“Lower Taxes, Faster Projects – Powering India’s Clean Energy and Infrastructure Future.”
GST Cuts on Renewables and Cement to Lower Costs, Boost Green Growth.
The GST Council’s decision to reduce tax on renewable energy equipment from 12% to 5% and cement from 28% to 18% has been hailed as a landmark reform to accelerate clean energy and infrastructure growth. Industry leaders said the move will cut project costs, ease consumer burden, and attract investment. Rajiv Ranjan Mishra, MD of Apraava Energy, called it a “transformative step” that will catalyse India’s energy transition, while AXITEC Energy’s Vipin Tiwari said the tax cut makes solar more affordable for households, supporting schemes like PM Surya Ghar Yojana. Cement manufacturers, including Shree Cement, noted the reduced rate brings fairness and will spur housing and infrastructure demand. Experts added that the reform will boost domestic manufacturing under Make in India, improve investor confidence, and incentivise the adoption of green hydrogen, CNG vehicles, and solar solutions. Analysts believe it will accelerate India’s path toward its 500 GW renewable energy target by 2030.