India’s renewable energy sector is entering a decentralized and demand-driven growth phase, driven by state-led initiatives, commercial and industrial (C&I) demand, and distributed renewable energy (DRE) such as rooftop solar. According to MNRE Secretary Santosh Kumar Sarangi, states are increasingly structuring their own renewable energy tenders, reducing reliance on central implementing agencies like NTPC, NHPC, SJVN, and SECI.

This strategic shift addresses the 43 GW backlog of power sale agreements for centrally awarded projects, allowing for faster project execution and greater flexibility in meeting regional energy demands.

Key highlights of India’s renewable energy transition include:

• State-led renewable tenders: States now take the lead in commissioning solar and wind projects, creating diversified growth pathways.
• C&I segment surge: Developers are expected to supply 60–80 GW of green power by 2030, driven by commercial and industrial demand for sustainable energy.
• Distributed renewable energy (DRE): Rooftop solar and other decentralized projects are projected to contribute 12–15 GW this financial year, with 9 GW already installed under initiatives like PM Surya Ghar Muft Bijli Yojana and PM-KUSUM.

This multi-route, decentralized approach strengthens India’s renewable energy ecosystem, ensuring a resilient and scalable clean energy infrastructure. By tapping into local state initiatives, empowering C&I consumers, and promoting rooftop solar, India is poised to accelerate progress toward its net-zero targets and 500 GW renewable capacity goal by 2030.

The transition also creates new investment opportunities, fosters technological adoption in solar and wind, and enhances energy security by reducing dependence on conventional power sources. Experts believe that this shift will reshape India’s energy market, balancing centralized utility-scale projects with distributed, community-focused solutions.