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Grid, power sector and energy policy

The power sector: the grid and its transmission corridors, the regulators and distribution companies, market reforms, and what solar and wind change about running the grid. It serves GS3 answers on energy infrastructure.

Foundation note: The grid: how power reaches a plug, who regulates it, and what renewables change

Showing 2 of 6 articles, those that changed from 1 to 31 August 2026.Show all

Renewable projects near the international border

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Prelims and Mains

Solar, wind and hybrid renewable energy projects near India's frontiers are restricted by their distance from the international border, the Line of Control and the Line of Actual Control.

  • A project 1 km to 20 km out needs a No Objection Certificate from the Defence Ministry.
  • Any project within 50 km needs Home Ministry security clearance.
  • Staff from Pakistan, Bangladesh or China, and any land transfer to a foreign firm, need approval.

What changed

  1. 8 Aug 2026BriefThe Home Ministry barred solar, wind and hybrid projects within 1 km of the international border, the Line of Control or the Line of Actual Control. The Hindu, 8 Aug 2026: No solar, wind renewable energy project within 1 km of international border, says Home Ministry (opens in a new tab)

Prelims and Mains

LeadThe grid is the limit: 300 GW and curtailmentAugust 2026

Why in news

India's non fossil capacity crossed 300 GW on 31 July 2026, and renewables supplied a record 20 per cent of generation in July. In the same weeks solar plants were being told to switch off output, because the grid could not carry it.

  • 300.50 GWnon fossil capacity, over 54 per cent of installed capacity
  • 500 GWthe target for non fossil capacity by 2030
  • 20 per centrenewables' share of generation in July 2026, a record
  • 30 to 50 per centoutput lost by projects on temporary grid access

Background

  • Installed capacity is what plants could produce at full output, measured in gigawatts; generation is the electricity they actually deliver.
  • Solar and wind run only when the weather allows, so their share of generation is far below their share of capacity.
  • Solar output peaks at midday, while Indian demand peaks after sunset.
  • India reached 50 per cent non fossil capacity five years ahead of its 2030 target.

What curtailment is

  • Curtailment is the deliberate cutting of a plant's output below what it could generate, because the grid cannot absorb or carry the power.
  • The generator is usually not compensated for the power it was ready to supply.
  • Projects connected on temporary network access lose the most, 30 to 50 per cent of their output.
  • New auctions have slowed, and 40 to 45 GW of awarded capacity has no signed power purchase agreement.

Why a solar heavy grid is harder to run

  • A coal or hydro turbine is a heavy spinning mass, and that inertia steadies the grid's frequency by itself.
  • Solar and wind are inverter based resources: they reach the grid through power electronics and give no such inertia.
  • The result is lower grid strength, with voltage and frequency less stable.
  • The answers are grid forming inverters and synchronous condensers.

The remedies

  • Transmission: lines built ahead of the plants, as under the Green Energy Corridor.
  • Storage: batteries and pumped storage carry midday power into the evening.
  • Demand: time of day tariffs, daytime charging of electric vehicles and industrial use moved into solar hours.
  • Payment: treating curtailment as a grid service that is compensated.

The way forward

  • Plan transmission and generation together, so that no plant is finished before its line.
  • Require storage with new solar, as the floating solar scheme already does.
  • Use the existing grid better, since new lines alone cannot keep pace with new capacity.

Prelims facts

  • Non fossil capacity includes solar, wind, hydro, bio power and nuclear.
  • India's target is 500 GW of non fossil capacity by 2030.
  • Solar is the largest part of non fossil capacity.
  • Inertia comes from rotating turbines, not from solar panels.

Open the lead on its own page

Solar and wind generate when the weather allows rather than when demand asks, and Indian demand peaks after sunset while the panels work at midday. Where neither the wires nor the load can take the power, the cheapest answer is to switch some of it off: curtailment, deliberately cutting a plant's output below what it could generate, with the loss falling on the generator. The remedies are to move demand into solar hours through industrial electrification, workplace charging and time of day tariffs, to store the surplus in batteries and pumped storage, and to treat curtailment as a paid grid service rather than an uncompensated loss.

  • Mains: India needs both new transmission lines and smarter use of the existing grid, since new lines alone cannot keep pace with renewable additions.

Four grid routes

RouteWhat it doesCapacity it could enable
Batteries at renewable plantsStores output so connections used about 25 per cent of the time carry power two to three times as muchAbout 400 GW
Renewables at underused coal plant connectionsUses spare capacity on connections coal plants already holdAbout 100 GW
New connections at existing substations, with batteriesAdds connections at substations already builtAbout 100 GW
ReconductoringReplaces sagging conductors with high temperature, low sag ones on the same towersNearly doubles line capacity
Four routes use the grid already built, which is faster than waiting three to five years for new transmission lines.Source: The Hindu, 20 June 2026

What changed

  1. 20 Aug 2026LeadThe grid is the limit: 300 GW and curtailment

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