India’s Key Milestone
- 50.1% of India’s installed electricity capacity now comes from non-fossil fuel sources.
- Target achieved 5 years ahead of 2030 Paris commitment (40% originally, revised to 50% in 2022).
Relevance : GS 3(Energy and Environment)
Installed Capacity (in GW)
| Year | Thermal | Large Hydro | Renewables | Non-Fossil Share |
| June 2015 | 191.26 | 42.62 | 35.78 | 30.4% |
| June 2020 | 230.90 | 45.7 | 87.67 | 37.8% |
| June 2025 | 242.04 | 49.38 | 184.62 | 50.1% |
- Total Installed Capacity (2025): 484.82 GW
- Thermal Share: 49.9% (still dominant in absolute capacity)
Thermal Still Dominates
- Despite non-fossil surpassing in % share, thermal plants are critical for base load.
- India’s thermal capacity rose by just 11 GW in 5 years, but still forms the grid backbone.
Storage Capacity – Major Bottleneck
- India’s storage capacity (2024):
- Pumped Hydro: 4.75 GW
- Battery Storage: 110 MW
- Total < 5 GW, insufficient for smooth renewable integration.
Grid Instability Events
- May 30, 2024: Peak demand unmet due to low renewables and lack of backup.
- Erratic pricing and curtailments seen when solar/wind exceeds demand.
Policy Measures Underway
- CEA Advisory (Feb 2025): Co-locate storage with solar.
- Viability Gap Funding Scheme:
- ₹5,400 crore for 31 GWh battery storage.
- 51 GWh pumped hydro expected by 2032.
- ISTS Waiver Extended till June 2028 to boost storage projects.
Strategic Implications
- Capacity milestone ≠ energy transition success.
- Storage, grid flexibility, and real-time pricing are the next frontiers.
- India needs policy speed, not just policy vision, to match non-fossil growth with reliability.
