Experts Call for Push on Storage, Grids, and Climate Adaptation Ahead of Budget 2026
India recently crossed a milestone of 50% of installed renewable energy capacity.
By Editorial Team|January 30, 2026
As India eyes goal of achieving 500 GW of renewable energy by 2030, experts want higher allocation to batteries, critical minerals, and adaptation finance
Energy and climate experts are urging the government for deeper investments in energy storage, grid modernisation, and climate adaptation, ahead of the Union Budget 2026 session on Sunday. The experts point out that the gaps in these areas could slow the country’s clean energy transition.
India recently crossed a milestone of 50% of installed renewable energy capacity. Experts point out that the next step should be achieving 500GW of renewable energy capacity by 2030 by addressing gaps, and scaling storage nationwide by managing variability, reducing losses, and improving efficiency.
Saurabh Kumar, Vice President, The Global Energy Alliance for People and Planet (GEAPP) said, “Budget allocations need to focus on Battery Energy Storage Systems (BESS) in order to integrate storage with renewable energy to ensure a reliable power supply and grid stability. There is also a need to support digitisation of electricity equipment and technological innovation for system flexibility and balancing the grid.”
Focus on upstreaming manufacturing and supply chain
Upstreaming solar manufacturing and supply chain should also be priorities, according to experts. “The success of India’s solar module manufacturing programme shows what’s possible with clear and consistent policy support. The next step is to focus on upstream parts of the supply chain — from solar cells and wafers to battery energy storage and modern grid infrastructure like high-voltage transmission — if India wants to secure its clean energy supply chain,” said Duttatreya Das, Energy Analyst-Asia at Ember. “The scale of capital required rises sharply, and PLI alone won’t be enough. What’s really needed are incentives that reduce the heavy upfront investment burden, such as capital subsidies or accelerated depreciation, to unlock investments,” Das added.
Experts have also called stronger budgetary backing for energy storage and the National Critical Minerals Mission. The import of key minerals like cobalt oxide, copper (ores and oxides), graphite (natural and synthetic), lithium (oxides and carbonate), and nickel (oxides and sulphates) rose from 1.5 million tonnes in FY2023–24 to 2.7 million tonnes in FY2024–25, an increase of nearly 80%, underscoring India’s growing exposure to global supply risks.
“For India’s clean energy transition, critical minerals are no longer a secondary consideration, they are a strategic necessity. Budget 2026 can play a defining role in positioning India as a credible, resilient player in global critical mineral supply chains,” said Saloni Sachdeva Michael, Energy Specialist at IEEFA. “Strategic spending on processing, recovery, and recycling infrastructure, targeted incentives, and international partnerships will be key for diversifying the supply chain, unlocking domestic value addition, and enhancing long-term competitiveness in an increasingly volatile global landscape.”
Need to scale adaptation finance
Beyond mitigation, adaptation finance also emerged as a pressing concern amid rising climate risks. Santosh Singh, Managing Director and Partner, Climate and Energy at Intellecap said, “Given the volatility in global climate finance and the wider geopolitical uncertainties, India can no longer rely on external flows to safeguard its large and vulnerable population. As the frequency and intensity of extreme weather events continue to rise, this year’s budget must place dedicated emphasis on rapidly scaling adaptation finance. Low income and climate-exposed communities urgently need financial support and access to effective adaptation tools to cope with escalating risks.”
Think tanks such as Centre for Science and Environment (CSE) called for rationalising GST on recyclable waste and recycled boost produce to boost circular economy, stating that current GST structure on recyclable waste has resulted in a double loss, driving a large share of transactions into informal channels while simultaneously weakening recycling, resource security, and industrial competitiveness.