Lok Sabha Question No. 534 (STARRED), answered on 2026-04-01
Subject: Scrapping of Unviable Renewable Energy Projects
Ministry: NEW AND RENEWABLE ENERGY
Asked by: Smt. Delkar Kalaben Mohanbhai, Shri Nilesh Dnyandev Lanke

## GOVERNMENT OF INDIA

## MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA STARRED QUESTION NO. 534

ANSWERED ON 01.04.2026

## SCRAPPING OF UNVIABLE RENEWABLE ENERGY PROJECTS

*534. SMT. DELKAR KALABEN MOHANBHAI SHRI NILESH DNYANDEV LANKE

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

- (a) the number of renewable energy projects found to be financially unviable in various States/UTs of the country particularly in the State of Maharashtra and the Union Territories of Dadra and Nagar Haveli and Daman and Diu along with the details of number of projects that have been scrapped among them;
- (b) whether the scrapping of certain renewable energy projects had a significant impact on the renewable energy targets of the country;
- (c) if so, the details and reasons therefor along with the steps being taken by the Government to compensate the losses by awarding new contracts for viable projects; and
- (d) the steps being taken by the Government to ensure the optimal utilisation of transmission capacity for renewable energy projects and to streamline the contract-awarding mechanism with a view to achieve the Net Zero target particularly in the State of Maharshtra and the UTs of Dadra and Nagar Haveli and Daman and Diu?

## ANSWER

THE MINISTER OF NEW & RENEWABLE ENERGY AND CONSUMER AFFAIRS, & FOOD AND PUBLIC DISTRIBUTION

(SHRI PRALHAD JOSHI)

(a) to (d) A statement is laid on the Table of the House.

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Statement referred to in reply to parts (a) to (d) of the Lok Sabha Starred Question No. 534 to be answered on 01.04.2026 regarding 'Scrapping of Unviable Renewable Energy Projects' asked by Smt. Delkar Kalaben Mohanbhai, Shri Nilesh Dnyandev Lanke

- (a) Most of renewable energy projects are set up by private developers.  Financial viability aspects are generally assessed by developers at the time of bidding based on their commercial considerations.  As informed  by  Maharashtra  Energy  Development  Agency  (MEDA)  and  Dadra  &  Nagar  Haveli  and Daman & Diu (DNH&DD) Power Corporation Limited, no solar or wind power projects have been reported scrapped in their State/ UT.

(b)&(c) India has already achieved 50% of its installed electricity capacity from non-fossil fuel sources, five years ahead of the target set under its Nationally Determined Contributions to the Paris Agreement. As of 28 th February, 2026, the installed capacity from non-fossil sources stands at about 275 GW, with 47.2 GW added in the current financial year up to February 2026.

- (d) The Government has taken several measures to ensure optimum utilisation of transmission capacity for evacuation of renewable energy (RE) in the country. These include:
- i. Central  Electricity  Authority  (CEA)  has  published  a  plan  for  Transmission  System  for integration of over 500 GW RE capacity by 2030 covering all RE rich States including Maharashtra.
- ii. Ministry of New & Renewable Energy is implementing Green Energy Corridor scheme in 10 (ten) states including in Maharashtra for construction of intra-state transmission system for evacuation of RE.
- iii. Advanced grid support technologies such as STATCOMs and synchronous condensers for voltage stability and dynamic response have been considered in the transmission planning and are at various stages of implementation.
- iv. Establishment  of  Renewable  Energy  Management  Centers  (REMCs)  for  real-time forecasting,  scheduling,  and  monitoring  of  RE  generation  across  12  RE-rich  regions including in Maharashtra for western region, and ancillary services by Grid Controller of India Limited to enhance grid reliability and optimise transmission utilisation.
- v. Central Electricity Regulatory Commission (Third Amendment) Regulations, 2025 have introduced Solar Hour and Non-Solar Hour access, under which solar projects are aligned with Solar Hours, while wind and Energy Storage Systems are permitted round-the-clock access.  This  framework  promotes  optimal  utilisation  of  transmission  capacity  and encourages hybrid project with different combination of solar, wind and Battery Energy Storage System (BESS) to ensure more reliable renewable power supply.

Further, to streamline the contract awarding mechanism, Standard Bidding Guidelines for tariff based competitive bidding process for procurement of Power from Grid Connected Solar, Wind, Wind-Solar Hybrid and Firm & Dispatchable Renewable Energy (FDRE) projects have been issued.

MEDA has  informed  that  Government  of  Maharashtra  has  taken  several  steps  to  ensure  optimal utilisation  of  transmission  capacity.  The  State  Government  has  declared  Maharashtra  Renewable Energy & Energy Storage Policy (2025-2035). This Policy provides for allotment of Government land, leasing of private land on set rates, development of Renewable Energy Industrial Zones, strengthening of transmission network, advance planning of evacuation infrastructure and promotion of energy stor -age and hybrid projects for reliable grid integration of Renewable Energy.

DNH&DD Power Corporation Limited has informed that the UT administration has initiated to install Battery Energy Storage System at the Diu district.

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