IREDA Signs MoU with MNRE, Sets ₹8,200 Crore Revenue Target for FY26

The Indian Renewable Energy Development Agency Limited (IREDA) has signed a performance-based Memorandum of Understanding (MoU) with the Ministry of New and Renewable Energy (MNRE), Government of India. 

The MoU, signed at Atal Akshay Urja Bhawan, New Delhi, was formalised by Shri Santosh Kumar Sarangi, Secretary, MNRE, and Shri Pradip Kumar Das, Chairman & Managing Director, IREDA, in the presence of senior officials.

Revenue Target for FY 2025-26

As part of the agreement, the Government of India has set a revenue from operations target of ₹8,200 crore for IREDA in FY 2025-26. This target reflects the government’s confidence in IREDA’s expanding role in financing India’s renewable energy sector. In FY 2024-25, IREDA had already surpassed expectations by achieving ₹6,743.32 crore in revenue, exceeding its target of ₹5,957 crore.

Key Performance Indicators

The MoU goes beyond revenue goals and includes several critical performance parameters such as Return on Net Worth, Return on Capital Employed, Non-Performing Assets (NPA) to Total Loans, Asset Turnover Ratio, and EBTDA. These indicators are designed to ensure that IREDA maintains financial efficiency and operational excellence while supporting India’s clean energy transition.

Track Record of Excellence

IREDA’s consistent performance is noteworthy. The company has earned an “Excellent” MoU rating for four consecutive years since FY 2020-21. For FY 2023-24, IREDA was ranked as the top performer in the NBFC and Power sector and secured a place among the top four CPSEs across 84 enterprises evaluated by the Department of Public Enterprises.

Also Read: IREDA Posted Q1 FY26 Results with PAT at ₹247 Crore!

Conclusion

The new MoU between IREDA and MNRE marks another milestone in India’s renewable energy financing framework. With a higher revenue target and performance-linked parameters, IREDA is well-positioned to maintain its leadership role in accelerating the country’s transition to sustainable energy.

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