India Calls End to Subsidy That Helped Fuel Clean Energy Boom

A key subsidy that helped propel the growth of India’s renewable industry has come to an end despite months of industry lobbying, adding financial stress to a sector that’s already grappling with a demand glut.

From Tuesday, solar or wind power projects commissioned after June will have to start paying 25% of the cost of transmitting power from one state to another. The charges will rise for future plants, according to a plan prepared by the federal power regulator.

The clean—energy industry had for months sought an extension. “Our main argument was that the cost increase will make signing power ...