India’s electricity is supplied through thermal (coal, gas and diesel), nuclear power, hydro power and renewable energy sources.
The total power generation installed capacity in India as at September 30, 2017 stood at 331,152.58 MW (not including captive power generation), out of which renewable power generation was 60,157.66 MW constituting 18.17% of the total power generation installed capacity (not including captive power generation) and hydro power generation was 44,765.42 MW constituting 13.52% of the total power generation installed capacity (not including captive power generation)

Renewable Energy
Renewable energy is no longer an “alternate energy” source, but increasingly has become a key part of the solution to India’s energy needs. Renewable energy has been an important component of India’s energy planning process for some time.
The renewable energy sector in India caters to both, grid-connected and the off-grid requirements. While grid-connected power provides the alternative to reliance on fossil fuels, off-grid power has the potential to provide energy access to rural, far flung, unserved and under-served areas
As at September 30, 2017, the renewable energy based power generation in India was 60,157.66 MW or approximately 18.17% of total generation installed capacity. (Source: Central Electricity Authority website) This installed capacity at September 30, 2017 included 32,700.64 MW from wind power; 14,771.69 MW from solar power; 4,389.55 from small hydro power; and 8,295.78 MW from biopower including biomass and gasification, bagasse cogeneration and waste to power.
The MNRE has set a target of renewable energy capacity addition of 175 GW by 2022, comprising 100 GW of solar power, 60 GW of wind power 10 GW of biomass power and 5 GW of small hydro power, with a clear roadmap supported by policy and regulatory support for the sector.
Wind Energy
As at September, 30, 2017, India had total installed capacity of 32,700.64 MW of wind power (Source: Central Electricity Authority website) India is the fourth largest wind power producer in the world, after China, the United States and Germany. (Source: MNRE Annual Report 2016-17) Wind energy has emerged as the most successful renewable energy option in India according to the MNRE, and is the fastest growing renewable energy technology for generating grid-connected power amongst various renewable energy options.
Solar Energy:
India is endowed with a vast solar energy potential. Most parts of India have about 300 sunny days. Average solar radiation incident over the land is in the range of 4-7 kWh per day. (Source: MNRE Annual Report 2016-17) Solar energy can be utilized through solar photovoltaic technology which enables direct conversion of sunlight into energy and solar thermal technologies which utilizes heat content of solar energy into useful applications. Over the last three decades several solar energy based systems and devices have been developed and deployed in India which are successfully providing energy solutions for lighting, cooking, water heating, air heating and cooling, and electricity generation. The research and development efforts have also helped in better efficiency, affordability and quality of the products. As a result, many solar energy systems and devices are commercially available in India with affordable cost in the market. (Source: MNRE Annual Report 2016-17)
As at September, 30, 2017, India had installed solar power capacity of 14,771.69 MW.
The MNRE has set the target of deploying 100GW of solar energy by 2022, which will principally comprise of 40 GW through rooftop generated solar panels and 60 GW through large and medium scale grid connected solar power projects.
In March, 2017, MNRE has increased the target of setting up of solar projects through solar park from 20 GW to 40 GW by 2021-22. More than 21 States have announced net metering policies to support rooftop solar power generation. 41
A Small Hydro Project :
A Small Hydro Project (SHP) is the development of hydroelectric power that harnesses energy from flowing or falling water from rivers, rivulets, artificially created storage dams or canal drops for generation of electricity. The capacity of a SHP generally lies between 2 MW to 25 MW.
As at September 30, 2017, India had installed capacity of 4,389.55MW from SHPs.
Bio-Power
As at September, 30, 2017, India had installed capacity of 8,295.78 MW including 8,181.70 MW from biopower including biomass and gasification and bagasse cogeneration and 114.08MW from WTE.

IREDA  is a domestic financial institution with more than 30 years of experience in the Indian renewable energy sector. It provides financial assistance to renewable energy projects, companies and manufacturers in India for power generation, equipment supply and fuel source projects including wind power, solar power, hydro power, biomass, co-generation and waste to energy as well as energy efficiency and conservation. Its comprehensive suite of financial products and services includes various fund-based financial products including long-term and short-term project and manufacturing loans, take out financing, bridge loans and bill discounting, and non-fund based assistance, like performance guarantees, letters of comfort, letters of undertaking and refinancing schemes.
As of September 30, 2017, it  had loans and advances (including short term loans) outstanding of ¹ 152,523.36 million out of which 34.27% related to wind power and 25.11% related to solar power. In the six months ended September 30, 2017 and in Fiscal 2017, it sanctioned loans of INR 61,589.19 million and INR 101,990.11 million, respectively, and we disbursed loans of INR 43,338.15 million and INR 65,934.87 million, respectively. In the six months ended September 30, 2017, its sanctioned loans included
a) INR 39,429.45 million of term loans for renewable energy and energy efficiency and conservation projects;
b) INR 12,500.00 million of short term loans to renewable energy developer and suppliers;
c) INR 198.28 million of bridge loans for solar viability gap funding and generation based incentives; and
d) INR 6,671.32 million of take-out financing replacing loans of other banks and financial institutions.
Its primary sources of funds include domestic and foreign borrowings, internal resources and Government of India guarantees and support. As of September 30, 2017 and March 31, 2017, its domestic borrowings were INR 51,380.20 million and INR 51,772.18 million, respectively, which included taxable and tax free bonds as well as term loans from other banks and financial institutions in the domestic market. As of September 30, 2017 and March 31, 2017, its international borrowings guaranteed by the GoI were INR 69,281.60 million and INR 70,186.89 million, respectively, and our international borrowings on a non-sovereign basis were INR 8,578.71 million and INR 8,529.25 million, respectively.

In addition to its financial products and services, it has also set up its own 50 MW Solar Photovoltaic Project in 200 MW Kasaragod Solar Park in the state of Kerala, on which it has spent INR 2,939.85 million through September 30, 2017. The project was commissioned in September 2017 and has begun generating power which is being injected into the Kerala State Electricity Board grid.

Financial Aspect :
IREDA believes that it has consistent track record of financial performance and growth. Its loans and advances (including short term loan) outstanding increased from INR 66,749.03 million as of March 31, 2013 to INR 136,046.63 million as of March 31, 2017, at a CAGR of 18.89%.
Its average cost of funds in the six months ended September 30, 2017 and in Fiscal 2017, Fiscal 2016 and Fiscal 2015 were 7.17%, 7.06%, 7.45% and 8.50%,
As at September 30, 2017, its gross NPAs as a percentage of its loan and advances was 5.34% and its net NPAs as a percentage of its loan and advances was 3.06%. its capital adequacy ratio was 17.06% and 19.17% as of September 30, 2017 and March 31, 2017, respectively

Its total revenues increased from INR 7,298.40 million in Fiscal 2013 to INR 14,822.10 million in Fiscal 2017, at a CAGR of 19.38%, while its  profit after tax increased from INR 1,925.92 million in Fiscal 2013 to INR 3,645.92 million in Fiscal 2017, at a CAGR of 17.30%. As of September 30, 2017, its total revenues were INR 8,772.30 million and our profit after tax was INR 1,429.17 million. Its profit after tax as a percentage of average total assets and as a percentage of average net worth were 2.26% and 15.17%, respectively, in Fiscal 2017 and were 1.49% and 11.07%, respectively, in the six months ended September 30, 2017.