India's renewable energy sector continues to gain momentum, achieving a capacity addition of approximately 25GW in the first half (H1) of the current fiscal year (FY25).

This move is stated to be primarily driven by the solar power segment.

According to the country's Union Ministry of New and Renewable Energy, solar power contributed around 21.7GW while wind energy added 3.09GW during April to September 2025.

The domestic wind power segment is also showing signs of recovery, with capacity additions steadily increasing. It added 4.2GW in FY25 and 3.3GW in FY24.

India's cumulative renewable energy capacity, excluding large hydro, is anticipated to exceed 200GW in the coming months, reaching 197GW as of last month.

Solar capacity has grown significantly from 3GW in 2014 to 127GW currently while cumulative wind power capacity stands at 53GW.

Credit rating agency ICRA stated that the country's renewable energy sector's growth is bolstered by a significant project pipeline of 142.8GW, as per the figures of the Central Electricity Authority. This expansion is further fuelled by competitive solar module prices and strong electricity demand, reported the Times of India.

The sector is anticipated to achieve an addition of 35GW of new capacity in FY26, building on the 29GW added in FY25.

Meanwhile, Reuters reported, citing a draft bill from the domestic power ministry, that India plans to open its retail electricity market to private companies across the country.

This move aims to end the dominance of state-run distributors in most states, allowing private companies such as Adani Enterprises and Tata Power to expand their presence.

A previous attempt in 2022 faced opposition from state-run distribution companies.

Currently, only a few electricity distribution zones, including the National Capital Region, Odisha, and industrial states such as Maharashtra and Gujarat, are privatised. The majority remain under state control and are reportedly burdened with financial losses.