Waaree Energies to NTPC Green: Check how renewable energy stocks performed in 2024 and the sector outlook for 2025

Solar, wind, and hydropower projects will be pivotal in helping India achieve this target within the set deadline. India has already surpassed 200GW of green energy capacity, with solar energy accounting for the most at nearly 94 GW.

Meanwhile, favourable global factors could also expedite the growth of India’s renewable energy players in 2025 after a strong trend in 2024. According to the International Energy Agency, India's annual renewable capacity additions through 2030 are expected to increase more quickly than any other major economy, including China, a PTI report said.

Adani Green Energy tanks 35%

Adani Green Energy shares tanked around 35% in 2024, mainly due to the indictment of Adani group chairman Gautam Adani in the US over alleged bribery payments in some Indian states. Total Energies also suspended further investments in Adani Group companies under a partnership until the US charges are cleared.

The stock started 2024 at ₹1,598 apiece on the NSE but ended at ₹1,040.7 per share on December 31, showing losses of around 35%.

The stock has declined more than 2% this week, hit by the resignation of CEO Amit Singh. Adani Green Energy shares closed at ₹1,046 apiece on the NSE on January 2, 2025.

Suzlon Energy delivers a strong return

Leading solar energy and wind energy solutions provider Suzlon Energy Ltd have rallied 61.6% in 2024. The stock closed 2024 at ₹62.22 per share on the NSE against ₹38.5 apiece a year ago.

Persistent order flows and strong financial performance boosted the shares. As of September 30, the company's order book was at an all-time high of 5.1 GW, including India's largest wind order from NTPC. Also, the company has received two CRISIL rating upgrades in the last year. Last week, the rating agency upgraded Suzlon Energy's credit rating to ‘CRISIL A’ with a ‘positive outlook’.

Waaree Energies

Waaree Energies share price has been driven by a strong order book and new order flows. Last month, the company received a 1 GW capacity solar modules order for a renewable energy project in India. On January 2, the company secured a 150-megawatt peak (MWp) order for the supply of solar modules, scheduled to commence in FY26.

The Mumbai-based company expects the cell manufacturing segment to drive its profitability. It plans to add 5.4 GW of solar cell capacity by March 2025. The company's majority revenue comes from the United States market, and its revenue from exports increased to over 57% in FY24.

India’s largest manufacturer of solar PV panels made its stellar market debut on October 28 with listing gains of around 66% against the issue price of ₹1,503 per share. The stock closed in 2024 at ₹2,854.6 apiece on the NSE.

Waaree Energies stock closed for trading at ₹ 2,839 levels on the NSE, with a market cap of ₹81,828 crore. The stock has gained 89% since listing.

Premier Energies

Solar cells and modules maker and solar services provider Premier Energies shares have jumped more than 60% in 2024 amid a bullish trend in renewable energy shares.

The company announced bagging major orders, including ₹1,087 crore contracts for solar modules by its subsidiaries and orders of ₹750 crore from eight local and one foreign buyer.

The stock closed 2024 at ₹1,353.1 apiece on the NSE. It made a stellar debut on September 3, with 120% gains against the issue price of ₹450 per share. Since then, Premier Energies shares have rallied 36.6% compared to the listing price of ₹990 apiece.

NTPC Green Energy

NTPC Green Energy shares have risen around 14.5% since listing on November 27. The green energy arm of NTPC Ltd. debuted at ₹111.5 per share on the NSE against the issue price of ₹108 apiece. The stock is currently trading at ₹127.67 apiece, with a market cap of ₹1.07 lakh crore.

Last month, NTPC Green Energy successfully bid for 500 MW of 2,000 MW ISTS-connected Solar PV Power Projects. Its subsidiary, NTPC Renewable Energy Limited (REL), also successfully bid for the solar power capacity at a tariff of ₹3.52 per kWh in the e-reverse auction by Solar Energy Corporation of India (SECI).

Acme Solar Holdings falls over 7%

Large-scale renewable energy project developer ACME Solar shares have declined around 7% since listing. The stock debuted on November 13, 2024, at a 13% discount from the issue price of ₹289 per share.

Last month, the company secured a firm-and-dispatchable-renewable-energy (FDRE) 250 MW project from NHPC Ltd. Though the company has seen new order inflows, the stock ended 2024 at ₹235.65 apiece on the NSE, below the IPO price.

KPI Green Energy rise 66% in 2024

KPI Green Energy shares rallied over 66% in 2024 following strong order wins and bonus shares issued by the company. The company shares ended 2024 at ₹815.15 apiece on the NSE. The company also floated a QIP issue to raise ₹1,000 crore from qualified investors. The stock closed at ₹857.7 levels while its market cap stands at ₹11,264 crore as of January 2, 2025.

The company’s installed production capacity now stands at 171 MW of solar energy, and it has an order pipeline of 1.3 GW projects. As of September 30, 2024, the company also turned debt-free on a standalone basis. It’s targeting an installed capacity of 10GW by 2030 and a top-line growth of 60-70% in FY25.

Key triggers that impacted the sector

• According to government data, the renewable energy capacity addition stood at 24.72 GW between January 1 and November 30, 2024. This included 20.85 GW of solar power, 3.22 GW of wind power, 0.5 GW of biopower and 0.09 GW of small hydropower and 0.06 large hydro power, a PTI report mentioned.
• In 2024, a record ₹32.45 lakh crore has been pledged by the government for renewable energy projects.
• The focus of the companies and the government on emerging technologies like floating solar, offshore wind, and green hydrogen also kept the investors optimistic about the sector.
• The rising demand for PV solar modules, wind blades and other components, storage technologies, and charging infrastructure has also pushed investments in the sector while generating a strong order pipeline for the companies.
• According to the India Energy Storage Alliance (IESA) 2024, India’s energy storage market increased 1.7 times in 2024, reaching a pipeline capacity of 114 GWh.

Renewable Energy: Outlook for 2025

• The renewable energy sector will likely see a capacity addition of 35GW in 2025.
• According to an Economic Times report, strong project pipelines and rising solar photovoltaic module prices could help enhance capacity for the industry's leading players.
• Between April and November of the current fiscal year, India added nearly 15GW of renewable energy capacity, the report mentioned.
• India targets to produce 40 GW of renewable energy capacity by 2025-26.
• The government aims to bolster renewable energy capacity under the Ultra Mega Renewable Energy Power Parks (UMREPPs) and solar park schemes. This will boost infrastructure for solar power projects by providing hassle-free access to land, water, and other amenities.
• The launch of ‘PM Surya Ghar Muft Bijli Yojana’ could benefit the solar players in the sector. With an outlay of ₹75,021 crore, the scheme targets providing 300 units of power through rooftop solar projects to 1 crore households.
• According to government data, over 1.5 registrations have been made under the scheme, and 6.85 installations have been completed.
• According to industry projections, the wind energy sector is poised for double-digit growth, with 20-30 GW of capacity addition. India’s installed wind power capacity currently stands at over 47 GW.
• According to International Energy Agency (IEA) projections, green energy is likely to account for over one-third of global electricity generation by early 2025. With a rising number of countries focusing on the green energy transition, Indian companies exporting solar and wind power products are likely to benefit immensely.
• The government’s focus on Green Hydrogen production will also boost the sector in 2025. The government is likely to publish the Green Hydrogen Certification Scheme of India soon.