India’s total installed power capacity witnessed robust growth during April-May 2025, driven by significant additions in renewable and nuclear segments. According to official data released by the Central Electricity Authority (CEA), India’s installed capacity reached 434.92 GW by end of May 2025, registering a net addition of over 4.5 GW in the first two months of FY26.
The expansion is in line with the government’s ambitious target of achieving 500 GW of non-fossil fuel capacity by 2030 as part of its decarbonisation and energy security strategy.
Segment-wise Capacity Additions: April-May 2025
| Segment | Installed Capacity (May 2025) | Installed Capacity (March 2025) | Addition in April-May | % Growth |
|---|---|---|---|---|
| Solar Power | 81.65 GW | 79.43 GW | +2.22 GW | +2.79% |
| Wind Power | 46.13 GW | 45.38 GW | +0.75 GW | +1.65% |
| Biomass & Small Hydro | 11.92 GW | 11.90 GW | +0.02 GW | +0.17% |
| Large Hydro | 46.85 GW | 46.85 GW | No change | 0% |
| Nuclear | 7.48 GW | 6.78 GW | +0.70 GW | +10.3% |
| Thermal (Coal, Gas, Diesel) | 241.89 GW | 240.93 GW | +0.96 GW | +0.39% |
| Total | 434.92 GW | 431.27 GW | +3.65 GW | +0.85% |
The nuclear capacity jump reflects the commissioning of an additional unit at the Kudankulam Nuclear Power Project (KKNPP), which added 700 MW to the grid in April after synchronisation and performance testing.
Solar and Wind Drive Renewable Push
Renewable energy accounted for nearly 82% of net capacity additions in April-May. Key factors include:
- Solar: Record rooftop solar installations under PM Surya Ghar Yojana and utility-scale project commissioning in Rajasthan, Gujarat, and Karnataka.
- Wind: New capacity additions in Tamil Nadu, Gujarat, and Maharashtra, driven by policy certainty after the Green Energy Corridor Phase-II approvals.
- Hybrid Projects: Developers prioritising solar-wind hybrid models to maximise grid utilisation and revenue under market-driven tariff regimes.
State-wise Renewable Capacity Leaders
| State | Total Renewable Capacity (GW) | % Share of India’s RE capacity |
|---|---|---|
| Karnataka | 19.4 | 13.5% |
| Gujarat | 18.7 | 13.0% |
| Rajasthan | 17.9 | 12.5% |
| Tamil Nadu | 16.2 | 11.3% |
| Maharashtra | 12.8 | 8.9% |
| Others | 59.5 | 40.8% |
| Total | 144.5 | 100% |
Nuclear Capacity Boost: Kudankulam Adds New Unit
The Kudankulam Nuclear Power Project Unit-3, with a capacity of 700 MW, became operational in April, further enhancing India’s nuclear power footprint. Nuclear Power Corporation of India Limited (NPCIL) aims to operationalise another 700 MW unit at Kakrapar by December 2025 to strengthen the country’s baseload clean energy capacity.
Coal Continues to Dominate Despite Renewable Push
Despite impressive renewable growth, coal remains India’s dominant source of power generation. The total coal-based installed capacity stood at 213.6 GW in May, constituting nearly 49% of India’s total power capacity.
| Fuel Type | Installed Capacity (GW) | Share (%) |
|---|---|---|
| Coal | 213.6 | 49.1 |
| Renewable (Solar, Wind, Biomass, Small Hydro) | 139.7 | 32.1 |
| Large Hydro | 46.85 | 10.8 |
| Gas | 24.9 | 5.7 |
| Nuclear | 7.48 | 1.7 |
| Diesel | 0.4 | 0.1 |
| Total | 434.92 | 100% |
Government Targets for FY26
The Ministry of Power and MNRE have set the following capacity addition targets for FY26:
| Segment | Target Addition FY26 (GW) |
|---|---|
| Solar | 13 |
| Wind | 3 |
| Hybrid & Storage Integrated | 2 |
| Hydro | 1.2 |
| Nuclear | 0.7 |
| Thermal | 3 |
| Total | 22.9 |
If achieved, this would take India’s total installed capacity to over 457 GW by March 2026.
Policy Push to Accelerate Renewables
Key policy initiatives supporting this growth include:
- Green Hydrogen Mission: Creating large-scale demand for renewable electricity
- Production Linked Incentive (PLI) Scheme: Supporting domestic manufacturing of solar modules and battery storage systems
- Ultra Mega Renewable Energy Parks: Under development in Gujarat, Rajasthan, Ladakh, and Andhra Pradesh
- Energy Storage Policy: Draft under finalisation to create regulatory clarity for grid-scale storage integration
- Hydrogen-Ammonia Purchase Obligations: For refineries and fertiliser plants to boost clean hydrogen demand
Industry Experts’ Views
Industry analysts believe India is on track to meet its interim target of 175 GW renewable energy capacity (excluding large hydro) by end-2025. However, challenges remain:
- Land acquisition and transmission constraints for mega projects
- Delays in discom payments impacting developer cash flows
- Grid stability management with rising variable renewable penetration
- Slower-than-expected pace in offshore wind development
Dr. Anil Sharma, energy policy expert, stated:
“India’s renewable growth is impressive but achieving the 500 GW non-fossil target by 2030 will require annual additions of 30-40 GW consistently. Faster energy storage deployment and flexible grid operations are crucial.”
Global Context: India’s Renewable Momentum
| Country | Renewable Installed Capacity (GW) | Global Share (%) |
|---|---|---|
| China | 1,370 | 32.5 |
| US | 410 | 9.7 |
| Brazil | 190 | 4.5 |
| India | 144.5 | 3.4 |
| Germany | 160 | 3.8 |
| Others | 1,050 | 24.9 |
| World Total | 4,324.5 | 100% |
India remains the world’s third largest renewable energy market by annual additions, after China and the US.
Outlook for Nuclear Energy
NPCIL has outlined a plan to reach 22.5 GW nuclear capacity by 2032, with upcoming units in:
- Kudankulam (Units 4, 5, 6)
- Gorakhpur Haryana Anu Vidyut Pariyojana (GHAVP)
- Mahi Banswara Rajasthan
- Kaiga Expansion (Karnataka)
These expansions will increase India’s clean baseload capacity, complementing intermittent renewable sources.
Way Forward
Experts recommend a multipronged approach for India to sustain its clean energy momentum:
- Accelerating Green Transmission Corridors: To evacuate renewable power efficiently.
- Scaling Up Battery Storage Deployment: To balance peak and variable loads.
- Finalising Offshore Wind Policy: For tapping high potential off Gujarat and Tamil Nadu coasts.
- Enhancing Rooftop Solar Adoption: Especially in urban residential and MSME sectors.
- Boosting R&D in Advanced Nuclear Reactors: To diversify nuclear technology portfolio.
Conclusion
India’s strong capacity addition in April-May 2025, led by renewables and nuclear power, underscores its determination to build a secure, sustainable, and self-reliant energy ecosystem. With robust policy support and industry collaboration, the country is well positioned to achieve its clean energy transition targets while ensuring energy access and economic growth for its 1.4 billion citizens.
Disclaimer: This report is based on government data, industry analyses, and expert insights. It does not express personal opinions or investment recommendations.
