India adds over 16 GW RE in April-June; Rajasthan, UP, Gujarat shine

Data compiled by the Institute for Energy Economics and Financial Analysis (IEEFA) showed that the cumulative Q-o-Q additions fell by over 15 per cent during Q2 2026.

India added roughly 16.12 gigawatts (GW) of renewable energy capacity in April-June 2026, a 67.8 per cent Y-o-Y growth, with Uttar Pradesh, Rajasthan and Gujarat accounting for more than half of the additions.

Among large States, with an installed renewable energy capacity of around 10 GW or more, Gujarat led the capacity additions in Q2 2026 with 4.43 GW, followed by Rajasthan (2.51 GW) and Uttar Pradesh (1.69 GW). Together the three states accounted for more than 53 per cent of the total RE capacity added in the last quarter.

Utility-scale solar was the driver of capacity additions during the second quarter in the current calendar year with Gujarat, Rajasthan, Andhra Pradesh and Tamil Nadu accounting for the most monthly utility-scale solar installations.

Data compiled by the Institute for Energy Economics and Financial Analysis (IEEFA) showed that the cumulative Q-o-Q additions fell by over 15 per cent during Q2 2026.

“Uttar Pradesh recorded the largest Q-o-Q increase in renewable energy capacity additions in Q2 2026, with installations rising by 1.32 GW compared with Q1 2026,” the institute noted.

Madhya Pradesh was the only other large State to record an increase, with capacity additions rising by 38.4 megawatt (MW). Capacity additions fell for the remaining states this quarter, particularly for Rajasthan and Tamil Nadu, which saw significant increases in Q1 2026, it added.

Large hydro power was the only generation source to record an increase in net capacity additions of about 30 per cent in the quarter. Solar remained the dominant source of new capacity, having contributed 73.8 per cent of the total net additions in Q2 2026 despite a 17.7 per cent Q-o-Q decline from record commissioning levels in Q1 2026, IEEFA pointed out.

Wind capacity additions

While wind capacity additions remained stable at about 1.48 GW each quarter since Q2 2025, coal capacity additions declined by 4.8 per cent Q-o-Q, it added.

Gujarat and Maharashtra recorded the highest wind capacity additions, further boosting renewable capacity.

“However, the expiry of the Inter-State Transmission System (ISTS) charge waiver could encourage developers to locate projects closer to demand centres, resulting in a more even distribution of future capacity additions across states rather than continued concentration in a few states,” IEEFA explained.

During H1 2026, India added 35.13 GW of net new power generation capacity in comparison with 22.82 GW in H1 2025, marking an increase of 54 per cent Y-o-Y, which was driven by increased capacity additions in solar, wind and coal.

Renewables accounted for 87.1 per cent or 30.58 GW of the total installations. Solar alone added 26.34 GW capacity in H1 2026, accounting for Three-fourth of the total capacity increase during the period.

The rapid expansion of renewable energy generation capacity underscores the need for policy and planning frameworks that can support the power sector’s transition while ensuring system reliability and financial viability, IEEFA opined.

Published on August 9, 2026