DP Cocoa Eyes ₹11 Million Power Bill Savings with Rooftop Solar Project

NLC India Invites Bids to Lease 1,500 Acres in Gujarat for Solar Projects

Odisha Proposes Ancillary Services Framework for Grid Security

IPX Power Closes $4.95 Billion Financing for Solar and Storage Projects

Energy Trading Startup Shatterdome Energy Raises $3.5M Pre-Seed Funding

Veda Solar Begins Commercial Production of Modules at 1.5 GW Surat Plant

Fujiyama to Set Up 1.2 GW Solar Cell Manufacturing Plant in Madhya Pradesh

I Squared Capital Launches $1 Billion Power Transmission Platform in India

MSMEs Gain Easier Access to Clean Energy Financing as Banks Expand Offerings

Daily News Wrap-Up: India Installs 2.7 GW Solar Open Access in Q1 2026


					<table id="amazon-polly-audio-table">
						<tr>
						<td id="amazon-polly-audio-tab">
							<div id="amazon-ai-player-label">Listen to this article</div>
							<div id="amazon-ai-player-container">
			<audio class="amazon-ai-player" id="amazon-ai-player" preload="none" controls   controlsList="nodownload" >
				<source type="audio/mpeg" src="https://cms.mercomindia.com/wp-content/uploads/2026/05/amazon_polly_94746.mp3?version=1779168563">
			</audio>
		</div>
							<div id="amazon-polly-subscribe-tab"></div>
							<div id="amazon-polly-by-tab"></div>
						</td>
						</tr>
					</table><p>India installed 15.3 GW of solar capacity in Q1 2026, its highest-ever quarterly total, according to Mercom India’s <a href="https://www.mercomindia.com/product/q1-2026-india-solar-market-update" target="_blank" rel="noopener">Q1 2026 India Solar Market Update Report</a>.</p>
<p>Additions rose more than 143% year-over-year (YoY) from 6.3 GW in Q1 2025, and nearly 49% quarter-over-quarter (QoQ) from about 10.3 GW in Q4 2025.</p>
<p>Large-scale solar accounted for most of the growth. India added 12.6 GW of large-scale capacity during the quarter, representing more than 82% of total additions. Open access projects made up 21% of the large-scale total. Large-scale installations increased 55% from the previous quarter and 147% from the same period last year.</p>
<p>Record commissioning activity was driven by approaching policy deadlines and improved transmission readiness in key solar states. Developers accelerated project completions ahead of the ALMM List-II implementation scheduled for June 2026, amid concerns over limited domestic DCR cell availability and rising module procurement costs.</p>
<p>“India’s solar sector recorded its strongest quarter ever in Q1 2026, driven by accelerated project execution ahead of the June ALMM-II deadline and the reduction in ISTS charge-waiver benefits. However, transmission bottlenecks could still play the spoiler in what is expected to be a record year for solar installations. While project execution and commissioning activity remain strong, transmission readiness and evacuation infrastructure are struggling to keep pace with the rapid growth in renewable capacity. As renewable penetration increases, curtailment, grid flexibility, and storage integration are becoming critical to sustaining future growth,” commented Raj Prabhu, CEO of Mercom Capital Group.</p>
<p>Execution under the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) program also strengthened, particularly in western states. Open access projects added further momentum as developers moved to commission capacity before the next phase of inter-state transmission system (ISTS) charges waiver reductions.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-94752 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter.png" alt="Solar installations by quarter" width="886" height="340" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter.png 886w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter-300x115.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter-768x295.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter-650x249.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter-624x239.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Solar-installations-by-quarter-600x230.png 600w" sizes="auto, (max-width: 886px) 100vw, 886px" /></a><br />
“MNRE has often waited until close to the deadline before giving clarity on extensions, and the market is now working with the assumption that the ALMM List-II deadline may not be extended. Module manufacturers and developers are expected to push for some relief, either on a project-by-project basis or through a short extension, because domestic cell manufacturing capacity is still limited,” said Priya Sanjay, Managing Director, Mercom India.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-scaled.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-94754 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-scaled.png" alt="Share of new power capacity additions" width="2560" height="1918" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-scaled.png 2560w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-300x225.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-2000x1498.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-768x575.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-1536x1151.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-2048x1534.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-650x487.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-624x467.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Share-of-new-power-capacity-additions-600x449.png 600w" sizes="auto, (max-width: 2560px) 100vw, 2560px" /></a>Gujarat and Rajasthan led large-scale solar installations in Q1 2026, accounting for approximately 40% and 39% of additions, respectively. Maharashtra ranked third with a 6% share.</p>
<p>As of March 2026, India’s cumulative installed solar capacity, including large-scale and rooftop systems, exceeded 152 GW. Solar accounted for 28% of India’s total installed power capacity and 55% of its total installed renewable energy capacity.</p>
<p>Large-scale projects made up nearly 85% of India’s cumulative installed solar capacity, while rooftop solar accounted for more than 15%.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Large-scale-solar-installations.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-94753 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Large-scale-solar-installations.png" alt="Large scale solar installations" width="574" height="338" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Large-scale-solar-installations.png 574w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2026/05/Large-scale-solar-installations-300x177.png 300w" sizes="auto, (max-width: 574px) 100vw, 574px" /></a></p>
<p>Rajasthan had the highest cumulative installed large-scale solar capacity, representing about 32% of the national total. Gujarat followed with more than 21%, while Karnataka accounted for over 11%.</p>
<p>The average cost of large-scale solar projects using TOPCon DCR modules declined nearly 1% QoQ but rose 6% YoY.</p>
<p>Tender activity reached about 3 GW during the quarter, doubling from the previous quarter but falling 68% YoY. About 4 GW of solar projects were auctioned in Q1 2026, down 47% QoQ and 64% YoY.</p>
<p>“With uncertainty around ALMM and the timing of PPA signing, developers are cautious about bidding because they may not know which compliance conditions will apply when projects move forward,” Sanjay said.</p>
<p>“Land and transmission challenges will grow with every passing month. Developers are already seeing fewer contiguous land parcels suitable for solar, and land prices are rising as farmers become more aware of upcoming solar development,” she said.</p>
<p><strong>Mercom’s Q1 2026 India Solar Market Update report is 113 pages long and covers all facets of India’s solar market. For the complete report, visit: </strong> <a href="https://www.mercomindia.com/product/q1-2026-india-solar-market-update" target="_blank" rel="noopener">https://www.mercomindia.com/product/q1-2026-india-solar-market-update</a></p>


India Adds Record 15.3 GW of Solar Capacity in Q1 2026


					<table id="amazon-polly-audio-table">
						<tr>
						<td id="amazon-polly-audio-tab">
							<div id="amazon-ai-player-label">Listen to this article</div>
							<div id="amazon-ai-player-container">
			<audio class="amazon-ai-player" id="amazon-ai-player" preload="none" controls   controlsList="nodownload" >
				<source type="audio/mpeg" src="https://cms.mercomindia.com/wp-content/uploads/2025/05/amazon_polly_79732.mp3?version=1748496521">
			</audio>
		</div>
							<div id="amazon-polly-subscribe-tab"></div>
							<div id="amazon-polly-by-tab"></div>
						</td>
						</tr>
					</table><p>India added 6.7 GW of solar capacity in the first quarter (Q1) of 2025, according to Mercom India’s latest <a href="https://www.mercomindia.com/product/q1-2025-india-solar-market-update" target="_blank" rel="noopener">Q1 2025 India Solar Market Update</a> Report.</p>
<p>The numbers reflect a 25% year-over-year (YoY) decline compared to the 9 GW added in Q1 2024. Solar installations were also down 14% from the nearly 7.8 GW added in Q4 2024.</p>
<p>Of the total capacity added, 5.5 GW came from large-scale solar projects, with open access installations contributing nearly 19.8% of the new capacity. However, large-scale solar installations dropped 15% quarter-over-quarter (QoQ) and 36% YoY.</p>
<p>Multiple challenges contributed to the slower additions, including the rising cost of domestically manufactured modules, limited availability of domestic content requirement (DCR) modules, and the lack of sufficient substation and transmission infrastructure for power evacuation.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-79737 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972.png" alt="Solar Installations by Quarter" width="3395" height="1120" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972.png 3395w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-300x99.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-2000x660.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-768x253.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-1536x507.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-2048x676.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-650x214.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-624x206.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Solar-Installations-by-Quarter-e1747721808972-600x198.png 600w" sizes="auto, (max-width: 3395px) 100vw, 3395px" /></a></p>
<p>According to Priya Sanjay, Managing Director, Mercom India, the shortage of domestically manufactured DCR modules remains a major concern, with limited availability hampering project execution. Although new manufacturing units are in the pipeline, meaningful capacity increases may not materialize until next year.</p>
<p>Transmission infrastructure continues to be another bottleneck. “Even if someone decides today to commission a substation or a transmission line, it will take 12 to 18 months for it to come online,” said Sanjay.</p>
<p>The government is actively working on expanding the transmission network, but challenges like right-of-way issues often delay construction timelines.</p>
<p>However, a positive development is the emergence of several new manufacturers entering the transformer market. Sanjay noted, “Earlier, everyone went to only a few well-known names, but now new companies with manufacturing capacity are stepping in.”</p>
<p>Despite the headwinds, solar accounted for 54% of the 12.3 GW of new power capacity added in Q1 2025.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-79739 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg.png" alt="Share of New Power Capacity Additions in India " width="3933" height="2296" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg.png 3933w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-300x175.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-2000x1168.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-768x448.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-1536x897.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-2048x1196.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-650x379.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-624x364.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/2-1.jpg-600x350.png 600w" sizes="auto, (max-width: 3933px) 100vw, 3933px" /></a></p>
<p>Rajasthan and Gujarat led the large-scale solar installations, accounting for 35% and 30% of the quarter’s total, respectively. Maharashtra was third, with 16%.</p>
<p>As of March 2025, India’s cumulative installed solar capacity had reached 104.6 GW. Solar energy represented 22% of the country’s total installed power capacity and 48% of its total installed renewable energy capacity.</p>
<p>Large-scale solar projects comprised over 86% of this total, while rooftop solar installations accounted for approximately 14%.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-79740 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3.png" alt="Q1 2025 Large-Scale Solar Installations " width="2607" height="1234" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3.png 2607w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-300x142.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-2000x947.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-768x364.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-1536x727.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-2048x969.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-650x308.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-624x295.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2025/05/Picture3-600x284.png 600w" sizes="auto, (max-width: 2607px) 100vw, 2607px" /></a></p>
<p>Rajasthan remained the leading state in cumulative large-scale solar capacity, with 29% of the national total. Gujarat and Karnataka followed, comprising 17% and 13%, respectively.</p>
<p><strong>Outlook</strong></p>
<p>Looking ahead, India’s large-scale solar project pipeline stood at 180.4 GW at the end of Q1 2025. In addition, 127.8 GW worth of projects had been tendered and were awaiting auction.</p>
<p>The average cost of large-scale solar projects rose by 3% QoQ and 1% YoY, highlighting the inflationary pressures faced by developers.</p>
<p>Tenders for 14.4 GW capacity were announced during the quarter, a 53% decline from the same period of the previous year, although they were up by 5% from Q4 2024.</p>
<p>On the decline in tenders, Sanjay pointed out that there is a significant backlog of power sale agreements. “Most developers are backed by foreign investors who need visibility on fund deployment. When tendered projects don’t move forward, funding is stalled,” she said. This lack of clarity impacts capital allocation, especially since international investors require well-defined timelines for project development and execution.</p>
<p>Meanwhile, 6.4 GW of solar projects were auctioned in Q1 2025, a 39% drop from the previous quarter and a 74% YoY decline.</p>
<p>Sanjay emphasized that auction activity and tender issuance will likely remain muted in the coming quarters. Developers and investors are hesitant to move forward with new bids due to policy uncertainty around the ISTS extension, lack of transmission infrastructure, and concerns about module availability.</p>
<p><strong><em>Mercom’s Q1 2025 India Solar Market Update report is 84 pages long and covers all facets of India’s solar market. For the complete report, visit: </em></strong> <a href="https://www.mercomindia.com/product/q1-2025-india-solar-market-update" target="_blank" rel="noopener">https://www.mercomindia.com/product/q1-2025-india-solar-market-update</a></p>


India Adds 7 GW of Solar Capacity in Q1 2025, Down 25% YoY


					<table id="amazon-polly-audio-table">
						<tr>
						<td id="amazon-polly-audio-tab">
							<div id="amazon-ai-player-label">Listen to this article</div>
							<div id="amazon-ai-player-container">
			<audio class="amazon-ai-player" id="amazon-ai-player" preload="none" controls   controlsList="nodownload" >
				<source type="audio/mpeg" src="https://cms.mercomindia.com/wp-content/uploads/2024/08/amazon_polly_69379.mp3?version=1725428010">
			</audio>
		</div>
							<div id="amazon-polly-subscribe-tab"></div>
							<div id="amazon-polly-by-tab"></div>
						</td>
						</tr>
					</table><p>India added 14.9 GW of solar capacity in the first half (1H) of calendar year 2024, a 282% year-over-year (YoY) increase, according to Mercom India Research&#8217;s latest <a href="https://www.mercomindia.com/product/q2-2024-india-solar-market-update" target="_blank" rel="noopener">Q2 2024 India Solar Market Update</a>. The installations topped all previous half-yearly and annual installations.</p>
<p>The commissioning of several previously delayed projects contributed to capacity additions in the year&#8217;s first half.</p>
<p>Solar capacity added in the second quarter (Q2) of 2024 stood at 5 GW, up 170% YoY from 1.8 GW. However, installations fell 49% quarter-over-quarter (QoQ) from 9.9 GW.</p>
<p>During the quarter, 4.3 GW of large-scale solar projects were commissioned, including nearly 1.8 GW of open access projects. While large-scale solar capacity additions fell 55% QoQ, they rose 191% YoY.</p>
<p>The reimposition of the Approved List of Models and Manufacturers (ALMM) order impacted several open access projects. Grid connectivity and transmission infrastructure delays further affected large-scale solar project additions during the quarter.</p>
<p>Priyadarshini Sanjay, Managing Director, Mercom India, emphasized that the sequential decline does not indicate a trend, as the previous quarter was an outlier due to a surge in installations ahead of the ALMM reimposition from April 2024.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-69385 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW.png" alt="Solar Installations by Quarter (MW)" width="3396" height="1328" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW.png 3396w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-300x117.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-2000x782.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-768x300.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-1536x601.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-2048x801.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-650x254.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-624x244.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Solar-Installations-by-Quarter-MW-600x235.png 600w" sizes="auto, (max-width: 3396px) 100vw, 3396px" /></a></p>
<p>Rajasthan, Gujarat, and Karnataka led large-scale solar capacity additions, contributing 30%, 22%, and 21% of the total quarterly installations.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Q2-2024-Large-Scale-Solar-Installations-MW.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-69387 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Screenshot-2024-08-22-132134.jpg" alt="Q2 2024 Large-Scale Solar Installations (MW)" width="721" height="383" /></a></p>
<p>In Q2 2024, 10.7 GW of tenders were announced, down 22% from 13.6 GW in Q2 2023 and 65% QoQ from 30.7 GW.</p>
<p>Sanjay noted that the lower tender numbers could have been due to the delay in the Ministry of New and Renewable Energy (MNRE) releasing the bidding trajectory for the year and concerns over tepid response and higher bids after the ALMM reimposition.</p>
<p>During the quarter, 6.7 GW of solar projects were auctioned, consistent with Q2 2023, though auction activity decreased by 73% from 25.1 GW in Q1 2024.</p>
<p>In 1H 2024, India added 20.8 GW of new power capacity, with renewable sources, including large hydro, accounting for 81% and solar alone making up 71% of the capacity additions.<a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-69388 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024.png" alt="Share of New Power Capacity Additions in India (2010 - 1H 2024)" width="3105" height="1671" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024.png 3105w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-300x161.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-2000x1076.png 2000w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-768x413.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-1536x827.png 1536w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-2048x1102.png 2048w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-650x350.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-624x336.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/08/Share-of-New-Power-Capacity-Additions-in-India-2010-1H-2024-600x323.png 600w" sizes="auto, (max-width: 3105px) 100vw, 3105px" /></a></p>
<p>As of June 2024, India&#8217;s cumulative installed solar capacity reached 87.2 GW, with utility-scale projects making up 87% and rooftop solar 13%. Solar energy now constitutes 19.5% of India&#8217;s installed power capacity and 44% of the total installed renewable energy capacity.</p>
<p>Rajasthan, Gujarat, and Karnataka were the leading states for cumulative installed large-scale solar capacity, contributing 29%, 15%, and 14% of the national total, respectively.</p>
<p>The top 10 states accounted for 94% of the cumulative large-scale solar installations as of June 2024.</p>
<p>India&#8217;s large-scale solar project pipeline stood at 146 GW, with another 104 GW of projects tendered and awaiting auction as of June 2024.</p>
<p>The project pipeline looks attractive, but according to Sanjay, significant challenges due to transmission infrastructure constraints, particularly in Rajasthan, remain. Hybrid and energy storage projects may help alleviate this issue by utilizing the same transmission lines.</p>
<p>Solar module and cell imports dropped 61% QoQ and 16% YoY. The exports were down almost 30% QoQ, with only a marginal drop YoY.</p>
<p>The average cost of large-scale solar projects decreased by 2% QoQ and 26% YoY, improving project internal rates of return. However, with the ALMM imposition, this trend may reverse as Indian modules, especially Domestic Content Requirement (DCR) modules, are more expensive, and supply may struggle to meet growing demand.</p>
<p>In 1H 2024, 41.4 GW of tenders were announced, marking the highest half-yearly bid invitations, up 51% from 27.5 GW in 1H 2023.</p>
<p>Additionally, 31.8 GW of projects were auctioned, a 321% increase from 7.6 GW in 1H 2023, setting a new high for half-yearly and annual auction announcements.</p>
<p>With the strong demand from the commercial and industrial (C&amp;I) market, Sanjay expects the demand for open access and rooftop solar to grow significantly.</p>
<p><strong><em>Mercom&#8217;s Q2 2024 India Solar Market Update report is 85 pages long and covers all facets of India&#8217;s solar market. For the complete report, visit:<a href="https://www.mercomindia.com/product/q2-2024-india-solar-market-update" target="_blank" rel="noopener">https://www.mercomindia.com/product/q2-2024-india-solar-market-update</a></em></strong></p>


India Adds Record 15 GW of Solar Capacity in 1H 2024


					<table id="amazon-polly-audio-table">
						<tr>
						<td id="amazon-polly-audio-tab">
							<div id="amazon-ai-player-label">Listen to this article</div>
							<div id="amazon-ai-player-container">
			<audio class="amazon-ai-player" id="amazon-ai-player" preload="none" controls   controlsList="nodownload" >
				<source type="audio/mpeg" src="https://cms.mercomindia.com/wp-content/uploads/2024/05/amazon_polly_66475.mp3?version=1716961185">
			</audio>
		</div>
							<div id="amazon-polly-subscribe-tab"></div>
							<div id="amazon-polly-by-tab"></div>
						</td>
						</tr>
					</table><p>India achieved a milestone by adding over 10 GW of solar capacity in the first quarter (Q1) of 2024, the highest quarterly installation to date. This figure represents an almost 400% year-over-year (YoY) increase compared to the over 2 GW installed in Q1 2023, according to the recent <a href="https://www.mercomindia.com/product/q1-2024-india-solar-market-update" target="_blank" rel="noopener">Q1 2024 India Solar Market Update</a> from Mercom India Research.</p>
<p>Quarter-over-quarter (QoQ) capacity additions also surged 414% from nearly 2 GW in Q4 2023.</p>
<p>In Q1 2024, India installed 9.7 GW of large-scale solar capacity, which included 1.8 GW from open access solar projects. This represents a 524% QoQ increase and a nearly 534% YoY rise.</p>
<p>&#8220;The surge in installations in Q1 2024 was driven by the commissioning of several delayed projects that had received extensions in previous quarters due to high module prices. Falling module prices and suspending the Approved List of Models and Manufacturers (ALMM) order enabled developers to import modules at lower costs, facilitating project completions,&#8221; said Priya Sanjay, Managing Director, Mercom India.</p>
<p>Many projects were commissioned early to take advantage of the ALMM order suspension. Granting grid connectivity to projects previously stalled in the Great Indian Bustard habitat also contributed to the record-breaking installations.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-66478 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1.png" alt="Solar Installations by Quarter Q1" width="1318" height="537" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1.png 1318w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1-300x122.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1-768x313.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1-650x265.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1-624x254.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Solar-Installations-by-Quarter-Q1-600x244.png 600w" sizes="auto, (max-width: 1318px) 100vw, 1318px" /></a>&#8220;There is a substantial pipeline of large-scale projects scheduled for 2024, positioning India for a record-breaking year by a significant margin. Assuming stability in policy and supply chains, and if government agencies continue to auction projects and meet the set targets, India is poised to be among the top three solar markets globally,&#8221; commented Raj Prabhu, CEO at Mercom Capital Group.</p>
<p>In Q1 2024, India added 15.2 GW of new power capacity, with solar power accounting for 66% of these additions.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-66479 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024.png" alt="Share of New Power Capacity Additions in India 2010 - Q1 2024" width="1123" height="602" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024.png 1123w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024-300x161.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024-768x412.png 768w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024-650x348.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024-624x335.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Share-of-New-Power-Capacity-Additions-in-India-2010-Q1-2024-600x322.png 600w" sizes="auto, (max-width: 1123px) 100vw, 1123px" /></a></p>
<p>Rajasthan and Gujarat led the large-scale solar installations, contributing 38% and 35% of the capacity additions, respectively, while Madhya Pradesh followed with 8%.</p>
<p>As of March 2024, India&#8217;s cumulative installed solar capacity reached 82 GW. Solar energy represented 18.5% of India&#8217;s total installed power capacity and 43% of the total installed renewable energy capacity.</p>
<p><a href="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations.png"><img loading="lazy" decoding="async" class="aligncenter wp-image-66480 size-full" src="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations.png" alt="Q1 2024 large scale solar installations" width="733" height="557" srcset="https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations.png 733w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations-300x228.png 300w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations-650x494.png 650w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations-624x474.png 624w, https://mercomindia.s3.ap-south-1.amazonaws.com/wp-content/uploads/2024/05/Q1-2024-large-scale-solar-installations-600x456.png 600w" sizes="auto, (max-width: 733px) 100vw, 733px" /></a></p>
<p>Rajasthan had the highest cumulative installed large-scale solar capacity, accounting for 29% of the national total, followed by Gujarat and Karnataka at 14% each.</p>
<p>According to Priya Sanjay, Gujarat&#8217;s proactive approach to renewable energy, especially with residential solar and wind-solar hybrid power projects, enabled it to overtake Karnataka. &#8220;Gujarat&#8217;s foresight and supportive infrastructure and policies have attracted numerous large-scale projects.&#8221;</p>
<p>By the end of Q1 2024, India&#8217;s large-scale solar project pipeline stood at 143.3 GW, with an additional 93.1 GW of projects tendered and pending auction.</p>
<p><strong>Project cost declines</strong></p>
<p>The average cost of large-scale solar projects fell by 7% QoQ and 28% YoY, significantly improving the projects&#8217; internal rate of return.</p>
<p>&#8220;The reduction in the average cost of large-scale solar projects is largely attributed to the falling prices of solar modules,&#8221; Priya Sanjay said.</p>
<p>During the quarter, tenders totaling 30.7 GW were announced, up 122% YoY and 92% QoQ. Additionally, 25 GW of solar projects were auctioned, a 229% QoQ increase and a 2,957% YoY rise.</p>
<p>Priya Sanjay noted that the surge in tendering activity was driven by agencies adhering to defined targets and timelines. Previously, delays in auctions and PPA signings deterred bidders as they led to funds getting locked up. However, streamlined auctions and attractive tariffs have revitalized the process, leading to quicker PPA signings and increased developer interest.</p>
<p>Inadequate transmission infrastructure and land acquisition delays could hinder timely project commissioning. Developers are racing to complete projects before the June 2025 ISTS charges waiver deadline. Rising land costs and scarce prime sites for solar could further complicate the landscape.</p>
<p><strong><em>Mercom&#8217;s Q1 2024 India Solar Market Update report is 93 pages long and covers all facets of India&#8217;s solar market. For the complete report, visit: <a href="https://www.mercomindia.com/product/q1-2024-india-solar-market-update" target="_blank" rel="noopener">https://www.mercomindia.com/product/q1-2024-india-solar-market-update</a></em></strong></p>


market-update

Get the most relevant India solar and clean energy news.

RECENT POSTS