India may cancel up to 20% of its planned renewable power capacity as developers struggle to secure buyers for their electricity, according to Bloomberg.

The power ministry reviewed 42 gigawatts of green projects without power purchase agreements and recommended shelving those unlikely to find offtakers, according to people familiar with the private discussions.

Canceling projects could ease pressure on an overstretched grid but would be a blow to India’s goal of doubling clean energy capacity to 500 gigawatts by 2030. Nearly 44 gigawatts auctioned by central agencies still lack contracts, partly because state utilities — already financially strained — are hesitant to buy intermittent renewable power unless paired with storage.

Bloomberg writes that utilities are also avoiding out-of-state purchases as the government phases out transmission subsidies that once supported the clean-energy boom. Projects commissioned after June must pay 25% of interstate transmission charges, rising gradually until full charges take effect for those starting after mid-2028.

The renewable energy ministry says only projects with no chance of securing offtake agreements will be scrapped.

The news comes hours after SAEL Industries, India’s largest agri waste-to-energy operator, has filed draft papers for a stock listing worth 45.75 billion rupees ($520 million). The IPO includes a fresh share issue of up to 37.5 billion rupees and a 8.25-billion-rupee stake sale by major shareholder Norfund. Funds raised will support investments in its solar units and help repay debt. SAEL competes with players such as Adani Green, ACME Solar, and NTPC Green, though it remains the smallest among them by revenue.