India's renewable energy sector is experiencing a significant boost, with 45 GW of new capacity added in 2025, driven by a global oil supply crisis stemming from geopolitical tensions in West Asia. This crisis has disrupted fossil fuel markets, prompting countries like India and Vietnam to pivot towards renewable energy sources. Despite challenges such as inadequate infrastructure and shrinking incentives, the sector continues to attract substantial investments from both domestic and foreign players, including private equity and global pension funds. The International Renewable Energy Agency (IRENA) reported that renewables accounted for 86% of total capacity expansion globally, with India ranking third behind China and the European Union. However, the sector faces operational risks due to a mismatch in the growth rates of generation and transmission capacities, which could affect future expansion. Large-scale acquisitions are becoming more common as companies seek to quickly scale their renewable portfolios, with around $5 billion worth of transactions recorded since 2025. The future trajectory of India's renewable energy sector will depend on timely policy adjustments to stimulate demand and improve grid connectivity.