Top Green Energy Stocks in India

What are Green Energy Stocks?

Green energy stocks represent companies developing alternative technologies using renewable resources like sunlight, wind, heat, low-impact hydroelectric sources, and certain forms of biomass.

About Top Green Energy Stocks

1. JSW Energy Ltd: JSW Energy is a key player in India’s power sector, operating a diverse portfolio of thermal and renewable energy assets. 
2. Refex Renewables & Infrastructure Ltd: Refex Renewables specialises in solar energy solutions and infrastructure development.
3. Shubhshree Biofuels Energy Ltd: Shubhshree Biofuels Energy manufactures ethanol and other biofuels.
4. Veer Energy & Infrastructure Ltd: Veer Energy develops wind energy projects and related infrastructure. 
5. Adani Green Energy Ltd: Adani Green Energy operates one of India’s largest renewable energy portfolios. 

Budget Allocations for the Green Energy Sector in 2025-26

In the Union Budget 2025–26, Finance Minister Nirmala Sitharaman substantially reinforced India’s commitment to clean energy by raising the allocation for the future of green energy in India by ₹9,251 cr. to ₹ 26,549 cr. 

• The Ministry of New and Renewable Energy (MNRE) budget estimate for 2025-26  stands at ₹ 25,649 cr., reflecting a 39% increase compared to last year’s initial estimate of ₹ 19,100 cr.
• Rooftop solar adoption under PM Surya Ghar received a major boost with ₹ 20,000 cr. allocated—an 80% jump from the revised estimate of ₹ 11,100 cr. in 2024-25. 
• ₹ 600 cr. has been set aside for Green Energy Corridors (GECs) in 2025-26—matching the 2025-25 revised estimate (RE). 
• The PM-KUSUM scheme has been allocated ₹ 2,600 cr. for 2025-26, up from ₹ 2,525 cr. in 2024-25 (RE). 
• The National Green Hydrogen Mission sees its budget doubled to ₹ 600 cr. in Union Budget 2025-26, against ₹ 300 cr. (RE) in 2024-25.

How to Invest in the Top Green Energy Stocks in India?

​​Here is how you can invest in green energy stocks in India: 

1. Open a demat/trading/stockbroker account. You can open a demat account with smallcase!
2. Conduct thorough research into the best green energy stocks in India that are of interest to you. Investors can use tools like the Tickertape Stocks Screener to do this. The screener offers 200+ built-in filters to choose from, allowing investors to generate different green energy stock lists, including one of top 20 renewable energy stocks.
3. Place a ‘Buy’ Order on the top green energy stocks of your choosing.

Features of Green Energy Stocks in India

• Environmental Focus: Best green stocks India 2025 focus on renewable sources like solar, wind, and hydropower. 
• Economic Resilience: These renewable power companies listed in India show resilience during economic shifts, driven by global demand for clean energy. 
• Government Support: Favourable policies and incentives boost the growth of good green energy stocks. Government backing, especially for solar-related shares, improves their investment appeal.
• Technological Innovation: Firms continue to invest in R&D, developing advanced technologies such as improved solar panel manufacturing.
• Regulatory Awareness: Investors must closely monitor policy changes, as shifts in regulation can significantly impact stock performance of green energy shares.

Benefits of Investing in Green Energy Stocks

• Sustainable: Clean energy sources will continue to generate power in upcoming years, increasing the demand for solar power company in India shares. Sustainable energy stocks are expected to grow with rising global demand.
• Reduced Carbon Footprint: Clean energy helps reduce carbon emissions, which is good for the planet. Investing in Indian renewable energy stocks, including wind power stocks, contributes to a greener future.
• Positive Impact: By investing in sustainable energy stocks India, you support Indian green energy companies, including solar energy companies on the NSE, that positively impact the environment and society.

Risks of Investing in Green Energy Stocks

• Heavy Reliance on Thermal Energy: India’s predominant reliance on thermal energy is rooted in the widespread availability and cost-effectiveness of fossil fuels. The transition to alternative energy sources is a gradual process, challenging the possibility of an immediate shift.
• Renewable Energy Production and Distribution Challenges: Beyond renewable energy shares, challenges extend to the maintenance, distribution, and storage of these green shares’ resources. 
• Demand-Supply Gap and Peak Energy Requirements: Addressing the demand-supply gap proves challenging, especially considering India’s higher energy requirements in the evening.
• Intermittency of Renewable Sources and Seasonal Variations: Solar and wind energy availability is subject to natural conditions, with sunlight limited to daytime and wind patterns influenced by geography and climate.

Factors to Consider Before Investing in Green Energy Stocks

• Government Policies: Investors can analyse the impact of government policies, incentives, and subsidies on the growth of the best green energy stocks in India. Such policies can significantly affect the performance of green energy stocks NSE and other exchanges.
• Innovation: This is particularly important when evaluating top green energy companies in India, which often lead the way in technological advancements within the green energy sector.
• ESG Performance: While looking at the best renewable energy stocks in India, consider the company’s environmental, social, and governance (ESG) performance. This is a strong indicator of long-term sustainability.