“Despite record renewable generation, significant volumes of renewable electricity continued to be curtailed because of grid and operational constraints. During July and August of Q2 FY2026, approximately 1835 million units (MU) of renewable energy generation was curtailed (1462 MU solar and 373 MU wind),” the data revealed.
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The report highlights the challenge India faces as it aims to increase its renewable energy capacity to 500 gigawatts by 2030 from the current 304 GW. CREA analysts noted that significant volumes of renewable electricity were curtailed because of grid and operational constraints, even as India is the third-largest solar power generator globally. Government data showed that 14% of solar power output was held back between April and June.
Government figures indicate that the transmission network has struggled to keep up with the rapid rise in green energy, especially solar power, which accounts for about 168 GW or nearly one-third of the country's power generation capacity. The curbs on clean power came at a time when peak power demand reached 270 GW in July and coal stocks at power plants fell sharply.
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Nearly half of India's coal plants had less than four days of coal stock early in the month. Despite the rapid addition of renewable capacity, coal remained the backbone of the power system during the quarter, supplying about two-thirds of electricity. The report also noted a 20% decline in hydropower output due to the El Niño weather pattern, which increased reliance on fossil fuels even as renewable energy generation grew.
(With agency inputs)