Solar Energy Market in India – Quarterly Insight

Solar power industry in India has evolved over the last decade, with significant developments seen since 2015. The policy support extended by the central government as well as by the respective state governments in India has strengthened the business case for solar. It is anticipated that solar power installed capacity in India shall reach to 240 GW by 2030,accounting a share holding of approximately 56% in the total renewable energy mix. This projected growth opens a wide opportunity space for players (domestic & global) across entire spectrum of solar value chain.

As of Jan 2023, the solar energy installed capacity of India was accounted to be 64 GW approximately. Ground mounted solar holds the largest share in India’s solar installed capacity accounting 51.8 GW of the total capacity. Rajasthan in India boasts the status of leading state for ground mounted solar capacity with 13.4 GW of installation as of Jan 2023. Gujarat is a leader in rooftop solar installations, with a capacity of 2.26 GW. Hybrid solar projects are operational only in the state of Rajasthan in India as of Jan 2023 accounting a capacity of 1.57 GW. The state also leads in offgrid solar installation with a capacity of 0.53 GW (535.8 MW)

“18.4 GW of solar equipment manufacturing proposals have been received under phase 2 of PLI scheme by Reliance, First Solar, Shirdi Solar & Tata”

While Reliance, First Solar & Shirdi Solar has submitted bids for facilities integrating polysilicon, wafer, cell & module manufacturing. Tata power submitted bid for facilities integrating cell & module manufacturing. Other notable players that also participated in the bids for the phase II of PLI scheme are – Avaada, Grew, JSW, ReNew & Waree for wafers, cell & module manufacturing. Vikram Solar , Ampin along with ReNew, Reliance & Tata Power for integrating cell & module manufacturing. Presently, India has a solar equipment manufacturing capacity of 21.6 GW approximately per annum. Waaree is the largest solar OEM in India, with a manufacturing capacity of 4.75 GW per annum. Vikram solar is second in line with a manufacturing capacity of 2.02 GW having two facilities, one each in West Bengal & Tamil Nadu. In India, Gujarat is the home to maximum number of manufacturing facilities. The state has about 39 solar equipment manufacturing facilities with an annual capacity of 11.12 GW (as of Jan’2023)