India's Union Budget 2025-26: Shaping a Green Energy Revolution
Key Ideas
  • Significant increase in allocation for green energy sector, particularly for renewable energy systems like solar power.
  • Focus on transformative reforms across sectors to enhance India's growth potential and global competitiveness.
  • Emphasis on deploying clean energy technologies, research, manufacturing, and strengthening the supply chain for comprehensive development.
  • Sustainable energy considered as a vital component for economic growth, social equity, and environmental sustainability.
The Union Budget 2025-26 in India places significant focus on the green energy sector, with a particular emphasis on renewable energy systems like solar power. The budget allocates a substantial amount to the Ministry of New and Renewable Energy (MNRE), representing almost one-third of the total energy sector outlay. This allocation increase of 39 percent aims to steer India towards achieving 500 GW of non-fossil-fuel power capacity by 2030 and a long-term vision of 1,800 GW by the 100th year of India’s independence. The budget also emphasizes transformative reforms across various domains to boost India's growth potential and global competitiveness. Additionally, initiatives like the PM Surya Ghar scheme and Pradhan Mantri Kisan Urja Suraksha evam Utthan Mahabhiyan (PM KUSUM) are pivotal in expanding solar capacity and promoting distributed solar energy. The increased allocation towards these schemes reflects the government's commitment to accelerating the adoption of clean energy. Furthermore, the budget underscores the critical role of sustainable energy as a connecting factor between economic growth, social equity, and environmental sustainability, aiming to lead India towards a sustainable and developed nation by 2047.
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