Union Budget 2025 Expectations: A Push for Renewable Energy Growth with Subsidies, Incentives, Innovation

Finance Minister Nirmala Sitharaman is set to present the Union Budget for fiscal 2025-26 on February 1. As we get closer to the Union Budget 2025, there are high hopes for initiatives that will boost the renewable energy sector even further. One of the standout schemes, the PM Surya Ghar Muft Bijli Yojana, has already made a huge impact. By offering free electricity—up to 300 units a month—through rooftop solar setups, the initiative has really taken off, racking up over 1.28 crore registrations and 14 lakh applications. With subsidies reaching 60 percent for systems up to 2kW, this program has empowered countless households.  

That said, the renewable energy manufacturing sector still needs ongoing policy support. Reinstating customs duty exemptions on essential materials, such as solar glass and wind energy components, is vital for maintaining progress in homegrown production and cutting down on imports. If these measures make it into the upcoming budget, they’ll provide much-needed relief for manufacturers and encourage more investments in the sector.

On another note, integrating Battery Energy Storage Systems (BESS) has become essential for stabilising India's renewable energy grid. As we depend more on solar and wind energy—which can be quite variable—the budget is expected to roll out subsidies and tax breaks for BESS development. There’s also a push from stakeholders for investment in advanced battery technologies. Supporting local manufacturing and research in this area will be essential for reducing import dependency and ensuring long-term energy security.

In addition, we're likely to see incentives for green bonds and specific funding mechanisms aimed at renewable energy projects, which should help boost investor confidence and funnel more funds into the sector.

Emerging technologies are another area where Budget 2025 is set to focus considerable resources. Innovations like floating solar power plants, offshore wind projects, and green hydrogen production represent exciting new frontiers in renewable energy. Funding for pilot projects and R&D initiatives will spur breakthroughs and help position India as a leader in clean energy innovation.

To hit its renewable energy goals, the government will also need to tackle operational challenges. Streamlining project approvals, improving land acquisition processes, and upgrading grid infrastructure are all critical steps that need attention. Expanding Production-Linked Incentive (PLI) schemes for solar panels, cells, and wind turbines will further strengthen local manufacturing and create a resilient supply chain for renewable technologies.

Leaders in renewable energy have expressed their hopes for Budget 2025, highlighting the necessity for manufacturing incentives, energy storage solutions, and R&D funding.

Dr. Amit Paithankar, Whole-Time Director and CEO, Waaree Energies Ltd., shared, "While ALMM for modules is already operational and for cells is in draft, expanding ALMM to include supply chain components such as ingots and wafers would enable comprehensive backward integration, bolstering domestic manufacturing. Anti-Dumping Duties are another critical measure to diversify and indigenise the supply chain, though their implementation must be gradual to mitigate short-term price fluctuations and maintain the sector's growth momentum. Additionally, initiatives like the PM Surya Ghar Muft Bijli Yojana have driven clean energy adoption among citizens. Expanding such programs to further support rooftop solar PV adoption would be a welcome step in the upcoming budget. To maintain global competitiveness, the renewable energy sector requires robust long-term innovation capabilities, built on a strong R&D foundation. We urge the government to encourage this by introducing targeted tax benefits and capital incentives. Increasing export subsidies for the renewable energy sector from 1 percent to 5 percent would significantly enhance India's global standing, while providing accelerated depreciation rates for core renewable assets would allow the industry to adapt to the rapid pace of technological advancements."

Gautam Mohanka, CEO, Gautam Solar, shared, "The year 2024 marked a transformative period in India’s green energy journey, with renewable energy capacity surpassing 200 GW in October, constituting 46.3 percent of the total installed capacity, primarily driven by solar energy’s 90.76 GW contribution. This milestone reflects the success of initiatives like the Jawaharlal Nehru National Solar Mission and supportive government policies. Looking ahead, the Union Budget 2025 is expected to accelerate this momentum by focusing on key areas such as scaling rooftop solar installations through the PM Surya Ghar Yojana, improving digital infrastructure like the National Solar Portal for better project execution, and supporting BESS with customs duty concessions to enhance grid stability. The renewable energy sector also expects the government to take substantial initiatives to address the talent gap through rural skill development programs under the PMKVY and PM-KUSUM schemes."

Srivatsan Iyer, Global CEO, Hero Future Energies, commented, "The upcoming 11th consecutive Budget of the Narendra Modi Govt. is likely to continue its high priority, with matching allocations, for the renewable energy sector, as it has done consistently in every Budget since 2014. This is what enabled India's non fossil fuel energy generating capacity to grow nearly seven times in just a decade: from a mere 35 GW in 2014 to over 200 GW in 2024. Given this growth over the past decade, achieving the target of 500 GW over the next 5 years, while challenging, is certainly achievable. While bids by Govt agencies like SECI and SJVN have gathered tremendous pace in the recent years, the Captive & Industrial segment of private industry consumers has also been growing rapidly.  The government’s continued support for financial mechanisms and a favourable regulatory framework will further strengthen RE segment’s growth."

Ashish Agarwal, Head of Solar & Storage, BluPine Energy, expressed, “With the target of achieving 500 GW of renewable energy by 2030, the demand for a skilled workforce will be immense. The government’s Skill India program provides an ideal platform to develop this talent pool. However, there is a critical need for greater collaboration between industry and government to ensure that we are training the next generation of skilled workers who can support the expansion of renewable energy infrastructure and technology. Another key area requiring attention is is the incentivisation of energy storage systems. While last year’s PLI scheme was a commendable first step in supporting battery manufacturing, it is crucial that we accelerate efforts to boost this sector. By focusing on the development of storage systems, we can reduce dependence on imports and enhance the stability of India’s power grids. Stronger incentives in this area will support the growth of domestic manufacturing and is also critical in managing the fluctuations inherent in renewable energy production.”

Capt. Ishver Dholakiya, MD and Founder, Goldi Solar, commented, “The Union Budget 2025 presents a significant opportunity to accelerate India’s renewable energy ambitions and achieve the target of 500 GW by 2030. This requires a strong focus on domestic manufacturing, innovation, and advanced technologies like Battery Energy Storage Systems (BESS). Goldi Solar urges the government to continue devising policies that enhance global competitiveness, foster self-sufficient local manufacturing, and support the expansion of infrastructure needed for manufacturing excellence. Key measures such as reducing GST on renewable equipment, expanding initiatives like the ‘Green Credit Program,’ and increasing R&D funding for solar technologies are crucial to making clean energy more accessible and affordable. Further, investments in transmission infrastructure and strengthening public-private partnerships will further ensure grid stability and efficiency. Goldi Solar remains committed to driving this vision through innovation and manufacturing excellence, contributing to India’s clean energy future.”

SK Gupta, CFO, AMPIN Energy Transition, shared, "While focus in creating domestic capacities in cell and module manufacturing has been a very welcome move in recent years, we are still fully dependent on import of equipment for manufacturing of these critical components, from abroad only. India has earned its name in equipment manufacturing in varied field in all these years and it is, therefore, time to start focusing on inhouse manufacturing of all equipment for cell and module lines in India only to help completely 'made In India' status. The budget should provide for required regulatory and fiscal support for the same. This also applies to inhouse manufacturing of critical equipment for green hydrogen like electrolysers etc."

Udit Garg, Managing Director and CEO, Kundan Green Energy, expressed, "The forthcoming Union Budget can be a key opportunity to boost India's movement towards a cleaner and greener future. To maintain this momentum, an encouraging tax policy would be the need of the hour. Increasing tax holiday under Section 80-IA of the Income Tax Act and lowering corporate tax rates for companies engaged in renewable energy to 15 percent or lower would provide much-needed sustainability to the industry. Moreover, facilitating tax credits on the production of green hydrogen and lowering GST rates for renewable energy products like solar panels and wind turbines would spur investments and innovation opportunities."

Vaibhav Pratap Singh, Executive Director, Climate and Sustainability Initiative (CSI) said, “The roles of banks and non-banks are expected to be important, but they will not be sufficient to meet the country's USD 10 trillion financing requirement for net zero. To effectively support India's infrastructure needs and renewable energy ambitions, it is crucial to establish dedicated financial institutions to provide the long-term financing required for this transition. For instance, creating a specialised institution like the National Bank for Financing Infrastructure and Development (NaBFID) could address these financing needs. Coupling this with access to India's USD 2.6 trillion bond market would reduce dependency on traditional lenders, facilitate the growth of renewable energy, and enhance energy infrastructure. Additionally, revisiting funding allocations for pivotal initiatives like Green Corridors would help streamline grid integration, further supporting our goal of achieving the 2030 clean energy targets.”

Preeti Bajaj, MD & CEO, Luminous Power Technologies, said, “The Union Budget 2025 presents a pivotal opportunity to accelerate India's transition to solar energy. As the demand for clean energy rises, we expect the government to introduce enhanced financing schemes, such as subsidies, low-interest loans, and tax incentives, to make solar installations more affordable for households and businesses. Expanding initiatives like the Pradhan Mantri Suryoday Yojana will further drive solar adoption and create new employment opportunities. Additionally, supporting MSMEs with tax breaks, grants, and funding for R&D will foster innovation and reduce costs in the solar sector. Finally, investing in skill development programs for women and youth will help bridge the gender gap and create a skilled workforce to meet the demands of India’s growing solar market.”

Shashank Sharma, Founder, Chairman and CEO, Sunsure Energy, stated, "As India accelerates towards its ambitious renewable energy targets, addressing critical infrastructure and policy challenges is paramount. Creating dedicated transmission corridors for renewable energy will ensure efficient power evacuation and integration, enabling clean energy to seamlessly reach demand centers. Tax exemptions on lease agreements for renewable energy projects will significantly reduce financial strain on developers, encouraging faster execution and scaling of projects. Developing a robust carbon market and enforcing RPO compliance will drive greater accountability and enhance India's transition to a greener future. Additionally, incentivizing the deployment of Round-The-Clock Renewable Energy solutions, such as Battery Energy Storage Systems, will ensure that a greater share of RE is sustainably brought online to the Indian Grid. The future of India's energy security lies in fostering bold, actionable reforms that drive innovation, resilience and growth across the sector."

Saurabh Marda, Co-founder and Managing Director, Freyr Energy, stated, "The Union Budget 2025 is a pivotal moment for India's solar energy growth. Last year was a landmark year for the residential solar sector. It witnessed unprecedented growth driven by the government’s PM Surya Ghar Muft Bijli Yojana. The focus should be on ensuring that sufficient domestic manufacturing capacity is there to fulfill upcoming demand. In addition, the entire process of loan evaluation and disbursal for residential solar loans should be digitised. Finally, the government should further streamline/standardise/digitise approvals to speed up system installation and grid connectivity timelines. A forward-thinking budget can provide the clarity and support for these items will go a long way in helping the section meet or even exceed its goals."

Shekhar Singal, Managing Director, Eastman Auto and Power Ltd. commented, “India’s renewable energy sector stands at a pivotal juncture as we approach the 2025 budget announcement. Initiatives like Muft Bijli Yojana are driving significant adoption of solar energy. Over 6 lakhs plus solar installations in just nine months is indeed impressive. In addition, the government’s focus on enhancing PLI schemes for solar component manufacturing is set to boost domestic manufacturing capabilities. This move will not only reduce India’s reliance on imported components, but also drive innovation, reduce costs, and make the sector more competitive globally in the current geopolitical context as well. The momentum in the solar industry shall ensure that the government’s target of 500 GW of non-fossil fuel capacity by 2030 is surpassed.”

Saurabh Kumar, Vice- President India, Global Energy Alliance for People and Planet (GEAPP), said, "As we approach the Union Budget, we hope to see a decisive increase in funding to accelerate the green energy transition. Priorities must include scaling renewable energy by addressing grid and transmission challenges, advancing Battery Energy Storage Systems (BESS) for grid stability and reliable power, doubling energy efficiency and digitalising the energy sector through AI, smart meters, and data-driven solutions. Streamlining rooftop solar programs with simplified approvals, financing, and monitoring is equally vital. By prioritising these solutions, the budget can drive a resilient energy infrastructure in India."

Kshiteej Mishra, Practice Leader, Mobility, Energy and Transportation at Praxis Global Alliance, stated, "Lowering the GST on solar manufacturing components, currently taxed at 12 percent-18 percent, could significantly enhance the affordability of solar energy. This move would encourage greater consumer adoption, boost domestic manufacturing, reduce reliance on imported technologies, and potentially increase solar installations by up to 15 percent. To scale rooftop solar adoption, enhancing consumer awareness and strengthening vendor networks is essential. With 16.4 GW installed in 2024 and a target of 40 GW by 2030, expanding certified vendor networks will ensure quality installations and boost consumer confidence. Additionally, clarifying the financial structure with low-interest loans or financial assistance can ease the installation costs."

Raju Kumar, Partner and Energy Tax Leader, EY India, commented, "The Union Budget 2025 presents a fantastic opportunity to accelerate India’s energy transition and strengthen its energy security. To achieve the ambitious 2030 target of 500 GW renewable energy capacity, enhanced budgetary allocations for emerging sectors such as offshore wind and green hydrogen are essential. Viability gap funding, financial support for solarising MSMEs, and incentives for the domestic manufacturing of solar panels, cells and storage batteries can boost local industry and align with the "Make in India" initiative. Additionally, a comprehensive energy transition policy is necessary to outline a clear roadmap for decarbonising hard-to-abate sectors and integrating various energy sources to ensure a balanced energy mix."

Tanmoy Duari, CEO, AXITEC Energy India Pvt. Ltd., shared, “As India strives to achieve 500 GW of non-fossil fuel capacity by 2030, we expect the upcoming budget to accelerate the growth of the renewable energy sector. At AXITEC Energy India Pvt Ltd, we anticipate incentives for solar energy storage, green hydrogen, and grid-scale solar projects, which will help bridge the gap between India's installed solar capacity of 60 GW and the ambitious target of 300 GW by 2030. Clarity on customs duty exemptions and GST reductions will also be crucial in making renewable energy more affordable. A supportive budget will propel India's transition to a low-carbon economy.”

Rachna Kango, Senior Director, ESG and Strategic Marketing, Delta Electronics India Pvt. Ltd., said, "To meet the ambitious 2030 target of achieving 500 GW renewable energy capacity, enhanced budgetary allocations for emerging sectors like offshore wind and green hydrogen are crucial. Viability gap funding and financial support for solarising MSMEs can drive wider adoption of clean energy solutions. Incentives for the domestic manufacturing of solar panels, cells, and storage batteries will further strengthen the "Make in India" initiative and reduce import dependency. Additionally, a comprehensive energy transition policy is needed to outline a clear roadmap for decarbonising hard-to-abate sectors and integrating diverse energy sources for a balanced energy mix."

Varun Puri, Managing Director, Green Power International Pvt. Ltd., expressed, "We are hopeful that the upcoming Union Budget will include impactful measures to address the dual challenges of rising air pollution and sustainable energy transition. Bioenergy, as a clean and renewable source, holds immense potential in tackling these issues while supporting India’s energy security goals. We look forward to policy initiatives that incentivize the setup of bioenergy plants, offer subsidies for advanced energy equipment, and provide financial support for importing cutting-edge clean energy technologies. Simplifying regulatory processes and offering tax benefits for the adoption of sustainable energy solutions will further encourage industries to transition to greener alternatives. Such measures will not only combat pollution but also foster innovation, create jobs, and contribute to a healthier and more sustainable future for India."

Kishan Karunakaran, Founder and CEO, Buyofuel, shared, “Budget 2025 is the opportunity to accelerate India’s green energy transition and Buyofuel hopes for more policies enabling biofuel adoption and clean energy innovations. We will see some growth and sustainability in the renewable energy sector with incentives for waste-to-energy technologies, carbon credit markets, and green fuel infrastructure. Supporting cleaner alternatives through government programs may decrease emissions and decouple the use of fossil fuels, resulting in a cleaner environment. Investments could lead to improvements in accessibility and scalability for biofuel solutions through advancements in research and development, logistics, and digital platforms, among other areas. Buyofuel believes that the policies must be developed to create a strong green energy network that will generate jobs and invigorate economic development.”

Tanya Singhal, Founder, Mynzo Carbon and SolarArise, commented, "There has been a consistent big push by the government of India to achieve the Net Zero target by 2070, growing 24-hour renewable energy in India and promoting climate consciousness among the masses. But a little bit more is needed, especially on  Introducing a robust incentivisation scheme to promote climate-conscious behaviour among the masses. This could be a game-changer, potentially significantly altering consumption patterns. For instance, introducing a 'Climate-Conscious Consumption' tax rebate, offering up to INR 25,000 annual tax deduction for individuals adopting certified energy-efficient appliances and renewable energy solutions in line with LiFE, could be a powerful motivator."

Sudheer Perla Managing Director, Tabreed Asia, stated, "All of India's energy transition efforts over the past 8 years to rapidly increase renewable energy capacity generation or energy storage is barely meeting the country's growing demand for cooling either for buildings, data centres or industrial parks. We hope the budget adopts a holistic approach for the energy transition to instead become a cooling transition with more focus on efficient demand management instead of simply adding electricity supply. District Cooling has the potential to cut energy demand by upto 50 percent for buildings, data centres and manufacturing facilities that require process cooling. In addition, it accelerates circular energy systems to re-use waste, sewage and other forms of energy including city gas to more rapidly decarbonise India whilst powering our economic growth. With increasing heat stress likely to have the most significant climate impact in India in the near term we look forward to policies that can instead mandate and incentivise systemic changes in the way India keeps cool."

Premchand Chandrasekharan, Partner, Avalon Consulting, said, "In the 2025 budget, we expect a robust commitment to Green Hydrogen and BESS projects, which are pivotal for India's energy transition. To achieve India’s planned 5 million tonnes of production capacity by 2030, additional investments in schemes such as SIGHT, NGHM and budgetary support for major projects such as NTPC Green Energy’s investment in Maharashtra are likely. BESS manufacturers will likely get further support under the Viability Gap Funding Scheme and Project Import Scheme. Together, these initiatives will not only bolster India's position in the global green economy but also contribute substantially to achieving net-zero emissions by 2070."

Subhabrata Sengupta, Partner, Avalon Consulting, shared, "In line with 2030 (500 GW renewables) targets, we expect allocation to increase across renewables - Solar, Offshore wind etc. Of particular interest would be incentives around industrial decarbonisation, not just hydrogen but also biomass based refurbishments. Viability gap funding and green financing would be impactful. Subsidies for energy storage, smart grid technologies, and DISCOM modernisation will be critical for grid stability and efficient renewable energy integration."

Yogesh Mudras, Managing Director of Informa Markets in India, commented, "As the country gears up for Budget 2025, the renewable sector expects increased policy measures, support mechanisms, and targeted investments to accelerate India’s transition to clean energy. To achieve the ambitious 2030 target of 500 GW of renewable energy capacity, we envision enhanced budgetary support for emerging sectors like offshore wind and green hydrogen. In addition, financial incentives for the domestic manufacturing of solar panels, cells, and storage batteries can boost local industry and align with the 'Make in India' initiative. Moreover, the extension of customs duty concessions for importing battery energy storage systems (BESS) remains critical, as these systems are essential for storing renewable energy and ensuring its optimal use."

Pankaj Kalra, CEO, Essar Oil and Gas Exploration and Production Limited, stated, "As we approach the Union Budget 2025-26, the oil and gas industry remain optimistic about key reforms that can drive growth, particularly in natural gas. A key expectation is the inclusion of natural gas under GST, which would unify the energy market and deliver benefits to consumers. Additionally, the passage of the Oilfield Amendment Bill is crucial for ensuring policy stability and simplifying processes, especially for unconventional resources like coal bed methane (CBM) and shale. These resources have significant potential to reduce import dependency and enhance India’s energy security. We strongly believe that continued incentives for unconventional hydrocarbon exploration will be vital in strengthening domestic energy security and supporting economic stability."

Rakesh Malhotra, Founder, Livguard, commented, "With the upcoming Union Budget, we eagerly anticipate the government's continued emphasis on sustainability, especially in the renewable energy and electric mobility sectors. As India moves toward a sustainable future, we urge the government to continue incentivising clean energy solutions and electric vehicles, which are integral to achieving energy security, reducing emissions, and fostering self-reliance. Livguard remains committed to driving innovation and sustainability in India’s clean energy and e-mobility ecosystems."

Ankit Mathur, Co-founder & CEO, Greenway Grameen, shared, "It would be great to see incentives being given to installation of microgrids using renewable energy sources to improve energy access for rural communities. Subsidies to boost renewable energy distribution in rural areas will increase reliability and contribute to climate action.”

Nikhil Agarwal, President, CJ Darcl Logistics Ltd., expressed, “CJ Darcl envisions this budget to be a turning point for the logistics sector. As sustainability takes center stage, we expect the implementation of advanced policies that endorse green technologies and promote the integration of electric vehicles within the commercial fleet, utilisation of alternative fuel sources and renewable energy infrastructures enhancements, and subsidies/incentives for adopting sustainable operational methodologies. These measures can accelerate India's journey to become a global manufacturing hub. Additionally, we expect the government to launch programs for workforce development driven via skill development programmes targeting developing industries and expanded training centers for logistics professionals."

Amrit Singh Deo, Secretariat Lead, IH2A, said, “Potential green hydrogen offtake entities are holding back on committing to long-term offtake due to high price of Green Hydrogen. We are proposing increasing the budgetary allocation for NGHM by an additional USD 2.5 bn. This increased funding should help provide offtake-linked demand-side incentives to industrial entities in the refinery, fertilizer, steel, and chemical sectors, as well as in heavy-duty transport sectors. This is expected to increase the development of more green hydrogen projects and ensure India meets its Green Hydrogen ambitions and 2030 targets. The recommendations made by IH2A are intended to support the growth and development of India’s green hydrogen economy.”

Naveen Munjal, Director - Business Development and Commercial, Apraava Energy, commented, “Budget 2025 is an opportunity for India to expand the scope and accelerate the ongoing energy transition, on several important fronts. While domestic production of Solar Power related equipment needs to be quickly ramped up to meet the ever-growing demands in the backdrop of import restrictions, offering incentives for export-oriented manufacturing units, for instance, will boost exports of wind and, potentially later, solar solutions. Taxes are a crucial aspect of any Budget; a reduction in corporate taxes will increase the availability of funds for private investment in the RE sector. Production-linked incentives, tax breaks, and concessions for manufacturers of transmission equipment such as GIS, transformers, and STATCOMs will boost local manufacturing capabilities and reduce India’s dependency on imports. From an operational standpoint, there is a pressing need to expedite the signing of PPAs. Uncertainty on this front tends to dampen investments, dishearten RE developers, impact project execution and expose developers to equipment price movements.  Fiscal interventions that nudge state-owned discoms to expedite PPA signing will speed up and smoothen the commissioning of projects and create a climate conducive to the participation of both domestic and international players.”

Tarun Sawhney, Vice Chairman and Managing Director of TEIL, shared, “Advancing India’s ethanol blending goals is important, as the country approaches the E20 target by 2025. Achieving this milestone requires a robust roadmap, including continued policy support, technological innovation, and infrastructure expansion. Meeting the 20 percent blending target by 2025 will require approximately 1,016 crore liters of ethanol, rising to 1,350 crore liters when accounting for other uses. To meet this demand, ethanol production capacity must reach 1,700 crore liters by 2025. Targeted subsidies of INR 35,000 crore to create an additional 770 crore liters of production capacity will play a pivotal role. A key expectation from the government is the approval of the anticipated ethanol pricing bill, proposing an INR 4-5 per litre price hike for the Ethanol Supply Year 2024-25. This increase is essential to incentivize ethanol producers and distilleries to enhance production in alignment with India’s blending targets. Linking ethanol pricing to the FRP of sugarcane through a formula-based mechanism could further ensure stability for all stakeholders in the value chain."

"Furthermore, to establish the roadmap beyond E20 targets, the government should focus on aligning blending targets with domestic feedstock availability and securing a steady supply chain, utilizing surplus FCI rice until maize production meets blending requirements. Additionally, it should prioritize the development of flex-fuel vehicles and expand dispensing infrastructure to support various ethanol-blended fuel options effectively. Investments in research and development are also crucial in ensuring India remains a global leader in biofuel innovation. Breakthroughs in 2G ethanol, Sustainable Aviation Fuels (SAF), and ethanol-to-hydrogen conversion technologies will keep India at the cutting edge of the biofuel sector," added Sawhney.

Gaurav Burman, Managing Director, APAC Operations, 75F, explained, “Energy-efficient solutions along with the latest in IoT technologies can play a transformative role in urban environments, especially as the infrastructure industry drives progress in urban development and smart city initiatives. As we await the Union Budget 2025, we seek increased government attention and support on green incentives and smart infrastructure projects, along with enhanced financial and policy support around energy-efficient technologies. Subsidies or tax breaks will be effective for adopting IoT-driven smart building solutions, such as those offered by 75F, which will not only reduce carbon footprints but will also make energy efficiency a more accessible option for both businesses and homes alike. Additionally, programs aimed at upgrading existing infrastructure with modern, sustainable technologies could accelerate India’s energy transition. Investments in skilling and innovation will further empower the industry to create unique solutions to address India’s specific needs effectively. At 75F, we focus on providing innovative smart IoT solutions that enable energy efficiency and align with India’s vision for sustainable urban development. We are optimistic that the upcoming budget prioritizes these sectors, to build a resilient and energy-conscious India.”

Sunil Singhvi, President IEEMA added, “The Union Budget 2025 has immense potential to boost India’s growth and innovation across sectors. The electrical and electronics industry is expecting clear policy support and fiscal incentives to boost domestic manufacturing, exports and energy infrastructure. We hope to see more allocation for R&D, innovation and skill development in emerging areas like smart grids, green energy and electric mobility which are the future of the sector. GST for electrical equipment, more incentives for MSMEs and enhanced PLI schemes are on top of the industry’s agenda. This will not only improve cost competitiveness but also bring in big investments and jobs. Sustainability is top of mind and we expect big progress on green energy initiatives including incentives for renewable energy production and sustainable sourcing. We need to invest in digital infrastructure and modernize the grid to build a robust power ecosystem. We hope this budget will create a business-friendly environment, encourage innovation and make India a key player in the global energy transition.”

Sharat Goyal, CEO, Impact Infracap discussed, “Infrastructure has the potential to be the growth engine for economy. We would like to see the government make the Energy sector more viable by expanding the RDSS reforms programme by including smart metering in infrastructure definition. This would direct more financing for a sector which seeks to bring down India’s T&D losses to 12% and improve recovery for state utilities. Rooftop solarisation has received an impetus with the PM Surya Ghar Muft Bijli Yojana. We would also like the government to remove restrictions on state wise caps on roof top capacity for net-metering for industrial establishments. Further, adoption of batteries to substitute use of Diesel generators for back-up power should receive incentives and policy support given their role in reducing dependence on imports. Benefits of asset monetisation have been harnessed by the road sector spurring massive foreign investments. Power transmission despite significant potential has not seen any notable monetisation events which could address the latent investor demand. Government should announce a time-bound privatisation programme for assets owned by PGCIL.”

With a solid policy framework and strategic investments, Budget 2025 has the potential to bring India closer to its goal of becoming a global leader in renewable energy. By nurturing innovation, strengthening infrastructure, and tackling systemic challenges, the government can facilitate the country's transition to a green economy while ensuring a sustainable future.