Budget 2026: Renewable Sector Demands Grid, Storage Fixes Amid Bottlenecks

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Firstpost•21-01-2026, 12:40
Budget 2026: Renewable Sector Demands Grid, Storage Fixes Amid Bottlenecks
- •India's renewable energy sector shifts focus from capacity addition to fixing transmission, storage, and grid stability issues for future growth.
- •Despite achieving 262 GW non-fossil capacity, structural stress points like renewable curtailment are impacting project activity and investor confidence.
- •Industry experts emphasize the need for strengthening T&D infrastructure and storage capacity, particularly battery energy storage systems and pumped hydro, to ensure grid stability.
- •Payment delays by state-owned distribution companies (discoms) remain a key concern, with calls for higher budgetary support for distribution reforms and smart metering.
- •The sector seeks new financing models, a dedicated renewable energy fund, and government-backed risk mitigation frameworks to boost investor confidence and address payment issues.
Why It Matters: Budget 2026 must prioritize grid resilience, storage, and discom financial health for India's renewable energy future.
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