Solar Project Delays and Postponements Lead to 46% Decline in Investments In Q2 2023

Investments in the Indian solar sector during 1H 2023 witnessed a 51% YoY decline


Investments in the Indian solar sector in the second quarter (Q2) of the calendar year (CY) 2023 totaled $1.57 billion (~₹129.86 billion), a 46% year-over-year (YoY) decrease from $2.9 billion (~₹239.87 billion).

The figures were revealed in Mercom India Research’s latest report, Q2 2023 India Solar Market Quarterly Update.

The decline was primarily due to the delays, extensions, and postponements of utility-scale projects to next year. Additionally, the falling module prices lowered project costs and investment requirements.

The investments, however, increased 20% quarter-over-quarter (QoQ) from $1.31 billion (~₹108.36 billion).

While project funding fell 14% QoQ, corporate funding was up 176% in Q2, increasing the overall totals compared to Q1 2023.

Investments Q2 2023

Investments experienced a notable year-on-year decrease of 51% in 1H 2023. This decline can be attributed to reduced installation volumes and decreased corporate funding activity compared to the same period in 2022.

Notable funding deals during the quarter:

ReNew Energy raised $400 million (~₹32.86 billion) (through its wholly owned subsidiary Diamond II) from senior secured green bonds, marking the first high-yield issuance out of India in over a year.

Mumbai-based renewable energy company CleanMax concluded an equity fund raise of approximately $360 million (~₹29.57 billion) from Brookfield Renewable, facilitated through the Brookfield Global Transition Fund (BGTF).

Global investment firm Kohlberg Kravis Roberts signed definitive agreements to invest $250 million (~₹20.54 billion) in Serentica Renewables to help ramp up its clean energy portfolio and provide energy transition solutions to industries.

Ampin Energy Transition (formerly Amp Energy India), an integrated renewable energy power producer, secured up to $250 million (~₹20.44 billion) in a funding round led by Sumitomo Mitsui Banking Corporation of Japan, the Intermediate Capital Group, and the Asian Infrastructure Investment Bank.

Mercom’s India Solar Q2 2023 report is 82 pages long and covers all facets of India’s solar market. For the complete report, visit: