IREDA’s

India’s renewable energy journey has gained new momentum as the Indian Renewable Energy Development Agency (IREDA) reported an impressive performance in the second quarter (Q2) of the financial year 2025–26.

Union Minister for New and Renewable Energy, Shri Pralhad Joshi, commended IREDA’s results, noting that the agency’s steady growth reflects the nation’s determination to build a clean, green, and energy-secure future.

IREDA’s strong financial and operational progress reinforces its key role as the backbone of India’s green transition — supporting projects that bring sustainable power to millions of citizens and industries across the country.

What IREDA Does and Why It Matters

Established in 1987, IREDA (Indian Renewable Energy Development Agency) functions under the Ministry of New and Renewable Energy (MNRE). It acts as a key financial institution promoting and funding renewable energy projects in India.

From solar and wind farms to biomass, small hydro, and green hydrogen projects, IREDA offers loans, project financing, and policy support. Its mission aligns with India’s goal of achieving 500 GW of renewable energy capacity by 2030 and net-zero carbon emissions by 2070.

The agency has financed thousands of green projects nationwide, helping reduce dependency on fossil fuels while creating green jobs and local economic opportunities.

Q2 FY26

A Strong Quarter for Clean Energy

In the second quarter of FY26, IREDA posted significant growth in both loan disbursements and new project approvals. The agency recorded:

• Higher renewable energy investments across solar, wind, and hybrid projects.
• A steady rise in clean energy loan demand from private developers and public-sector enterprises.
• Strong repayment rates, indicating the growing maturity of India’s renewable energy market.

According to preliminary data shared by the Ministry, IREDA’s loan book has continued to expand, while its profits remain stable — reflecting strong financial health and operational efficiency.

Union Minister Pralhad Joshi said that such growth showcases IREDA’s pivotal role in “energizing India’s clean energy revolution.”

Government’s Vision for Green Growth

The Government of India has placed clean energy and sustainability at the heart of its development agenda. Through initiatives like the National Green Hydrogen Mission, PM-KUSUM scheme, and Rooftop Solar Programme, India is encouraging both individuals and industries to shift to renewable sources.

IREDA acts as the financial arm of this mission — turning policy goals into projects on the ground. It provides low-interest loans and financial support to developers who may otherwise struggle to secure funding for green projects.

The government’s continued support has also boosted investor confidence, leading to increased participation from domestic and international investors in India’s renewable energy sector.

Minister Pralhad Joshi’s Remarks

Union Minister Shri Pralhad Joshi appreciated IREDA’s consistent performance, saying it “demonstrates the success of India’s green financing model and the confidence global markets have in our clean energy growth story.”

He emphasized that India’s focus on renewables is not just about meeting energy demand but about ensuring sustainability, reducing emissions, and creating jobs.

Joshi also pointed out that the success of IREDA and other public sector bodies shows how India is “not just adopting renewable energy — we are leading the world in clean energy transition.”

Key Drivers Behind IREDA’s Success

Several factors have contributed to IREDA’s strong quarterly performance:

1. Rising demand for renewable projects: As electricity demand grows, states and private players are investing more in solar and wind energy.
2. Supportive policies: Government incentives and policy reforms have made financing cleaner projects more attractive.
3. Global climate commitments: India’s participation in global climate summits has accelerated domestic investment in renewables.
4. Technological innovation: Better efficiency in solar panels, wind turbines, and storage solutions makes green projects more profitable.
5. Investor confidence: IREDA’s consistent performance builds trust among lenders and investors, paving the way for larger projects.

Expanding the Green Energy Footprint

IREDA’s focus is not limited to big solar and wind farms. The agency is also promoting decentralized renewable systems like rooftop solar panels, waste-to-energy plants, and small hydro projects.

These smaller projects are critical to expanding energy access in rural and remote regions. They reduce the load on central grids, support small businesses, and create local employment — all while reducing carbon emissions.

Additionally, IREDA is aligning its portfolio with emerging sectors such as:

• Green Hydrogen Production
• Battery Energy Storage Systems (BESS)
• Electric Vehicle (EV) charging infrastructure

These segments represent the next wave of India’s clean energy transformation.

Looking Ahead

Toward a Sustainable Future

With India aiming to become a global renewable energy leader, IREDA’s role will continue to expand. The agency is expected to scale up lending to both government and private projects, strengthen green bonds, and collaborate with international climate finance institutions.

Experts believe that if this growth momentum continues, IREDA could soon help unlock hundreds of gigawatts of clean power capacity — reshaping India’s energy landscape.

The combination of strong government backing, private investment, and global partnerships ensures that India’s clean energy story will keep accelerating in the years to come.