The Top 5: States For Renewable Energy in India

India’s power generation mix is rapidly shifting towards a more significant share of renewable energy. Today, India is the world’s third largest producer of renewable energy, with over 41 per cent of its installed electricity capacity coming from Renewable Energy Sources. Based on the recent Installed Capacity Report by Central Electricity Authority, this article sheds light on the Indian states leading the renewable energy transition in India.

Region-wise, the Southern region of the country is leading the pack with installed renewable capacity (as of 31st May 2023) of over 62.6 GW, followed by Northern and Western regions with 53.9 GW and about 48 GW of installed renewable energy capacities, respectively. Reportedly, the Eastern region has been a laggard with about 34.3 GW of installed RE capacity. The North Eastern region (2.49 GW) and islands (38.4 MW) complete an all-India total of 173.6 GW of installed renewable capacity.

Here, we look at the top 5 states for renewable energy in India leading the charge as the nation aims to meet 50 per cent of energy requirements from renewables by increasing installed renewable energy (RE) capacity to 500 GW by 2030.

#1 Rajasthan

Installed RE Capacity: 24,459.93 MW

With over 24.4 GW of installed renewable energy projects, Rajasthan is at the helm of India’s shift to renewable energy. Renewable energy forms over 60 per cent of the state’s total of 39 GW installed capacity. In addition to being the leader in installed solar generation capacity (over 8000 MW), the state is also among the top five states in India in terms of installed wind generation capacity.

The state is home to one of the world’s largest solar parks – a 2245 MW Solar Park in Bhadla, Jodhpur spread over 5783 hectares. Rajasthan Solar Policy 2019 and Rajasthan Wind & Hybrid Energy Policy 2019 played a crucial role in driving the growth of renewables in the state. Policies, such as a 50 per cent concession on land allotment to manufacturing units and renewable energy-based charging stations and allotment of Government Land for solar energy equipment manufacturing facilities, helped in the state’s shift to renewables for its energy needs.

Under component C of the PM-KUSUM initiative, Jaipur Vidyut Vitran Nigam has solicited bids for the installation and commissioning of 347 MW of grid-connected solar projects.

#2 Gujarat

Installed RE Capacity: 21,070.95

With over 21 GW of installed renewable energy capacity, the state of Gujarat is one of the fastest-growing renewable regions and among the top states with the biggest installed renewable capacities in India. Renewables form about 45 per cent of the state’s total installed energy capacity of 46.77 GW. A strong push for green hydrogen in the state is expected to further lead to substantial growth of the state’s renewables. The Land Policy-2023 of Gujarat aims to achieve a production target of three million tonnes per annum, resulting in an increased requirement of 165 billion units of renewable energy.

Gujarat Urja Vikas Nigam Ltd (GUVNL), the state’s leading power utility, has been actively engaged in formulating a comprehensive policy for green hydrogen manufacturing. Major conglomerates like Reliance and Adani have committed to investing over ₹10 lakh crore through memorandums of understanding (MoUs) signed with the government, indicating an expected investment of around ₹10 trillion ($13.7 billion) in the state’s green energy sector.

#3 Karnataka

Installed RE Capacity: 20,600.86 MW

The Southern Indian state of Karnataka is leading the region in RE with its total installed renewable capacity of over 20.6 GW, with a share of roughly 65 per cent of the state’s total energy capacity of about 31.74 GW. The state saw rapid addition to its green energy portfolio, exceeding its renewable energy targets of 14.82 GW originally set for the end of 2022, and had already achieved an installed capacity of 16 GW by as early as September 2022.

Wind and solar were crucial in the state’s renewable push. According to a data analysis of 78 countries conducted by global energy think tank Ember, Karnataka was one of the six Indian states where the contribution of wind and solar energy to the overall electricity generation surpassed the global average of 12 per cent.

#4 Tamil Nadu

Installed RE Capacity: 20,352.16 MW

Another South Indian state in the top 5 is proof of the region’s active push for renewables. Tamil Nadu has over 20 GW of installed renewables capacity which forms roughly 54 per cent share of the total installed capacity from all sources of energy for the state. Tamil Nadu has been actively pushing for renewable on a priority basis to meet its power demand. Tamil Nadu Budget 2023 aims to double the installed capacity for power generation in the State by adding 33,000 MW by 2030.

As part of the State’s efforts to become a leading green energy hub, the focus will be on expanding the capacity of renewable energy sources. This includes tapping into the potential of 20 gigawatts (GW) of solar energy, 70 GW of onshore wind energy, and 30 GW of offshore wind energy. To achieve the target of 70 GW of wind energy, the State government plans to introduce a new policy on repowering the existing windmills.

#5 Maharashtra

Installed RE Capacity: 16,105.17 MW

Following Gujarat in the western region, Maharashtra rounds up the top 5 list of the biggest renewable capacity states in India. Maharashtra has installed renewable capacity of about 16 GW with renewables sharing 65 per cent of the state’s total energy generation capacity.

In a major initiative, the Maharashtra government has recently signed MoUs to add projects to generate 5,220 MW of renewable energy for Rs 41,000 crore. Earlier, the Maharashtra government approved an ambitious project to bring at least 30 per cent of agricultural electricity feeders under solar energy by 2025. So expect the list to change in the months to come.