Top Solar Energy Stocks in India 2025

India is making a strong push towards clean energy. Solar power has become a key part of the country’s strategy to meet its growing energy needs while cutting down on carbon emissions. For investors, this shift isn’t just a story about environmental responsibility. It’s also a chance to tap into a sector poised for long-term growth. In this article, we’ll break down the key players in India’s solar industry and explore why they’re worth paying attention to. 

The Solar Energy Sector in India

India has set ambitious goals for renewable energy, aiming for 500 GW of non-fossil capacity by 2030, with solar power playing a leading role. In 2014, solar capacity stood at just 3 GW. By 2024, that number had crossed 108 GW. The country is moving fast, thanks to falling technology costs, strong policy support, and rising power demand. 

One striking indicator of this shift is the drastic drop in solar tariffs. Over the past decade, tariffs have fallen by nearly 80%, making solar power significantly more affordable and attractive for both industrial and residential users. Recent bids at locations like Neemuch have set record-low prices, with tariffs dropping to as low as ₹10.95 per unit. This affordability has encouraged broader adoption, making solar a competitive alternative to traditional power sources.

At the same time, government initiatives are reshaping the rooftop solar segment. Under the PM-Surya Ghar Muft Bijli Yojana, approximately 13.3 lakh households have signed up, and impressively, nearly 12 lakh of these installations were completed within just ten months. This rapid adoption highlights the growing momentum in solar power solutions.

Best Solar Energy Stocks in India (2025)

1. NTPC Limited

NTPC Limited, India’s largest power producer, is making significant strides in renewable energy, particularly solar power, through its dedicated arm, NTPC Green Energy Limited (NGEL). As of FY25, NTPC Group has achieved a total installed capacity of approximately 80 GW, a substantial jump driven by the addition of 3,972 MW during the year. Beyond this, NTPC has around 32 GW of capacity currently under construction, with a significant 15 GW dedicated to renewable energy projects. 

Through its subsidiary, the company plans to invest up to ₹1 lakh crore in solar and wind assets by FY27, aiming to increase its installed capacity from 3,220 MW to 19,000 MW. This ambitious expansion includes raising ₹10,000 crore through an IPO, seeking a valuation of ₹1 lakh crore.

The company’s first solar project at Chhattargarh in Rajasthan declared commercial operations for a 70 MW capacity in February 2024. This project alone is projected to generate 370 million units of clean energy annually – enough to power 60,000 households. Additionally, it’s expected to save 3 lakh tons of CO₂ emissions every year and conserve 1,000 MMTPA of water, equivalent to the annual water needs of over 5,000 households.

Recently, NTPC Renewable Energy Limited secured a 300 MW solar project from NHPC through a competitive bidding process. This project involves the development of interstate transmission system-connected solar power projects, including an integrated energy storage system of 150 MW/300 MWh. 

For the quarter ending March 2025, NTPC reported a consolidated net profit of approximately ₹7,897 crore, marking a notable 22% increase compared to the ₹6,490 crore it reported in the same quarter the previous year. Operational income for the March quarter also climbed, reaching nearly ₹49,834 crore, up from ₹47,628 crore in the corresponding period last year. Looking at the broader financial year, NTPC’s net profit for FY25 rose to about ₹23,953 crore, an improvement from ₹21,332 crore in FY24. These financial results highlight NTPC’s ability to drive growth while pursuing its renewable energy ambitions.

2. NHPC Limited

NHPC Limited, a state-run hydropower player and a top solar energy stock, is steadily evolving into a significant player in India’s renewable energy sector. Traditionally known for its vast hydropower portfolio, the company is now leveraging its expertise and resources to diversify into solar and wind energy.

NHPC currently operates with a total installed capacity of approximately 7.2 GW, but it has ambitious plans for the future. By 2032, the company aims to increase its total capacity to 23 GW. Looking even further, it has set its sights on surpassing 50 GW of installed capacity by 2047.

At present, NHPC operates 261.7 MW of renewable projects, which include five solar and one wind project. The company is also rapidly scaling up its solar portfolio. An additional 1,490 MW of solar capacity is under construction, positioning NHPC for a significant leap in renewable output. Among these projects is a 1,200 MW solar park, complemented by a 145 MW solar project in Uttar Pradesh. These developments underscore NHPC’s strategic push to enhance its footprint in solar energy.

A key component of this strategy is the planned listing of NHPC Renewable Energy Limited, the company’s dedicated clean energy subsidiary. According to CMD R.K. Chaudhary, the listing is expected within the next two years. This move will unlock value for shareholders and catalyse NHPC’s transition from a hydropower-focused entity to a more diversified clean energy player.

NHPC recently reported a 52% surge in its consolidated net profit, climbing to ₹919.63 crore for the quarter from ₹605 crore in Q4 FY24. The company also reported a rise in its total income, which reached ₹2,672.11 crore, compared to ₹2,320.18 crore in the same quarter of FY2024.

3. Suzlon Energy

Suzlon Energy, historically known for its wind energy dominance, is gradually making its presence felt in the solar power segment as part of a broader diversification strategy. Over the past two decades, Suzlon has installed over 21 GW of wind energy across 17 countries on six continents, making it one of the most globally recognised Indian renewable energy companies. 

While Suzlon is best known for wind energy, it entered the solar power space in 2016. Since then, it has installed over 340 MW of solar capacity across several Indian states. The company focuses on both standalone solar projects and hybrid setups that combine wind and solar, offering more reliable, round-the-clock renewable energy. A major milestone in this hybrid strategy is Suzlon’s registration of a 1,500 MW wind-solar hybrid park in Rajasthan.

For the March 2025 quarter, net sales rose 73.2% year-on-year to ₹3,773.5 crore. For the full FY25, revenue climbed 67% to ₹10,851 crore. The company’s project volumes stood at 573 MW in Q4, up from 273 MW a year ago and 447 MW in the previous quarter. For the full year, deliveries reached 1.55 GW, a 118% jump over FY24.

As Suzlon scales up its presence in solar and hybrid energy, it is positioning itself as a more well-rounded clean energy player, no longer just a wind specialist and a key contributor to India’s renewable transition.

4. Adani Green Energy Limited 

Adani Green Energy Limited (AGEL) continues to raise the bar in India’s renewable energy sector. The company reported a 30% year-on-year growth in operational capacity to 14,243 megawatts (MW) for FY25. This momentum is set to increase, with an additional 1,000 MW nearing completion, pushing the total capacity beyond the 15,000 MW mark. Solar capacity witnessed a sharp rise in FY24, increasing from 7,393 MW to 10,103 MW, while wind capacity expanded from 1,401 MW to 2,000 MW. Energy sales also experienced a surge, climbing to 27,969 million units (MUs) in FY25 from 21,878 MUs in FY24. 

The scale of its ambition is embodied by the Khavda Renewable Energy Park in Gujarat, which spans 538 square kilometres (roughly five times the size of Paris) and is poised to become the world’s largest renewable energy installation. The construction curve is aligned with the company’s target of developing 30 GW at Khavda over the next five years. Once operational, this colossal facility will generate approximately 81 billion units of electricity annually. That’s enough to power over 16 million homes in India – equivalent to the total number of households in countries like Poland or Canada and on par with the entire electricity consumption of nations such as Belgium, Chile, or Switzerland.

The company’s financial performance reinforces its leadership in the sector. For the fourth quarter of FY25, net profit for the company rose 24% year-on-year to ₹383 crore, up from ₹310 crore in the same quarter last year. Revenue from core operations climbed by 21.6% year-on-year to ₹3,073 crore during the January-March quarter, compared to ₹2,527 crore a year ago. Meanwhile, revenue from its power supply segment, a key driver of growth, surged by 37% to ₹2,655 crore in the fourth quarter, from ₹1,941 crore during the corresponding period the previous year.

5. JSW Energy Limited

JSW Energy Limited is another one of the solar energy stocks pushing aggressively into renewables. JSW Energy announced that its installed generation capacity reached 10.9 gigawatts (GW) at the end of FY25, surpassing its earlier target of 10 GW for the year. The company highlighted that this capacity expansion was driven by the addition of 3.6 GW during the year.

JSW Energy plans to invest approximately ₹14,000 crore to scale up the renewable energy capacity of its newly acquired subsidiary, O2 Power, aiming to reach 4.7 gigawatts (GW) by 2027. Additionally, the company intends to allocate up to ₹18,000 crore in FY26 to complete ongoing projects and support new growth opportunities. JSW Neo Energy Ltd, a subsidiary of JSW Energy, acquired O2 Power’s renewable portfolio of 4,696 MW from O2 Power Pooling Pte Ltd for ₹12,468 crore. Out of this, 2,259 MW is expected to be operational by June 2025, with 1,463 MW currently under construction and another 974 MW in the pipeline. Notably, JSW Neo Energy had also secured a 300 MW wind-solar hybrid power project from NTPC, enhancing its renewable energy offerings.

Recently, JSW Energy reported a 16.1% year-on-year increase in its consolidated net profit for the quarter ended March 31, 2025, reaching ₹408 crore, up from ₹351.3 crore in the same period last year. This growth was largely fueled by rising power demand across India, driven by rising temperatures. The company’s revenue from operations also climbed 15.7% to ₹3,189.4 crore in Q4 FY25, compared to ₹2,755.9 crore in Q4 FY24. Meanwhile, earnings before interest, tax, depreciation, and amortisation (EBITDA) edged up 3.1%, standing at ₹1,204.3 crore against ₹1,168.3 crore a year earlier.

Future Outlook, Key Factors & Risks

India’s solar energy sector is expected to continue expanding rapidly, driven by strong policy support, declining costs, and rising electricity demand. With the government targeting 500 GW of non-fossil fuel capacity by 2030, and solar power expected to contribute the largest share, the long-term outlook for companies in this space looks promising. 

Major players like NTPC, Adani Green, NHPC, and JSW Energy are not only adding large-scale capacity but also investing in newer technologies like battery storage, hybrid solar-wind systems, and green hydrogen. These steps are positioning them well to benefit from both the energy transition and future policy tailwinds.

While solar energy has a strong future in India, it’s important to understand the risks involved in this sector. Building solar projects requires a lot of money upfront, and it can take several years before companies start earning steady returns. Solar electricity has become much cheaper over time, which is good for consumers but can reduce earnings for companies, especially when they agree to sell power at very low rates just to win big contracts. 

This puts pressure on their profit margins. There are also other challenges, like delays in land approvals, changing government rules, or problems with getting connected to the national power grid. Many companies still depend on imported solar equipment, which makes them vulnerable to global supply chain issues. Despite these risks, companies that manage their costs well, complete projects on time, and scale up efficiently have a better chance of long-term success in this growing industry.

Conclusion

India’s transition to solar energy is not just an environmental shift, it’s a structural change in how the country powers its future. While challenges around policy, funding, and supply chains remain, the direction is clear: solar energy is set to play a major role in India’s growth story. For investors looking to understand the future of energy, these companies offer a front-row seat to one of the most important shifts in India’s infrastructure landscape.

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