Telangana Targets 26,000 MW Solar Power by 2035: Clean and Green Energy Policy-2025 Unveiled
Hyderabad, January 11,2025: The Telangana government has announced an ambitious target of generating 26,374 megawatts (MW) of solar power by 2035 as part of its newly launched Clean and Green Energy Policy-2025. The policy was unveiled on Saturday by Chief Minister Revanth Reddy, Deputy Chief Minister Bhatti Vikramarka, and Minister Jupally Krishna Rao.
Aimed at bolstering the state’s green energy production, the policy prioritizes solar, wind, green hydrogen, and hybrid energy projects. It offers a host of incentives to attract investments, with a target of securing ₹1.98 lakh crore in investments and creating 1.14 lakh jobs over the next decade.
Green Energy Targets
The policy outlines progressive targets for the next ten years, calculated in five-year phases. By 2030, the state aims to achieve:
Solar Power: 19,874 MW
Wind Power: 2,528 MW
Hydro Power: 2,518 MW
Battery Storage: 3,388 MW
Pumped Storage: 417 MW
By 2035, the targets expand to:
Solar Power: 26,374 MW
Wind Power: 4,528 MW
Hydro Power: 2,518 MW
Battery Storage: 5,450 MW
Pumped Storage: 2,467 MW
The policy aims to reduce pollution intensity by 33% in the next decade.
GENCO and REDCO as Nodal Agencies
The government has designated GENCO and REDCO as nodal agencies to implement the policy in coordination with the Ministry of New and Renewable Energy (MNRE). These agencies will handle project registrations, capacity allocations, land allotments, power generation permits, and tender processes. A special incubation center will also be set up to foster innovation in the energy sector.
An online portal will facilitate applications for setting up power plants, with expedited approvals through the TG iPass single-window clearance system.
Subsidies and Incentives
To attract companies to invest in green energy, the government is offering several subsidies, including:
100% Stamp Duty Reimbursement: For land purchases to establish power plants.
Water Charges Reimbursement: For solar power projects.
Electricity Duty Exemption: For MSMEs for eight years.
Fixed Capital Subsidy: 25% subsidy on fixed capital investment for five years (up to ₹30 crore).
SGST Reimbursement: 100% for machinery for seven years.
Additionally, permissions and NOCs from the Pollution Control Board are waived, and land for green energy projects will be leased at nominal rents. Floating solar projects will also be encouraged, with reservoirs allocated to central and state sector undertakings through a nomination process.
Power Purchase and Women Empowerment
The policy allows companies to sell power to DISCOMs and private entities through open access. DISCOMs will procure power from green energy projects through competitive bidding and coordinate with TRANSCO for approvals.
To empower women, incentives will be provided for solar power plants established by women’s groups, with capacities ranging from 500 kilowatts to 2 MW. The electricity generated from these plants will be purchased by DISCOMs.
Promoting Rooftop Solar
The policy emphasizes rooftop solar installations on government schools, Indiramma houses, government buildings, and gram panchayat offices. Lands allocated for green energy projects will be treated as non-agricultural, with no ceiling limit or land use conversion permissions required.
This forward-thinking policy positions Telangana as a leader in the renewable energy sector, with a clear roadmap to achieving its green energy ambitions by 2035.
