India's Renewable Energy Capacity Surges in August 2025
India witnessed a significant boost in renewable energy capacity in August 2025, with a substantial increase in both wind and solar power installations on the 2025 calendar. The country also experienced a rise in power demand and generation, driven by various factors.
Wind power additions surged to 541 MW in August 2025, more than quadrupling the 117 MW added in the same month last year. Meanwhile, solar capacity saw a notable increase, rising to 4,114 MW from 2,224 MW in August 2024.
Power demand in India grew by 4% year-on-year (YoY) in August 2025, primarily due to a low base effect, stronger rainfall, and higher renewable generation. This growth was reflected in the overall power generation, which increased by 1% YoY. Notably, hydro power generation saw a 9% YoY increase, benefiting from higher and earlier rainfall.
Renewable power generation in India grew by 10% YoY in August 2025, with solar and wind generation contributing significantly to this growth, increasing by 9% YoY and 25% YoY respectively.
The average Market Clearing Price (MCP) on the India Energy Exchange stood at Rs 4 per kWh in August 2025, indicating subdued demand despite the increase in power generation and capacity additions. As India continues to expand its renewable energy sector, it will be crucial to monitor demand patterns and pricing to ensure sustainable growth on the 2025 calendar.
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