Union Budget 2026-27: Renewable Energy Seeks Strategic Boost

The renewable energy sector advocates for incentives in the FY27 Union Budget to enhance R&D, manufacturing, and infrastructure. Industry leaders emphasize policy clarity, long-term green finance, and a focus on distributed energy solutions, as India moves towards a crucial phase in its clean energy transition.

The renewable energy sector has called for the FY27 Union Budget to include incentives for research and development, alongside manufacturing aid for ingots and wafers. This demand comes as the industry shifts its focus from merely expanding capacity to ensuring certainty in project execution.

Industry leaders stress the need for robust transmission infrastructure and the availability of long-term green finance. Policy clarity, financial stability among utilities, and bankable power purchase agreements are crucial for sustained growth. There is also a push for targeted interventions supporting distributed solar, storage-linked solutions, and hybrid systems.

Finance Minister Nirmala Sitharaman will present the Union Budget on February 1, amidst expectations of measures that will bolster domestic manufacturing, improve grid readiness, and support the adoption of distributed solar energy to maintain momentum in India's clean energy transition.

(With inputs from agencies.)