How did India reach a record of 6.05 GW of wind energy installations in FY2025-26?
Until 2017, all investment in the wind sector has always largely come from private sector, benefiting industries such as textiles, steel, glass and paper. However, when industries shifted to auction-based procurement of electricity, it increased competition from independent power producers (IPPs), pushed electricity prices down. As a result, annual wind installations dropped sharply from 5000 MW to 1000 MW in less than a year. The industry then urged the government to maintain commercially viable tariffs. Since auction prices rose from Rs 3 to Rs 3.65 per unit and states like Rajasthan, Gujarat and Andhra Pradesh eased restrictive policies, installations have recovered. Domestic manufacturing and larger, economical turbines have further supported growth.
What are the biggest challenges for the sector?
Although wind projects require relatively little land, land acquisition remains a challenge. A practical solution is for the government to develop dedicated wind parks and lease them to investors, similar to Rajasthan’s solar park model. This would streamline land access, avoid right-of-way issues for transporting turbine components and laying transmission lines, and ensure transmission infrastructure is available from the outset.
Will wind-solar-storage hybrid project be the next big thing?
Wind-solar-storage hybrids represent the next phase of India’s renewable energy transition. It enables round-the-clock clean power with solar during the day and wind during the evening. Battery storage helps bridge supply gaps, improve reliability, boost asset utilisation and reduce dependence on fossil-fuel-based generation.
Is offshore wind India’s next growth frontier?
Gujarat and the southern coast of Tamil Nadu has about 10,000 MW onshore wind potential that has not been fully explored. India is not suitable for offshore wind because of its geography. We must focus on land-based projects as it will be cheaper. So, to reach the offshore phase first, we need to work on implementation and transmission infrastructure, which remains a major requirement for scaling up the sector.
What are some policy requirements to meet the sector’s 2030 targets? Where does Tamil Nadu stand?
To meet 2030 renewable energy targets, policymakers should prioritise greater transparency in grid connectivity and project approvals to attract investment and speed up deployment. Tamil Nadu is well-positioned as it has strong wind resources and renewable energy ecosystem. Also, if the renewable capacity expansion occurs within the state, it can strengthen the energy security by lowering the dependence on coal and other fossil fuels. The focus should also be on addressing land acquisition challenges and expanding transmission infrastructure, as technology and manufacturing capabilities are already strong. India is well-positioned to achieve its 500 GW renewable energy capacity target by 2030.
