India's Solar Surge: 105 GW Installed, 22% of Total Power Capacity by March 2025

India’s renewable energy sector has been making impressive strides, with solar and wind playing pivotal roles in driving this transformation. As of March 2025, renewables accounted for 36.27% of India’s total installed power capacity, and solar power alone reached over 105 GW, comprising more than 22% of the nation’s total energy capacity. This rapid growth, with a 29% year-over-year increase, shows India’s commitment to reducing its reliance on fossil fuels, particularly coal, which still dominates the energy landscape, contributing 45.28% of the total installed power capacity.

However, this transition isn’t without its challenges. Despite the rising share of renewables, coal-fired power plants continue to play a significant role in meeting energy demand. The country is balancing between advancing renewable capacity and maintaining grid stability, as well as ensuring a reliable energy supply to support its growing population and economy.

The expansion of solar and wind energy is creating vital economic opportunities, particularly in rural and semi-urban regions. These projects not only contribute to job creation but also enhance local economies by improving electricity access and supporting regional development. Energy security is another key benefit, as India reduces its dependence on imported fossil fuels, which shields the country from global price volatility in the energy market.

Additionally, India’s renewable energy growth is being bolstered by government initiatives like the Approved List of Models and Manufacturers for Solar Modules and Cells, which encourage domestic manufacturing and the use of high-quality solar products. This is especially timely as global trade tensions, such as the recent US tariffs on Chinese solar products, could create new opportunities for Indian solar manufacturers to expand exports, particularly if they can offer competitive prices and superior quality.

The numbers are promising, with over 24.5 GW of solar capacity added in 2024 alone, and a further 7.78 GW installed in just the first three months of 2025. While coal is still a dominant part of the energy mix, India is progressively transitioning to a more sustainable, renewable energy future, making notable progress on its way to becoming a global leader in clean energy. The challenge remains in scaling up renewable infrastructure, ensuring grid reliability, and addressing any potential supply gaps, but the trajectory is clear: India is committed to cleaner, more sustainable energy solutions for the future.