India’s renewable energy sector saw a sharp expansion in 2025, with the country adding around 48 gigawatts of new clean power capacity during the year, marking one of its strongest annual increases to date.

Government and industry data show that the additions spanned solar, wind, hydro and other renewable sources, taking installations well above 2024 levels, when capacity additions stood at about 28 gigawatts. Even excluding large hydro projects, renewable additions were estimated at roughly 45 gigawatts, indicating broad-based growth across clean energy segments.

Solar power accounted for the largest share of new capacity, supported by strong project execution and declining technology costs. Wind energy also made a significant contribution, while biomass and small hydro projects added incremental capacity to the overall energy mix. Analysts said the pace of installations reflects sustained policy support, competitive tariffs and rising investor confidence in India’s renewable energy market.

The surge in capacity additions has helped India move closer to its medium-term climate and energy security goals and reinforced its position as one of the world’s fastest-growing renewable energy markets. Recent government data show that non-fossil fuel sources now account for more than half of the country’s total installed power generation capacity, a milestone achieved ahead of earlier timelines.

Industry executives expect renewable capacity growth to remain strong in 2026, supported by a large pipeline of projects under construction and continued interest from domestic and global investors. However, they cautioned that challenges such as transmission constraints, land acquisition issues and delays in signing power purchase agreements will need to be addressed to sustain the current momentum.