Indian Makers of Wind Turbines and Solar Modules Set Sights on UK's $20 Billion Clean Energy Market

 The recent free trade agreement (FTA) signed between India and the United Kingdom on May 6 is poised to open vast new opportunities for Indian clean energy manufacturers. This comes at a time when trading with the US has become increasingly difficult due to tariffs and uncertainties surrounding the Inflation Reduction Act (IRA).

Industry experts and stakeholders shared with Moneycontrol that the FTA will not only benefit Indian exporters of solar modules, wind turbines, and other green energy equipment, but is also expected to boost foreign direct investment (FDI) into India's renewable energy sector.

According to Grand View Research, the UK’s renewable energy market was valued at $20.25 billion in 2023 and is projected to expand at a compound annual growth rate (CAGR) of 20.3% between 2024 and 2030. In comparison, India’s renewable energy market stood at $23.9 billion in 2024, with an anticipated CAGR of 9% from 2025 to 2033, according to IMARC.

Hitesh Doshi, Chairman of the Waaree Group — India’s largest solar module manufacturer with a capacity exceeding 13 gigawatts (GW) — described the FTA as “a significant milestone” that will strengthen both nations’ economies and help them achieve net-zero emissions. Waaree is one of India’s top solar module exporters.

“I see tremendous potential for collaboration in the energy transition sector. Enhanced investments, knowledge exchange, and easier market access will fuel innovation and accelerate clean energy deployment,” Doshi added.

Currently, international companies can participate in India’s renewable energy bids but are required to establish a local special purpose vehicle (SPV) within a certain timeframe upon winning. The FTA is expected to encourage more UK clean energy firms to engage in these bids. India is issuing renewable energy tenders amounting to nearly 50 GW annually to meet its ambitious goal of 500 GW of non-fossil fuel power capacity by 2030.

The UK government highlighted that the FTA “will provide the clean energy industry unprecedented access to India’s vast procurement market,” supporting India’s renewable energy transition amid rising energy demands.

Praveen Singhal, Vice President of Renewable Energy at Baldota Group, noted the strong legacy of India-UK clean energy cooperation, including the UK’s $1 billion investment pledge in Indian green projects announced before COP26. “The India-UK FTA builds on this foundation, creating significant opportunities for UK firms to participate in India’s procurement market and for local players to collaborate by leveraging their market expertise,” he said.

Senior officials revealed plans for India and the UK to collaborate on round-the-clock power supply through technology sharing in battery energy storage systems. Other focus areas will include industrial decarbonization, grid modernization, offshore wind supply chains, and innovative financing models.

Officials indicated that the detailed FTA text will be released after three months of joint ‘legal scrubbing’. Once finalized, the deal will be sent to the British Parliament for ratification, a process that could take over a year before the agreement becomes fully operational.