India is undergoing an energy transition from fossil-based to clean energy. Our quarterly Market Handbook helps identify and analyse trends, present data-backed evidence and connect the dots to present a short-term market outlook.
Key Findings
  • The total power generation slightly increased by 4.9% in FY25 vs FY24.
    • Q1: Up by 11.6%
    • Q2: Up by 1%
    • Q3: Up by 3.2%
    • Total FY24: Up by 4.9%
  • In FY25, RE generation increased by 13.1% versus FY24. Large hydro generation increased by 10.8%; however, coal/lignite based generation grew slightly by 2.6% for the same period.
  • From an average daily generation perspective, the share of RE and hydro increased and the share of coal/lignite decreased slightly, in FY25 compared to FY24.
    • RE: Share slightly down from 11.7% to 12.6%.
    • Hydro: Share slightly up from 8.3% to 8.8%
    • RE + Hydro: Share slightly up from 20.0% to 21.4%
    • Coal/lignite: Share slightly down from 75.4% to 73.8%
Figure 1: Source-wise daily generation
Source: POSOCO. Note: RE technologies include solar, wind, biomass, waste-to-energy, and small hydro and do not include rooftop solar and large hydro (>25 MW) generation.
  • In FY25, most listed RE stocks and the Sensex trended downwards, barring a few peaks.
  • The share price of RE developer Adani Green Energy was down by 45%; however, that of Sterling and Wilson was down by 26% as of March 2025 (vs March 2024).
  • All the wind developer – manufacturers recorded downward trends throughout FY25. The share price of wind developer–manufacturers Inox Wind was down by 24%, whereas Suzlon Energy’s share price was down by 22% at the end of March 2025 (vs march 2024).
  • The share price of Borosil Renewables, which holds a near-monopoly position in India’s solar panel glass manufacturing, was up by 14% at the end of March 2024 (vs March 2024).
  • NYSE-listed solar project developer Azure Power recorded a downward trend, decreasing by 47% in March 2025 (vs March 2024).
Figure 2: Change in key renewable energy stock prices (indexed to 100)
Source: Money Control
Note: Share prices are the last treded value in each month.
  • In FY25 Reserve Bank of India (RBI) conducted six sovereign green bond (SGrB) auction worth INR 32,000 crore, among which four were 10-year and two were 30-year bonds. Except the SGrB issuances in Q4 FY25, all the bonds were yield based which came out to be 6.9%, 6.79%, and 6.98% for August, November, and December respectively after auctions.
  • In February 2025, Reserve Bank of India (RBI) changed repo rate for the first time in two years, from 6.50% in February 2023 to 6.25% in February 2025.
  • SBI MCLR (1 year) rate increased 4 times in FY25, from 8.65% in April 2024 to 8.75% in June 2024, 8.85% in July 2024, 8.95% in August 2024, and 9.00% in November 2024.
Figure 3: Bond yields* and key financial rates
Source: Reserve Bank of India, State Bank of India, Trading Economics, Money Control, and BondEvalue.
Note: Bond prices are the last traded value in each month. *Current yield.

Key Indicators
Share of RE in FY25
12.6%
Up from 11.7% in FY24
Capacity auctioned
42.38 GW
in FY25
Legacy dues overdue to power producers as of January 2024
INR 49,451 crore
Down by 46% from March 2023
Market concentration for RE auctioned capacity
54%
in FY25
Author's Name
Riddhi Mukherjee
Research Analyst
Dishant Rathee
Research Analyst
For queries reach out to author
[email protected]
Tags
Clean Energy Investments
Discoms
Energy Storage
Energy Transition
EV
Green Bonds
Power Markets
RE Auctions
RE Developers