Half Clean, Fully Charged: India’s Power Sector Hits 500 GW Milestone

India’s power sector has reached a defining milestone, crossing a total installed capacity of 500.89 GW as of 30 September 2025, with non-fossil fuel sources including solar, wind, hydro, and nuclear now accounting for 256.09 GW, or about 51% of the mix. This marks the first time in history that clean energy has overtaken fossil-based capacity in the country’s generation portfolio.

Within this total, solar energy leads with 127.33 GW, followed by wind at 53.12 GW. The fossil fuel segment, largely dominated by coal, now stands at 244.80 GW, representing around 49% of capacity. During the first half of FY 2025–26 (April to September 2025), India added 28 GW of non-fossil capacity, compared to just 5.1 GW from fossil sources, which is clear evidence of a shift in the growth trajectory toward clean energy.

This achievement comes five years ahead of India’s COP26 “Panchamrit” goal, which targeted 50% of installed capacity from non-fossil sources by 2030. The milestone is not only symbolic but also structural, showing that renewable energy is now central to India’s power strategy rather than a supplement to fossil generation.

On 29 July 2025, India also recorded a landmark operational achievement when renewables met 51.5% of total national power demand, with solar contributing 44.5 GW, wind 29.89 GW, and hydro 30.29 GW against a national peak demand of 203 GW. This event demonstrated that renewables can now shoulder most real-time power requirements during favorable conditions.

While these gains strengthen energy security and reduce dependence on imported fuels, they also highlight new challenges. The increasing share of variable renewable energy calls for faster expansion of transmission networks, flexible generation capacity, and large-scale energy storage. The Central Electricity Authority (CEA) and grid operators are already prioritizing these upgrades to ensure reliability and grid stability.

India’s march past the 500 GW mark signals more than capacity expansion. It reflects an irreversible shift in the country’s energy landscape. The challenge ahead lies in converting this installed capacity into consistent, dependable, and affordable clean power. The transformation is well underway, and India is now firmly positioned among the world’s front-runners in renewable energy adoption.

Still, milestones like 500 GW should be read with measured optimism. Installed capacity does not automatically translate into available or dispatchable power. It is well known that many solar and wind assets operate at capacity factors between 18–30%, while coal plants, despite their environmental cost, often exceed 60%.

The true test of India’s energy transition lies not only in megawatts built but in megawatts delivered when demand peaks on humid evenings when solar fades and wind slows.

Likewise, rapid renewable expansion must be backed by transmission corridors, grid balancing systems, and dependable storage solutions, areas where India still has ground to cover. The pace of investment in pumped hydro and battery storage has accelerated yet remains well below the scale required for full integration of intermittent sources.

Another concern is financial, that is, state distribution companies (DISCOMs) continue to face structural losses and delayed payments, which can constrain private investment in clean power. Policymakers and regulators will need to align fiscal health with sustainability goals to keep momentum intact. None of this undercuts the scale of India’s progress, and it remains one of the few large economies to achieve a majority non-fossil capacity, but it reminds us that energy transitions are complex, long-term undertakings. Reaching 500 GW is a turning point, not the finish line.

References: -

Press Information Bureau. (2025, October 29). India achieved historic milestone in power sector: Surpasses 500 GW and renewable generation exceeds 50 % of demand [Press release]. Government of India. https://www.pib.gov.in/PressReleasePage.aspx?PRID=2183866

The Economic Times. (2025, October 30). India’s installed power generation capacity crosses 500 GW with renewables exceeding 50 % of demand. The Economic Times – Energy & Environment. https://energy.economictimes.indiatimes.com/news/power/indias-power-generation-capacity-surpasses-500-gw-with-renewables-exceeding-50/124929881

EQ MagPro. (2025, October). India achieved historic milestone in power sector: Surpasses 500 GW and renewable generation exceeds 50 % of demand. EQ MagPro. https://www.eqmagpro.com/india-achieved-historic-milestone-in-power-sector-surpasses-500-gw-and-renewable-generation-exceeds-50-of-demand-eq/

Global Consultants Review. (2025, October 30). India crosses 500 GW power mark; over 50 % from renewables. Global Consultants Review. https://www.globalconsultantsreview.com/news/india-crosses-500-gw-power-mark-over-50-from-renewables-nwid-5854.html

Business Standard. (2025, October). India crosses 500 GW power capacity, non-fossil share exceeds 50 per cent. Business Standard. https://www.business-standard.com/amp/industry/news/india-crosses-500-gw-power-capacity-non-fossil-share-exceeds-50-per-cent-125102901214_1.html

Author's Bio -

Rohit Pant holds a B.Tech from G.B. Pant University and an M.Tech in Power Electronics from IIT Delhi, specializing in power systems and energy innovation.