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Cabinet Approves ₹1.86 Lakh Crore Green Energy Plan

By Ayushi
Oct 1, 2026
Indian renewable energy infrastructure with solar panels and power transmission lines represented in an editorial image.

The PM-DHARA programme will strengthen intra-state transmission networks and deploy 50 GWh of battery storage to support evacuation of up to 135 GW of renewable power.

The Union Cabinet has approved a ₹1.864 lakh crore renewable-energy programme aimed at strengthening India's electricity transmission network and adding large-scale battery storage. The approval comes as renewable generation expands and transmission constraints increasingly limit the ability to move clean power to consumers.

Under the programme, ₹1.363 lakh crore will be used to strengthen intra-state transmission systems, enabling the evacuation of up to 135 GW of renewable energy. A separate ₹50,000 crore incentive scheme will support the installation of 50 GWh of battery energy storage systems.

KEY NUMBERS
The programme has a total outlay of ₹1.864 lakh crore, including ₹1.363 lakh crore for transmission infrastructure and ₹50,000 crore for 50 GWh of battery storage.

The battery storage component is intended to address the intermittent nature of renewable generation, particularly solar power, which produces electricity during daylight hours. Storage can help shift electricity availability to periods of higher demand and reduce curtailment caused by transmission congestion.

The government said the programme will help India expand its grid in line with the country's growing clean-energy capacity. India currently has 304 GW of non-fossil-fuel-based power capacity and has set a target of 500 GW by 2030, according to the Reuters report.

RENEWABLE POWER TARGET
The transmission component is designed to enable evacuation of up to 135 GW of renewable power, while the battery-storage component will add 50 GWh of grid-flexibility capacity.

The programme will also support the expansion of India's Green Energy Corridor network. The central government is providing financial support to help offset intra-state transmission charges and limit their impact on electricity costs.

The approval addresses a key infrastructure challenge for India's clean-energy expansion: building transmission and storage capacity quickly enough to match new renewable generation. Reuters reported that the programme forms part of India's broader effort to expand its non-fossil power capacity while improving the ability of the grid to absorb renewable electricity.

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