India: Renewables

The Ministry of New and Renewable Energy, Government of India ("MNRE") on February 25, 2026 issued the draft guidelines for quantifying greenhouse gas ("GHG") emissions from offsite water drawal and treatment, for stakeholder comments until March 13, 20262. These guidelines inter alia provide for benchmark emission factors along with a mechanism for allocation/ determination of emissions during water treatment systems in order to ensure compliance with the Green Hydrogen Certification Scheme of India3 and alignment with ISO 19870:2023.

The Supreme Court of India (“Supreme Court”) in the case of Southern Power Distribution Company of Andhra Pradesh Limited and Anr. vs. Green Infra Wind Solutions Limited and Ors1 has dismissed civil appeals filed by the distribution licensees of Andhra Pradesh (“AP Discoms”) while holding that Generation-Based Incentive (“GBI”) granted by a Central Government Policy to wind power generators cannot be taken away by a State regulator and re-distributed to distribution licensee’s consumers by factoring the incentive into generation tariff.

The Ministry of New and Renewable Energy ("MNRE"), vide office memorandum dated March 17, 2026 ("Memorandum"), has proposed amendments to the Approved Models and Manufacturers of Solar Photovoltaic ("PV") Modules (Requirements for Compulsory Registration) Order, 2019 ("ALMM Order"), inter alia, to introduce a new Approved List of Models and Manufacturers ("ALMM") List-III for PV wafers.

The concept emerged from international climate architecture - first under the Kyoto Protocol, 1997, which introduced market-based mechanisms such as the Clean Development Mechanism, allowing developed countries to offset emissions by investing in reduction projects in developing nations, and subsequently under the Paris Agreement, 2015, which commits signatory nations to achieving their self-declared Nationally Determined Contributions (NDCs) towards limiting global temperature rise.

The Ministry of Power has notified the Electricity (Amendment) Rules, 2026 (2026 Amendment) on 13 March 2026, amending Rule 3 of the Electricity Rules, 2005 (Electricity Rules). The 2026 Amendment comes at a significant moment when India's commercial and industrial consumers have increasingly turned to group captive renewable energy projects as a cost-effective route to procure green power, and the captive power sector has grown substantially in scale and sophistication over the past decade

India’s move towards a clean energy future has resulted in the development of innovative market instruments that will help facilitate the growth of renewable energy while meeting obligations imposed on obligated entities.

The Ministry of Power (MoP), Government of India, has issued draft amendments to Rule 3 of the Electricity Rules, 2005, for stakeholder consultation, proposing a refined framework for captive generating plants...

India's decarbonisation story has so far relied heavily on physical open access power purchase agreements, green tariffs and the market for renewable energy certificates.

India stands at a critical juncture in its power sector evolution.