Can Solar+BESS Replace Wind Energy? Suzlon Responds

Indian wind energy major Suzlon Energy Ltd has downplayed concerns that the rapid growth of solar projects with battery storage could displace demand for wind power in the country. In its latest investor call, the company’s management said that while solar plus BESS projects are gaining traction, wind energy remains indispensable to India’s energy mix.

JP Chalasani, Chief Executive Officer of Suzlon, said that only a sharp fall in battery prices could alter the outlook. “Wind tariff is, let's say, anywhere between INR 3.6 to INR 3.9, depending upon which state what it is, okay? And most of it comes during the peak hours -- evening peak hours. If you are putting solar plus the battery, solar tariff is, let's say, 2.5, 2.6 today with ALMM requirement,” Chalasani told investors.

He added that grid stability would also make it difficult for solar plus storage to completely replace wind. “So if I take out the 2.0, unless the battery cost is less than 1.2 per kilowatt hour, the solar plus battery can never ever replace wind… I don't think one is going to replace the other one, which won't happen. And also from a grid stability point of view, it can’t happen,” he said.

Export Push

The Pune-based turbine manufacturer is now prioritising overseas markets. While earlier exploring exports to the US, Suzlon has temporarily shelved those plans due to policy uncertainties. Instead, it is focusing on the Middle East, Europe and neighbouring countries.

“Right now, I'm not talking about U.S… But we are concentrating on the neighborhood, Middle East and the Europe,” Chalasani said. He added that Suzlon is studying market models and price structures abroad and expects to begin securing export orders by the end of this year.

Record Q1 Execution

Suzlon reported its highest-ever first-quarter execution in its 30-year history, delivering 444 MW of wind turbines in Q1 FY26. The company’s current order book stands at 5.7 GW. Management expects India to add around 6 GW of new wind capacity in FY26, after installing 2 GW in the first four months.

ALMM Advantage

Suzlon also expects to benefit from the Ministry of New and Renewable Energy’s (MNRE) new Approved List of Models and Manufacturers (ALMM) for wind components, which is aimed at curbing cheap imports and strengthening domestic supply chains.

“The recent amendment to the wind ALMM procedure by MNRE marks significant policy shift… one that is expected to realign industry dynamics by providing a level playing field to all participants and strengthen supply chain resilience,” Chalasani said.

He explained that ALMM will require all critical wind components to be listed and approved before procurement. “Everybody has to procure only from the approved list of component suppliers. So this brings in, in terms of level playing field,” he added.

PPA Risks Limited

On concerns about delays and cancellations of power purchase agreements (PPAs), Suzlon said that around 75% of its business comes from commercial & industrial (C&I) consumers and public sector utilities, with only 25% through competitive bids. This, the company said, insulates it from PPA-related risks to a large extent.

S144: The Hero Product

Suzlon highlighted that nearly 5 GW of its 5.7 GW order book is driven by its flagship S144 wind turbine, part of its 3 MW+ platform. With a 144-metre rotor diameter and hub height of up to 160 metres, the S144 is India’s tallest turbine and is designed to optimise generation at low-wind sites.