India adds record 29 GW solar, wind in first half of 2026
India added a record 29 GW of combined solar and wind capacity between January and June 2026 (H1 2026), according to official capacity-addition data.
Solar accounted for roughly 26 GW of this addition — utility-scale solar contributed about 19 GW (up 32% year-on-year), rooftop solar about 6.4 GW (up 104% year-on-year), and off-grid/distributed solar about 0.84 GW (up 3% year-on-year).
Wind capacity additions stood at about 2.9 GW for H1 2026, a decline of roughly 16% compared to the same period a year earlier.
H1 2026 solar additions alone already amount to nearly 70% of the total solar capacity added across the whole of calendar year 2025.
Cumulative installed renewable energy capacity reached about 288 GW by June 2026, with Gujarat and Rajasthan leading in solar additions and Gujarat and Maharashtra leading in wind additions.
India's Updated NDC and the 500 GW Non-Fossil "Panchamrit" Target
At COP26 in Glasgow (2021), India announced five climate commitments known as "Panchamrit," including reaching 500 GW of non-fossil energy capacity by 2030 and meeting 50% of energy requirements from renewable sources by 2030. India's updated Nationally Determined Contribution (NDC), submitted to the UNFCCC in August 2022, formalised two of these as binding targets: a 45% reduction in the emissions intensity of GDP by 2030 (from 2005 levels), up from the earlier 33-35% target, and about 50% cumulative electric power installed capacity from non-fossil fuel sources by 2030, up from the earlier 40% target.
Key Details
- Panchamrit also includes a 1 billion tonne reduction in projected carbon emissions by 2030 and a net-zero emissions target by 2070.
- India reached the 50% non-fossil installed capacity milestone ahead of schedule; official data has shown non-fossil capacity (renewables plus nuclear) crossing roughly 283-284 GW against a total installed base of about 484-500 GW.
- The 500 GW non-fossil capacity target itself is a national ambition stated alongside the NDC, not a formal UNFCCC-registered NDC figure.
The H1 2026 addition of 29 GW, with roughly 47 GW expected for the full calendar year, is the annual increment that feeds directly into the 500 GW by 2030 non-fossil target and the NDC's 50% non-fossil capacity commitment.
Institutional and Scheme Architecture Driving Capacity Addition
Renewable energy in India is administered by the Ministry of New and Renewable Energy (MNRE), with the Central Electricity Authority (CEA) responsible for power system planning and standards. Capacity growth in specific segments is driven by dedicated central schemes: PM-KUSUM for agricultural solar, PM Surya Ghar: Muft Bijli Yojana for rooftop solar, and the Production Linked Incentive (PLI) scheme for domestic solar manufacturing.
Key Details
- PM-KUSUM (Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan) has three components: Component-A for 10,000 MW of decentralised ground/stilt-mounted solar plants (500 kW-2 MW) by farmers/FPOs/panchayats; Component-B for 14 lakh standalone solar agriculture pumps; Component-C for solarisation of 35 lakh grid-connected agriculture pumps.
- PM Surya Ghar: Muft Bijli Yojana, launched February 2024, targets rooftop solar on 1 crore households with a total outlay of about ₹75,021 crore, subsidy of ₹30,000/kW (up to 2 kW) and ₹18,000/kW thereafter (capped at ₹78,000), and up to 300 units of free electricity monthly.
- The PLI Scheme for High Efficiency Solar PV Modules was approved in two tranches — Tranche-I (₹4,500 crore, 2021) and Tranche-II (₹19,500 crore, 2022) — taking the total outlay to about ₹24,000 crore for GW-scale domestic module manufacturing.
- The National Green Hydrogen Mission, approved by the Union Cabinet in January 2023 with an outlay of ₹19,744 crore, targets 5 million metric tonnes per annum (MMT) of green hydrogen production by 2030, requiring about 125 GW of additional renewable capacity.
The 104% year-on-year jump in rooftop solar in H1 2026 aligns with the ramp-up of PM Surya Ghar, while sustained utility-scale solar growth reflects PLI-backed domestic module manufacturing capacity coming online.
India's Global Standing in Renewable Energy Capacity
India ranks third globally in total installed renewable energy capacity, after China and the United States. As of around March 2026, India's installed renewable capacity stood at about 274.68 GW, compared to China's approximately 2,258 GW and the US's approximately 468 GW, placing India ahead of Brazil (about 228 GW) and Germany (about 200 GW).
Key Details
- India's solar capacity has grown roughly 53-fold since 2014, with installed solar capacity crossing 150 GW and wind capacity crossing 56 GW as of early 2026.
- Full-year (FY 2025-26) non-fossil capacity addition reached about 55 GW, nearly double the prior year's addition of about 29.5 GW.
- The rankings are based on standard IRENA-type installed-capacity comparisons across countries.
The H1 2026 record addition consolidates India's third-place global ranking and narrows the gap in absolute non-fossil capacity even as China and the US remain far ahead.
Grid Integration Challenges: ISTS Waiver Phase-Out and Battery Storage
As renewable capacity scales rapidly, grid integration has become a binding constraint. Two policy instruments are central to this: the Inter-State Transmission System (ISTS) charge waiver for renewable projects, and Viability Gap Funding (VGF) for Battery Energy Storage Systems (BESS) to manage intermittency and curtailment.
Key Details
- The ISTS charge waiver gave a 100% exemption on inter-state transmission charges/losses for solar, wind, and hybrid projects commissioned on or before 30 June 2025 (for 25 years); projects commissioned in successive years up to 30 June 2028 get a progressively reduced waiver (75% down to 25%), with no waiver thereafter.
- The BESS VGF scheme, funded through the Power System Development Fund, offers up to 40% capital cost support; a 2026-approved tranche supports 30 GWh of grid-scale storage with about ₹5,400 crore in capital subsidy.
- The Ministry of Power's Energy Storage Obligations (ESO) require utilities to progressively raise storage to about 4% of electricity demand by 2030 (roughly 200-250 GWh), aimed at reducing renewable energy curtailment from intermittency.
As India adds capacity at record pace, the phase-out of the ISTS waiver and the scaling of BESS/VGF support determine whether this generation can actually be evacuated and used without curtailment, making grid integration policy as consequential as capacity addition itself.
- Total solar + wind capacity added, H1 2026 (Jan-Jun): ~29 GW
- Solar addition, H1 2026: ~26 GW (utility-scale ~19 GW, rooftop ~6.4 GW, off-grid ~0.84 GW)
- Wind addition, H1 2026: ~2.9 GW (down ~16% year-on-year)
- Cumulative installed renewable capacity, June 2026: ~288 GW
- India's global rank in installed renewable capacity: 3rd (after China ~2,258 GW, US ~468 GW), as of March 2026
- India's updated NDC (August 2022): 45% cut in emissions intensity of GDP by 2030 (from 2005 levels); ~50% cumulative non-fossil installed power capacity by 2030
- Panchamrit target (COP26, 2021): 500 GW non-fossil capacity by 2030; net zero by 2070
- PLI Scheme for solar PV modules: total outlay ~₹24,000 crore (Tranche-I ₹4,500 crore 2021; Tranche-II ₹19,500 crore 2022)
- National Green Hydrogen Mission (approved January 2023): outlay ₹19,744 crore; target 5 MMT green hydrogen/year by 2030
- PM Surya Ghar: Muft Bijli Yojana (launched February 2024): target 1 crore households; outlay ~₹75,021 crore
- ISTS charge waiver: 100% for projects commissioned up to 30 June 2025; phased down to 25% for projects up to 30 June 2028