India is set to undergo transformative growth

India is rapidly expanding its wind energy market as it drives toward ambitious renewable energy and net-zero targets. With strong onshore capacity growth and emerging offshore opportunities, India is positioning itself both as a robust domestic market and a key global hub for wind component manufacturing and exports.

Installed capacity and growth

• Current capacity & recent trends: As of late 2023/early 2024, India’s cumulative installed wind energy capacity has surpassed 43 GW. Recent projections now indicate that this capacity could grow to around 50 GW by mid-2024, thanks to accelerated tender execution and policy support.
• Offshore wind potential: India’s offshore wind potential—primarily concentrated off the coasts of Gujarat and Tamil Nadu—remains substantial, with updated estimates now suggesting a technical potential of up to 140 GW. Recent policy revisions are paving the way for initial auctions, with government targets hinting at developing 40 GW or more by 2030.
• Growth scenarios:
  • Base scenario: Onshore and offshore wind combined reach about 63–68 GW by 2027.
  • Ambitious scenario: With enhanced policy measures and grid upgrades, total wind capacity could approach 100 GW by 2030, aligning with India’s broader renewable energy targets.

Government ambitions and policy reforms

• 2030 renewable energy target: India has committed to achieving 500 GW of total renewable energy capacity by 2030, with wind energy expected to contribute roughly 140 GW.
• Offshore wind auctions and green hydrogen integration: The government is finalizing frameworks to launch offshore wind tenders—initially targeting projects in Gujarat and Tamil Nadu—which are also seen as key enablers for green hydrogen production.
• Grid expansion and infrastructure upgrades: Recent announcements indicate plans to boost grid capacity further, with projections of expanding the available transmission network to over 111 GW by 2030. This will be critical for accommodating the rapid increase in wind installations.

Current and upcoming projects

• Onshore wind expansion: Annual wind tenders—now set at around 10 GW per year—are driving a robust onshore pipeline. The revamped bidding mechanisms and relaxed criteria are reducing project delays and improving investor confidence.
• Offshore wind developments: Early-stage offshore projects are now under active planning, with initial target capacities in Gujarat and Tamil Nadu, aiming to initiate commercial operations within the next few years.
• Hybrid wind-solar projects: Several hybrid projects are under development, capitalizing on India’s high solar and wind resource synergy, which can offer improved capacity utilization and cost benefits.
• Global supply chain leadership: Enhanced domestic manufacturing capabilities—already contributing nearly 11 GW of nacelle production capacity—are positioning India as a competitive export hub for wind turbine components. Recent policy incentives are expected to further reduce production costs and improve the global competitiveness of Indian-made turbines.

Latest updates and revised projections (2024/2025)

Recent industry reports and government updates from early 2024 suggest:

• Cost competitiveness: Improved manufacturing processes and supply chain efficiencies are projected to bring the Levelised Cost of Energy (LCOE) for onshore wind projects down to around INR 3.1–3.8 per kWh by 2025, continuing to challenge conventional energy costs.
• Accelerated policy measures: Updated tender guidelines and enhanced grid upgrade plans, as outlined in recent MNRE and GWEC publications, indicate a more streamlined approval process. This is expected to mitigate previous delays related to land acquisition, grid connectivity, and tender disputes.
• Enhanced focus on offshore wind: The government’s revised roadmap now includes detailed strategies for offshore wind project development, with preliminary assessments indicating that offshore projects could soon benefit from targeted incentives and infrastructure investments.

India’s wind energy market is set to undergo transformative growth, driven by strong policy support, aggressive infrastructure expansion, and strategic initiatives to harness both onshore and offshore wind resources. With domestic capacity poised for record increases and the wind component of the global supply chain set to expand further, India is on track to not only meet its renewable energy targets but also to become a major player in the global wind energy arena.

This information is updated in March 2025

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