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Renewable Energy Generation in Rajasthan Sees Record Growth, Government Expands Green Energy Initiatives

The Ministry of New and Renewable Energy (MNRE) has reported significant progress in India's renewable energy (RE) generation, with Rajasthan emerging as a key contributor. Over the past decade, the state's RE output has grown nearly sevenfold, from 6,586.82 million units (MU) in 2014-15 to 48,162.93 MU in 2023-24, according to data presented in the Lok Sabha.

Key Highlights of India’s Renewable Energy Growth

• Total RE Generation in 2023-24: 359,888.76 MU nationwide, with Rajasthan accounting for 48,162.93 MU.
• Accelerated Growth: Rajasthan's RE output grew from 24,581.15 MU in 2021-22 to 41,957.48 MU in 2022-23, showing a consistent upward trend.
• Key Drivers: Expansion in solar, wind, and hybrid energy projects, backed by government incentives and favorable policies.

Government’s Key Initiatives to Boost Renewable Energy

To achieve the 500 GW non-fossil energy capacity target by 2030, the government has introduced multiple initiatives:

• Green Energy Corridor (GEC): Implemented in 10 RE-rich states, including Rajasthan, for improved transmission infrastructure. Phase-I offers 40% financial assistance (CFA), while Phase-II provides 33?A. Additionally, the Inter-State Transmission System (ISTS) under GEC-II will support 13 GW renewable energy projects in Ladakh.
• Solar Parks & Ultra Mega Solar Projects: The government aims to develop 50 solar parks with a total capacity of 40,000 MW by 2025-26, with 55 solar parks (39,958 MW) already approved across 13 states. Financial support includes:
  • Rs 25 lakh per park for Detailed Project Report (DPR) preparation.
  • Up to Rs 20 lakh per MW or 30% of the project cost for park development.
• Renewable Purchase Obligation (RPO) & Renewable Consumption Obligation (RCO): Ensuring higher adoption of solar, wind, and decentralized renewable sources, with penalties for non-compliance.
• Financial Support for RE Expansion:
  • 100% Foreign Direct Investment (FDI) under the automatic route.
  • Waiver of ISTS charges for solar & wind projects commissioned by June 2025, and green hydrogen & offshore wind projects till December 2030 & 2032, respectively.
  • Green Term Ahead Market (GTAM) for trading RE power via exchanges.

Budget Allocation for RE Subsidies & Solar Park Development

The government has been allocating Central Financial Assistance (CFA) for renewable energy projects, with significant funds directed towards Rajasthan:

• State-wise RE Subsidies (Last Five Years):
  • 2019-20: Rs 57.20 crore for Rajasthan’s solar parks.
  • 2021-22: Rs 87.16 crore for Rajasthan’s solar projects.
  • 2023-24: Rajasthan received Rs 692.07 crore under PM-KUSUM and other RE schemes.
  • 2024-25 (Till Dec 2024): Rajasthan received Rs 280.01 crore under PM-KUSUM and Rs 211.30 crore under CPSU Solar Scheme.

With Rajasthan leading the charge in solar and wind energy, and national policies supporting large-scale RE expansion, India is on track to meet its 500 GW target by 2030. The rapid development of transmission infrastructure, green energy corridors, and financial incentives is expected to further accelerate RE adoption across the country.