India’s solar energy sector has made rapid strides in capacity addition in recent years, but as utility-scale projects grow in size and complexity, developers and engineering, procurement, and construction (EPC) contractors are increasingly facing challenges related to land acquisition, right-of-way approvals, transmission availability, and procurement.

In an exclusive interview with Mercom India, Bondada Raghavendra Rao, Chairman and Managing Director at Bondada Group, discussed the solar industry’s key execution challenges, the growing importance of integrated solar-plus-storage infrastructure, and how EPC contractors are adapting to support India’s clean energy transition.

What are Bondada Group’s key focus areas within the renewable energy sector, and how do you see those opportunities evolving over the next few years?

India’s energy transition is entering a scale-up phase. The focus is expanding beyond renewable generation capacity to the infrastructure required to integrate, store, transmit, and manage clean energy. Bondada focuses on utility-scale solar EPC, transmission and distribution infrastructure, battery energy storage systems, substations, and integrated renewable energy projects.

What are the biggest execution bottlenecks currently affecting solar projects in India?

The sector has never had a shortage of ambition. India continues to witness high levels of project awards and capacity announcements. However, execution challenges remain significant. The biggest bottlenecks today are land acquisition, right-of-way approvals, transmission readiness, grid connectivity, and coordination among multiple stakeholders.

While financing and module availability were major concerns a few years ago, project execution today is influenced more by infrastructure readiness and approval timelines. In many cases, generation assets are ready before evacuation infrastructure is commissioned. As India accelerates renewable deployment, synchronizing project development with transmission planning will become critical. The industry has demonstrated its ability to build solar parks at scale. The next challenge is ensuring that supporting infrastructure grows at the same pace.

How have EPC contractors been adapting their project planning, procurement strategies, workforce management, and risk mitigation practices to address today’s execution challenges?

The role of EPC contractors has evolved significantly. Today’s renewable energy projects are larger, more complex, and involve multiple stakeholders across the supply chain.

As a result, EPC companies have moved from being construction partners to becoming project integrators. Detailed front-end planning, digital project monitoring, diversified procurement networks, and stronger vendor partnerships have become essential. Procurement decisions are increasingly driven by long-term reliability rather than short-term pricing.

Workforce management has also become a key differentiator. Large-scale renewable projects require skilled teams capable of executing multiple sites simultaneously while maintaining quality, safety, and productivity standards.

Risk management has expanded beyond construction. EPC players today must account for supply chain volatility, logistics, regulatory approvals, transmission connectivity, weather disruptions, and contractual obligations. Success increasingly depends on anticipating risks before they become project delays.

What changes has Bondada made in project planning, procurement, workforce deployment, and risk management to keep pace with the sector’s evolving execution challenges?

Bondada has invested in strengthening its execution framework because execution capability is becoming an important differentiator in the renewable energy sector. The company has enhanced project planning through structured milestone tracking and stronger project governance systems.

In procurement, Bondada has built long-term partnerships with trusted suppliers and diversified sourcing strategies to improve resilience and predictability. It has also expanded its technical workforce and strengthened training programs to ensure consistency across multiple project locations. Standardized execution processes, quality control mechanisms, and safety protocols are embedded across its operations. The company has also adopted a proactive risk management approach that focuses on identifying potential challenges early, including those related to supply chains, approvals, logistics, and transmission readiness, allowing it to respond before they affect project schedules.

How are module availability, Approved List of Models and Manufacturers implementation, and supply chain disruptions influencing project execution today? Are transmission infrastructure and grid readiness emerging as bigger constraints than module supply or financing?

The industry has adapted significantly to Approved List of Models and Manufacturers requirements and the evolving domestic manufacturing ecosystem. Compared to a few years ago, module availability has become more predictable, although procurement planning remains important.

Transmission infrastructure and grid readiness are emerging as larger concerns than module supply. Renewable energy capacity is being added at a high pace, but evacuation infrastructure must keep up with that growth.

Storage is also becoming a critical part of the equation. As renewable energy penetration rises, the ability to store and dispatch power efficiently will become essential for maintaining grid stability. Going forward, the speed at which transmission networks, substations, and storage infrastructure are developed will have a significant impact on project execution timelines across the sector.

What percentage of project delays today are within the control of developers and EPC contractors, and what percentage stems from external factors such as approvals, land, and grid connectivity?

There is no single industry benchmark because every project has unique circumstances. However, Bondada’s experience suggests that a substantial portion of delays today originates from factors outside the direct control of developers and EPC contractors.

Land acquisition, statutory approvals, transmission connectivity, environmental clearances, and regulatory processes often account for a significant share of project timeline extensions. Execution activities such as engineering, procurement, and construction can be planned and managed with greater certainty.

This is why ecosystem-level coordination has become increasingly important. Faster collaboration between developers, utilities, transmission agencies, regulators, and state authorities can have a greater impact on project delivery timelines than improvements in construction efficiency alone.

The industry often celebrates the gigawatts awarded. Should there be a greater focus on gigawatts commissioned?

Project awards indicate intent and policy momentum, but commissioned capacity contributes to energy security, economic growth, and decarbonization objectives.

A project creates value only when it is built, connected to the grid, and supplies electricity to consumers. The industry should focus more on commissioning efficiency, operational performance, and actual power delivery rather than on announced or awarded capacity alone.

As the sector matures, stakeholders, including investors, policymakers, and developers, will place greater emphasis on execution quality and project completion rates. Commissioned capacity is the most meaningful measure of progress because it reflects outcomes rather than intentions.

As the market shifts toward hybrid renewable energy and storage-backed projects, how do you see the role of solar EPC companies evolving? Will the next phase of growth favor EPC players that can offer integrated execution capabilities across solar, wind, and storage?

The market is moving toward integrated energy solutions rather than standalone generation assets. Customers increasingly require projects that combine renewable generation with storage, transmission connectivity, and digital monitoring capabilities. As a result, EPC companies must expand beyond traditional solar execution and develop expertise across the broader energy infrastructure value chain.

The next phase of growth will favor companies that can execute integrated projects spanning solar, storage, substations, transmission systems, and hybrid renewable assets. These capabilities will become increasingly important as utilities and industrial consumers seek reliable, dispatchable clean energy solutions.

This evolution aligns with Bondada’s long-term strategy of building diversified infrastructure capabilities that support the full renewable energy ecosystem rather than a single technology segment.

With several EPC companies entering public markets, what does this say about the sector’s evolution? How do investor expectations differ between EPC companies and manufacturers pursuing initial public offerings, particularly in terms of growth, margins, scalability, and long-term value creation?

The growing presence of EPC companies in public markets reflects the increasing maturity of India’s infrastructure and renewable energy sectors. Investors today recognize that EPC companies are critical enablers of India’s energy transition. Investor expectations differ significantly between manufacturers and EPC companies. Manufacturing businesses are often evaluated based on production capacity, technology, utilization rates, and operating margins.

EPC companies are assessed on execution capability, order book quality, project delivery performance, cash flow discipline, governance standards, and the ability to scale sustainably. Investors want confidence that projects will be executed efficiently, margins will be protected, and growth will remain consistent.

Long-term value creation in the EPC sector comes from predictable execution, prudent capital allocation, operational excellence, and the ability to adapt to evolving market requirements. Companies that consistently deliver on these parameters will continue to earn investor confidence as the sector grows.