India boosts green energy to 54% but wastes vast amounts

During a hot July afternoon, electricity generated from renewable sources briefly met over half of India's peak power demand for only the second time in history. The previous milestone occurred during the exact same period a year prior, highlighting the phenomenal growth of non-fossil fuels in the country's power mix.

While coal-powered plants continue to generate 70% of India's electricity on average due to higher load factors, the nation's push for sustainable energy has reached a pivotal juncture. India's installed renewable capacity has climbed to 300GW, representing 54% of its total 552GW capacity—achieving a major national target five years ahead of schedule.

Stock photo for illustration only, not from the actual event

Despite these achievements, serious operational challenges threaten to undermine the progress. Grid capacity shortages have outpaced transmission infrastructure builds, emerging as a primary concern for policymakers. According to Ember, transmission constraints accounted for nearly two-thirds of all renewable energy curtailment, reaching 300 gigawatt-hours in the first quarter of 2026 alone.

"Generation projects can be constructed in 18-24 months… Transmission can take much longer because they involve right-of-way, land acquisition, approvals and coordination across many agencies."

Sinha

Vibhuti Garg from the Institute for Energy Economics and Financial Analysis attributes part of the crisis to poor planning. While the grid could easily absorb new capacity when annual additions ranged between 10 and 15 gigawatts, the record-breaking addition of 51GW last year overwhelmed existing infrastructure. Furthermore, the high concentration of renewable projects in the north-western states of Gujarat and Rajasthan has intensified regional power evacuation challenges.