Indian Economy News

India’s RE integration strategy enters next phase: Government adopts nuanced, case-by-case approach to REIA bids with focus on grid strength, storage and market reform

India’s renewable energy transition has entered a new phase of integration and structural reform, focusing on grid strength, energy storage, and market optimisation. The Government has adopted a nuanced, case-by-case approach for Renewable Energy Implementing Agency (REIA) bids, ensuring balanced progress between developers, distribution companies (DISCOMs), and grid readiness. As of September 30, 2025, REIAs have issued Letters of Award for 43,942 MW, with Power Sale Agreements (PSAs) signed for 24,928 MW since April 2023. India added 29 GW of renewable capacity in FY25 and a further 25 GW in H1 FY26, demonstrating sustained investor confidence and robust project implementation.
A comprehensive Rs. 2,40,000 crore (US$ 27.07 billion) transmission expansion plan, aligned with 500 GW renewable targets, along with reforms in General Network Access (GNA) regulations, will enhance grid reliability and unlock renewable corridors. The Government is also steering REIAs toward solar-plus-storage and firm, dispatchable renewable energy projects to ensure peak-hour supply and cost efficiency. Supported by proactive policy measures such as Renewable Consumption Obligations and standard bidding reforms, India’s renewable energy sector is transitioning from capacity expansion to deep integration. The Ministry of New and Renewable Energy (MNRE) remains committed to building a transparent, resilient, and future-ready ecosystem to achieve national decarbonisation goals and strengthen India’s leadership in global clean energy.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.