As India approaches the Union Budget 2026, industry leaders across the renewable energy sector have emphasized the critical role of policy support in sustaining momentum toward the nation’s ambitious clean energy targets. Over the past year, India has witnessed significant growth in renewable energy capacity, with investments reaching around ₹2 trillion and total non-fossil fuel capacity crossing the 260 GW mark. This progress has positioned the country firmly on the path to achieving its 500 GW non-fossil fuel energy target by 2030, highlighting the increasing importance of a stable policy framework to maintain investor confidence and accelerate deployment.
A consistent message emerging from industry stakeholders is the need for measures that facilitate both capacity expansion and technological advancement. The upcoming budget is seen as an opportunity to strengthen incentives for domestic manufacturing of clean energy components, enhance financing mechanisms, and streamline regulatory approvals. Simplified processes for land acquisition and single-window clearances are expected to reduce project execution delays, particularly for large-scale solar and hybrid projects. In addition, focused support for transmission and evacuation infrastructure is seen as vital to ensure that generation capacity can be efficiently delivered to consumers, aligning project timelines with national renewable energy targets.
The sector is also emphasizing the importance of energy storage and hybrid systems. As intermittent renewable sources like solar and wind become a larger part of the energy mix, battery storage capacity is viewed as essential for grid stability and reliability. Policy measures that support the deployment of storage systems, as well as incentives for innovation in smart grids and decentralized energy solutions, are expected to enable smoother integration of renewables into the national grid. Similarly, funding and viability gap support for green hydrogen adoption in hard-to-abate sectors are being recommended to accelerate its commercial deployment, contributing to both decarbonization and energy security goals.
From a manufacturing perspective, incentives such as accelerated depreciation for new plants, reduced corporate tax rates, and preferential lending are seen as critical for reducing upfront capital costs and improving returns on investment. Strengthening domestic capabilities in upstream solar manufacturing, including polysilicon, ingot, and wafer production, could reduce import dependence and enhance India’s competitiveness in the global renewable energy market. Industry experts stress that targeted policy support for research and development across renewable technologies is equally important, as it can drive efficiency improvements, cost reduction, and long-term innovation.
Residential solar adoption is another area highlighted as needing further policy attention. Subsidy schemes that enable households to install solar paired with battery storage are seen as a transformative step toward energy self-sufficiency and reducing reliance on conventional electricity supply. Expanding access to rooftop solar solutions can also democratize energy production, empowering citizens and small businesses to participate in the clean energy transition.
Overall, the upcoming Union Budget is viewed as a critical lever to sustain India’s renewable energy momentum. While the country has achieved remarkable milestones, the next phase requires a comprehensive policy approach that balances capacity addition, technological innovation, and investment facilitation. Measures to enhance manufacturing depth, strengthen grid readiness, promote energy storage, and support emerging technologies like green hydrogen will not only drive growth but also position India as a global leader in renewable energy. In essence, execution excellence, backed by a forward-looking budget, is seen as the key to translating ambitious targets into tangible economic, environmental, and energy security outcomes.
Dr. Faruk G. Patel, Founder, Chairman & MD, KPI Green Energy:
“India’s renewable energy journey is transitioning into innovation, scale, and economic opportunity. In 2025, the country added 48–50 GW of renewable capacity, backed by ₹2 trillion investments, taking total non-fossil capacity to 262–263 GW. With over 6 GW capacity, KP Group is deploying hybrid systems, storage solutions, and expanding into green hydrogen, looking forward to policy support in Budget 2026.”
Srivatsan Iyer, Global CEO, Hero Future Energies:
“The government has laid a strong foundation for renewables through consistent policy support. Union Budget 2026 should incentivize green hydrogen, grid-scale storage, modernize transmission, and introduce targeted PLIs or tax incentives to reduce risk, improve grid reliability, and enable efficient scaling of renewable energy.”
Chandra Kishore Thakur, Global CEO, Sterling and Wilson Renewable Energy Group:
“As we look ahead to the Union Budget 2026, the sector anticipates measures to streamline regulatory approvals and land acquisition for large projects. Enhanced support for transmission and evacuation infrastructure, single-window clearances, and dedicated transmission funding will bridge gaps, supporting the drive towards 500 GW by 2030.”
Prashant Mathur, CEO, Saatvik Green Energy Limited:
“The Indian solar industry is set to grow from 135 GW in 2025 to over 300 GW by 2030. We advocate for an enhanced PLI scheme for polysilicon, ingot, and wafer manufacturing, accelerated depreciation for equipment, reduced corporate tax, and preferential lending to build a self-reliant, globally competitive solar manufacturing ecosystem.”
Rupal Gupta, Founder, MD & CEO, TrueRE Oriana Power:
“The forthcoming Budget can create long-term stability and unlock investments in renewables. Purpose-built financial mechanisms, government-backed risk mitigation, sustained R&D support, and scaling green hydrogen through funding and mandates can accelerate adoption, strengthen the renewable ecosystem, and reinforce India’s global clean energy leadership.”
D.V. Manjunatha, Founder & CMD, Emmvee Photovoltaic Power Limited:
“This Union Budget could benefit manufacturing by reintroducing 80% depreciation for new facilities. Faster depreciation lowers setup costs, enabling investments in components, tooling, and advanced capabilities, strengthening supply chains, supporting Make in India, and encouraging long-term capital commitment.”
Suhas Donthi, CEO, Emmvee Photovoltaic Power Limited:
“While Budget 2025 supported residential solar deployment, the next focus should be on manufacturing depth, grid readiness, and affordable financing. Sustained R&D support is critical for improving efficiency, reducing costs, and enhancing global competitiveness as India progresses toward 500 GW by 2030.”
Akshat Jain, CEO, KLK Ventures:
“As India looks to the Union Budget FY2026, the renewable sector expects strong policy continuity and enhanced incentives. Support for solar infrastructure, domestic manufacturing, grid-scale and decentralized solutions, ease of doing business, MSME financing, and innovation in storage and smart grids can empower companies to scale solar adoption and deliver long-term environmental and economic impact.”
Amit Bnaka, Founder & CEO, Wenaturalists:
India’s renewable energy sector has crossed 200 GW, generating over half of its electricity from non-fossil sources. Scaling toward 500 GW by 2030 requires energy storage, rooftop solar schemes, and integration of solar, wind, and green hydrogen. Domestic investment and manufacturing capacity expansion make renewable energy a competitive advantage, demanding execution excellence.”
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