Energetica india Magazine

energetica INDIA- February_2026 UNION BUDGET To boost domestic renewable manufacturing and cut im- port reliance, the Budget has proposed key customs duty exemptions. These include extending duty exemptions on capital goods used for manufacturing lithium-ion cells to those used for Battery Energy Storage Systems (BESS), encouraging large-scale grid storage manufacturing in In- dia. The Budget has also exempted Basic Customs Duty (BCD) on Sodium Antimonate, a critical raw material for solar glass manufacturing, lowering costs for domestic so- lar module producers. Further, BCD exemption on capital goods for processing critical minerals aims to build domes- tic refining capacity for lithium, cobalt and rare earths used in EVs, wind turbines and clean technologies. For stable baseload clean power, the Budget has extended BCD exemptions for nuclear power project imports until 2035 and has expanded coverage to all nuclear plants, ir- respective of capacity, supporting deployment of newer reactor technologies. In support of cleaner fossil alternatives, the entire value of biogas will be excluded from Central Excise duty on biogas-blended CNG, incentivising blending, waste-to-en- ergy projects and lower transport emissions. A major institutional reform includes restructuring Pow- er Finance Corporation (PFC) and Rural Electrification Corporation (REC) to improve operational efficiency, risk management and financing capacity for large-scale power and renewable infrastructure. Energy security measures are aligned with the broad- er manufacturing push through initiatives such as the Scheme for Rare Earth Permanent Magnets, India Semi- conductor Mission 2.0 and new Chemical Parks. Addition- ally, INR 2 lakh crore support to states under the SASCI scheme and investments in Dedicated Freight Corridors and National Waterways are expected to lower logistics costs for energy equipment and materials. Following Budget 2026–27, leaders shared their view- points with Energetica India: Vinay Thadani Executive Director & CEO GREW Solar Budget 2026 strengthens Viksit Bharat and Aatmanirbharta by prioritising energy security and domestic manufacturing. The INR 40,000 crore push for semi- Dr. Faruk G. Patel Founder, Chairman & MD KP Group Budget 2026 strengthens the clean energy value chain through support for CCUS, critical miner- als and battery materials. Capital Sameer Gupta Chairman Jakson Group Budget 2026–27 lays out a growth-focused roadmap with INR 12.2 lakh crore capex for energy, infrastructure and man- ufacturing. Support for carbon Vineet Mittal Chairman Avaada Group Budget 2026–27 balances am- bition with fiscal discipline through sustained public capex. Its focus on infrastructure, MS- MEs, logistics, and digital read- iness builds long-term capacity and investor confidence. 47 conductors and solar components will reduce imports and accelerate India’s clean energy transition. subsidies, duty reductions and rare earth corridors will boost renewables, EVs and storage. capture and risk guarantees will boost investor confidence and sustainable growth.