India Needs INR 30 Lakh Crore for 500 GW Renewable Target by 2030

Union Minister for New and Renewable Energy, Pralhad Joshi, announced in the Rajya Sabha that India will require up to INR 30 lakh crore to meet its 500 GW renewable energy capacity target by 2030.

While replying to a discussion, he noted that the government’s commitment is reflected in the doubled budget allocation for renewable energy this year, which exceeds INR 20,000 crore. Joshi reported a substantial increase in investment over the past decade, with approximately INR 7 lakh crore invested compared to less than INR 3 lakh crore between 2004 and 2014. In last 10 years, the total expenditure in the sector has now reached INR 36,952 crore.

Addressing concerns raised by the opposition about achieving the 500 GW goal with the current 200 GW capacity, Joshi expressed confidence in reaching the target, highlighting a rise in renewable energy generation from 193.5 billion units to 359.89 billion units in the past decade.

He also noted India's high global ranking, being 4th in installed renewable energy capacity and 5th in solar PV capacity, with solar power tariffs dropping significantly from INR 11 per unit in 2010-11 to INR 2.60 per unit in 2023-24. 

He defended the government’s progress and outlined future plans, including an INR 24,000 crore Production Linked Incentive (PLI) scheme for high-efficiency solar PV modules and a 256.02 GW capacity pipeline under development.

It may be recalled that earlier this year, on February 14, Pradip Kumar Das, Chairman and Managing Director (CMD) of Indian Renewable Energy Development Agency Ltd. (IREDA), addressed a World Bank webinar on the South Asia Development Update 'Towards Faster, Cleaner Growth', where he emphasised the need for an estimated INR 30 lakh crore investment from FY 2024-2030 to meet India’s Nationally Determined Contributions (NDC) goals, covering solar, electrolysers, wind, batteries, transmission, green hydrogen, hydro, and waste to energy sectors.

The CMD  also dwelled on various schemes by the government for promoting RE and disclosed India's aim to meet about 90 percent of its energy demand through renewables by 2047, with thermal energy continuing to complement renewables until energy storage improves.