India, one of the fastest-growing economies in the world, faces significant challenges in balancing economic growth with environmental sustainability. This paper examines the critical role of renewable energy in driving economic growth in India, focusing on how the transition from fossil fuels (Coal, Oil, Natural gas are formed from the remains of ancient plants and animals) to renewable sources, such as solar, wind, and biomass, impacts employment, energy security, and GDP. India’s renewable energy initiatives including the ambitious target of achieving 500 GW of non-fossil fuel capacity by 2030, have created new economic opportunities, particularly in rural areas where access to traditional energy sources is limited. Renewable energy investment not only mitigates climate risks but also supports economic diversification, reduces dependency on energy imports, and stabilizes energy costs. The reliance on fossil fuels for energy has severe environmental consequences, contributing to high levels of greenhouse gas (GHG) emissions, air pollution, and deforestation. India is the third-largest emitter of carbon dioxide globally, and the environmental impacts are felt across the country in the form of deteriorating air quality, health issues, and extreme weather events linked to climate change. Through analysis of recent policy measures, case studies, and data from various regions. This paper explores the economic benefits of renewable energy specifically focusing on Solar Energy adoption, as well as the barriers India faces, such as financing constraints, infrastructural limitations, and technological gaps.