and unlock green attribute trade. The third is interoperable digital rails that allow utilities and citizens to transact securely, aligned with India’s broader Digital Public Infrastructure approach.
A people-centred energy transition means good jobs with strong safety norms. Rooftop, agri‑solar, O&M, storage, and recycling create a continuum of skilled opportunities— from certified installers and technicians to analytics and cybersecurity specialists. A just transition needs structured skilling, portable certifications, and safety embedded into standards and contracts.
Five priorities will shape the next decisive decade for India’s renewable transition. These include rooftop solar at scale, achieved by lowering soft costs, streamlining permissions and deepening urban service ecosystems; Agri-Solar 2.0, which links efficient pumps with agronomic advisories, feeder health and groundwater stewardship; manufacturing depth, driven by accelerated upstream integration and the early codification of quality and recycling norms; f irming and flexibility, enabled by bringing storage and pumped hydro into markets with clear capacity and ancillary products; and consumer centric markets, expanded through time‑of‑day tariffs, demand response and digital settlement for safe, intuitive participation.
India’s renewable journey is ultimately about choice: for households, farmers, enterprises, utilities, regulators, innovators, and manufacturers. The next decade will belong to energy systems that reward flexibility, insist on quality, and treat citizens as participants. With careful sequencing, institutional discipline, and market ready design, India can build a power system that is reliable, affordable, and low‑carbon, offering a compelling template for the world.
The author is Former Secretary, Ministry of New and Renewable Energy, Govt of India. Views are his own.