India’s renewable energy sector is experiencing a transformative surge, with solar and wind power driving the nation toward its ambitious target of 500 GW of non-fossil fuel capacity by 2030. On July 15, 2025, Coal India Limited (CIL) announced a 1,190 MW solar power project in Rajasthan, reinforcing the integration of renewables into India’s energy mix. Coupled with record-low solar tariffs, advancements in green hydrogen, and expanded battery storage, India’s clean energy initiatives are reshaping its power sector. This article explores the latest renewable energy developments, their impact on India’s energy landscape, and their role in achieving the nation’s net-zero emissions goal by 2070.
Coal India’s Solar Leap in Rajasthan
On July 15, 2025, Coal India Limited, traditionally a coal mining giant, signed an MoU with Rajasthan Rajya Vidyut Utpadan Nigam Ltd (RRVUNL) to develop a 1,190 MW solar power project in the Bikaner district. This ₹8,000 crore initiative, announced via posts on X and industry reports, includes an integrated solar manufacturing facility and is expected to generate 3,600 direct and indirect jobs. The project aligns with CIL’s diversification into renewables, following its earlier 370 MW solar projects across Madhya Pradesh and Rajasthan. By FY26, CIL aims to commission 3,000 MW of solar capacity, contributing to India’s renewable energy targets while reducing reliance on coal, which powers 46.88% of the nation’s electricity as of November 2024.
Solar and Wind: Record Growth and Low Tariffs
India’s renewable energy capacity reached 152 GW by June 2025, with solar contributing 87 GW and wind 46 GW, per the Ministry of New and Renewable Energy (MNRE). The PM Suryaghar Yojana, launched in 2024, has driven rooftop solar installations, achieving 15 GW across 10 million households by July 2025, supported by ₹75,000 crore in subsidies. Solar tariffs hit a record low of ₹1.99 per kWh in July 2025, down from ₹2.36 in 2023, making solar competitive with coal-based power (₹3–4 per kWh). Wind energy also saw a boost, with 2.5 GW added in FY25, driven by offshore wind projects like the 1 GW Gujarat pilot, expected to be operational by 2027.
Posts on X highlight India’s renewable energy auctions, with 10 GW of solar and 5 GW of wind capacity tendered in Q2 2025, attracting bids from Adani Green, ReNew Power, and NTPC. The MNRE’s push for 50 GW annual renewable capacity additions through 2030 is on track, supported by streamlined land acquisition and transmission upgrades via the Green Energy Corridor, completed in 2024.
Green Hydrogen and Battery Storage: The Next Frontier
India’s National Green Hydrogen Mission, launched in 2023, gained momentum in 2025 with ₹12,500 crore allocated for pilot projects. On July 14, 2025, NTPC announced a 500 MW green hydrogen plant in Andhra Pradesh, integrating solar power with electrolyzers to produce 200 tonnes of hydrogen daily by 2026. Green hydrogen, aimed at decarbonizing steel and fertilizer industries, is projected to reach 5 million tonnes annually by 2030, with costs dropping to $2/kg from $4/kg due to economies of scale.
Battery energy storage systems (BESS) are also scaling up, with 4 GW deployed by July 2025, supported by Viability Gap Funding (VGF) of ₹9,400 crore. Adani Green’s 1 GW battery project in Gujarat, announced on July 16, 2025, will stabilize grid integration of renewables, addressing intermittency challenges. The MNRE’s target of 50 GW BESS by 2030 is critical for 24/7 renewable power supply, especially with peak demand projected at 270 GW in summer 2025.
Synergies with Broader Energy Goals
India’s renewable surge complements its energy transition, achieving 50% non-fossil fuel capacity in November 2024, six years ahead of schedule. The International Energy Agency (IEA) projects India’s electricity demand will triple by 2050, necessitating 300 GW of additional renewable capacity. Renewables are reducing coal dependency, with coal imports dropping 8.4% from April–December 2024, saving $2 billion in foreign exchange. The integration of renewables with Coal India’s rail infrastructure, used for coal and iron ore transport, could extend to green hydrogen logistics, leveraging rail corridors like the Eastern Dedicated Freight Corridor (EDFC) for clean energy supply chains.
The steel industry, a key consumer of coking coal and iron ore, is adopting green hydrogen to produce green steel, aligning with India’s ambition to triple iron ore output to 950 MT annually. Solar-powered electrolyzers and wind-supported grids could decarbonize steel production, reducing emissions from coal-based plants, which face relaxed SO₂ norms as of July 11, 2025.
Challenges and Opportunities
Challenges:
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Land and Transmission: Renewable projects face delays due to land acquisition disputes and grid connectivity issues, with 20% of solar projects stalled in 2025.
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Storage Costs: BESS costs remain high at ₹5 crore per MW, despite VGF support, hindering large-scale adoption.
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Skilled Workforce: Scaling green hydrogen and offshore wind requires 100,000 skilled workers by 2030, per MNRE estimates.
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Policy Risks: Subsidies like PM Suryaghar face funding uncertainties post-2027, potentially slowing rooftop solar growth.
Opportunities:
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Cost Competitiveness: Solar’s ₹1.99/kWh tariff undercuts coal, driving market-led adoption.
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Job Creation: The renewable sector is projected to create 1 million jobs by 2030, with solar and wind leading.
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Global Leadership: India’s green hydrogen push positions it as a potential exporter, with pilot projects attracting $500 million in FDI in 2025.
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Climate Alignment: Renewables support India’s net-zero 2070 goal, reducing carbon intensity by 45% from 2005 levels by 2030.
Future Outlook
India’s renewable energy sector is poised for exponential growth, with 152 GW installed and 50 GW annual additions planned through 2030. Coal India’s 1,190 MW solar project, green hydrogen pilots, and BESS deployments signal a robust transition, reducing reliance on coal, which powers 46.88% of electricity. By 2030, renewables could account for 65% of capacity, supported by ₹35 lakh crore in investments, per the IEA. Integrating rail infrastructure for clean energy logistics and scaling storage will be critical to meeting peak demand and climate commitments.
India’s renewable energy surge in 2025, highlighted by Coal India’s solar venture on July 15 and advancements in green hydrogen and storage, marks a pivotal step toward a sustainable energy future. With solar and wind leading the charge, India is balancing economic growth with its net-zero 2070 goal. Continued investment, policy support, and infrastructure upgrades will ensure renewables drive India’s energy transition, complementing efforts in coal and iron ore sectors for a greener economy.