Daily News Wrap-Up: Solar Cell Capacity Under ALMM-II Expands to 31.76 GW

Storage Market Could Become Bigger Than Solar and Wind Combined: Interview

Battery Material Company Sila Raises $300 Million in Funding

Solar Cell Capacity Under ALMM List-II Grows to 31.76 GW

AMPYR Distributed Energy Secures $194 Million for European Expansion

JSW Energy’s Q1 FY 2027 Profit Falls 36% YoY on Higher Finance Costs

Solar Policy Consistency Key to Investors’ Confidence in India: Interview

GAIL Tenders 600 MW Solar Plus 550 MWh Battery Storage Project

Rooftop Solar Gives Packaging Company Uflex a Cost-Cutting Edge

MERC Clears Tariff for Adani Electricity’s 750 MW Renewable Power Procurement

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					</table>As renewable energy penetration rises, battery storage is becoming critical for addressing the intermittency of solar and wind, managing curtailment, and supplying firm power to consumers. At the same time, transmission constraints, right-of-way issues, domestic solar cell availability, and project financing timelines continue to affect project development.
<a href="https://www.soleosenergy.com/" target="_blank" rel="noopener">Soleos Energy</a> is an India-based renewable energy company providing end-to-end solutions across utility-scale, commercial and industrial (C&amp;I), rooftop, floating solar, and energy storage projects. On the sidelines of the <a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026" target="_blank" rel="noopener">Mercom India Renewables Summit 2026</a>, Bhavesh Kumar Rathod, Founder and Managing Director at Soleos Energy, spoke about domestic manufacturing, battery energy storage, open access, transmission bottlenecks, financing, and the company’s plans to support industrial decarbonization.
The following are edited excerpts from the interview.
How are developers reassessing project viability amid uncertainty around module prices, domestic content requirements, and other regulatory changes?
The transition from non-DCR to DCR modules within six months was not entirely smooth, although the government had provided sufficient time for the industry to prepare. Developers who had assessed projects using cheaper non-DCR modules found it difficult to accept the higher cost of DCR-compliant modules. There are challenges during the transition, but the market will eventually adjust.
What are the major challenges EPC companies face in the market?
India has around 175 GW to 200 GW of DCR-compliant module manufacturing capacity. However, domestic cell manufacturing capacity is only around 25 GW to 30 GW.
This is also nameplate capacity and does not represent the actual annual output available to the market. The mismatch between module and cell manufacturing capacity is one of the biggest challenges facing EPC companies.
How is the expected implementation of ALMM List-II affecting projects?
Domestic cell capacity remains limited, and ALMM List-II-compliant cells are not abundantly available in the market. Modules containing compliant cells may be available in smaller quantities. However, procuring 200 MW or 300 MW for a large project is currently challenging. The limited availability of cells is therefore affecting procurement planning and project execution.
Storage is being viewed as the next major opportunity alongside solar and wind. What is your view?
Solar and wind are intermittent sources and do not offer complete predictability, while industrial consumers require firm power. Storage provides that firmness.
Whether the problem is curtailment, transmission constraints, or the need for round-the-clock supply, storage has emerged as the common binding element across renewable energy technologies. Several companies are entering storage manufacturing, and Soleos Energy is also developing a large manufacturing facility. The storage market could eventually become larger than the solar and wind markets combined.
Battery storage costs have declined from around $550/kWh to nearly $100/kWh. However, prices have stopped falling over the past year and a half and have increased slightly in some cases. Even at current levels, storage has become commercially viable, and solar-plus-storage has achieved grid parity in several applications.
How do you expect the commercial and industrial (C&amp;I) open access market to develop over the next two to three years?
C&amp;I consumers have adopted renewable energy rapidly. The C&amp;I segment accounts for a significant share of the market and is already mature. Demand remains strong and is expected to continue growing for several years as industrial consumers seek lower electricity costs, predictable tariffs, and decarbonization solutions.
How are developers balancing execution timelines against land acquisition and transmission risks?
Land and transmission availability are major bottlenecks. Land-related challenges can be reduced through government intervention, access to government-owned land, better engagement with landowners, and appropriate compensation.
Transmission is a more difficult challenge. India requires substantially higher investment in transmission infrastructure, and the constraint is unlikely to be fully resolved within the next few years through policy measures alone.
What policy intervention is needed to address the transmission bottleneck?
Power evacuation is a major concern. India does not yet operate as a fully unified market at the distribution level. States function largely as separate systems connected through the interstate transmission network, and policies differ across jurisdictions.
Moving electricity from a renewable project in one state to a consumer in another can be difficult, particularly at lower voltage levels.
In some European markets, even a household with a 50-kW solar project can sell electricity into the market. India needs a similarly transparent and robust framework that enables electricity to move more easily from areas with surplus generation to areas facing deficits. Better connectivity and more uniform market rules could help reduce transmission-related constraints.
What is your assessment of Maharashtra’s time-of-day banking framework?
The policy is directionally positive, although it has created concerns for the industry. Electricity generated during solar hours has a lower value, and the framework effectively encourages developers and consumers to adopt battery storage. However, several implementation orders are still awaited.
The policy could create short-term challenges for developers and consumers, but it may support storage adoption and improve grid management over the longer term.
What regulatory changes would improve renewable project execution?
Connectivity support and right-of-way assistance are the most urgent requirements. Large projects have been delayed because of right-of-way disputes, and even major developers face these challenges.
The government should introduce a clear right-of-way framework that protects landowners while allowing developers to complete transmission infrastructure within reasonable timelines.
Storage should also not be evaluated as a standalone asset. Solar, wind, and storage should be considered together as firm capacity.
The government could also examine market mechanisms such as contracts for difference. Projects selling electricity through exchanges currently face the risk of prices falling to zero, which reduces bankability. Introducing an appropriate floor or revenue-support mechanism could improve lenders’ confidence and strengthen project financing.
Is financing a constraint for renewable energy projects?
The availability of financing is not the biggest problem. The timing of financing, cost of funds, loan tenure, and the suitability of financing structures are more significant concerns.
Lenders often expect rigid take-or-pay arrangements. Financing models need greater flexibility, with lenders viewing themselves as long-term business partners rather than only providers of capital.
A deeper understanding of renewable energy business models would help lenders assess risk more effectively and improve the availability of appropriate financing.
How does Soleos Energy plan to contribute to India’s renewable energy growth?
Soleos Energy has focused on adopting new technologies, entering new markets, and solving challenges faced by industrial consumers.
The company aims to help industries decarbonize through solar, wind, energy storage, and other clean energy solutions. Grid electricity tariffs can rise and fluctuate over time, while contracted renewable energy capacity can provide price visibility for up to 25 years.
Long-term renewable energy contracts allow companies to hedge their electricity costs and improve business sustainability. Soleos Energy plans to continue offering such solutions to industries in India and international markets.

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					</table>As India works towards ramping up the share of clean energy in power generation, hybrid renewable energy projects have emerged as a viable solution to address intermittency and transmission constraints.
By leveraging the combined potential of solar, wind, and energy storage systems, hybrid projects can enhance capacity utilization and facilitate a more stable electricity supply.
In India, hybrid renewable energy projects face challenges such as inadequate transmission infrastructure, a lack of adequate financing, and a lack of robust regulatory frameworks.
At the sixth edition of Mercom India’s <a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026" target="_blank" rel="noopener">Renewables Summit</a> to be held on July 1 and 2, 2026, at the Hyatt Regency in New Delhi, industry stakeholders will get together to discuss how hybrid projects can pave the way for better grid stability at the session titled &#8220;Powering Stability: Scaling Hybrid Renewables for a Resilient Grid”.  The session will be held on July 1, 2026, at 01:15 PM in the Oval Hall on the Lower Ground Floor.
The discussion will focus on how hybrid renewable energy projects are shaping the next phase of clean energy deployment in India.
The session will feature Sivakumar V. Vepakomma, Director (Power System) at the Solar Energy Corporation of India (<a href="https://www.seci.co.in/" target="_blank" rel="noopener">SECI</a>), Divya Chaturvedi, Partner at <a href="https://www.khaitanco.com/" target="_blank" rel="noopener">Khaitan &amp; Co</a>, and Bhaveshkumar Rathod, Founder and Managing Director of <a href="https://soleosenergy.com/" target="_blank" rel="noopener">Soleos Energy</a>.
The panelists will assess the role of hybrid configurations in improving capacity utilization, grid reliability, and supplying firm power as electricity demand increases.
The discussion will also examine project design considerations, transmission planning requirements, financing structures, and the need for regulatory certainty to support scalable hybrid energy models that deliver cost-effective clean power.
Now in its sixth edition, the Summit brings together policymakers, investors, developers, manufacturers, technology providers, and industry leaders to discuss developments across the renewable energy sector.
The event’s agenda <a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026/agenda" target="_blank" rel="noopener">covers</a> a wide range of topics, including solar manufacturing, energy storage, transmission infrastructure, renewable energy deployment, financing strategies, and clean energy technologies.
The Summit will also feature <a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026/workshop-register" target="_blank" rel="noopener">workshops</a> addressing practical challenges across manufacturing, workforce development, and project procurement.
<a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026/register" target="_blank" rel="noopener">Register now</a> to participate in the event and contribute to shaping India’s dynamic renewable energy future.

Solving India’s Grid Stability Challenge with Hybrid Renewable Projects

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					</table>India’s solar industry is entering a new phase of growth, marked by a rapid shift toward hybrid energy systems, battery storage, and high-efficiency module technologies, driven by rising renewable penetration, grid stability challenges, and evolving policy frameworks.
Industry experts highlight the growing importance of round-the-clock (RTC) power solutions, domestic content requirement (DCR)-driven solar manufacturing, and advanced technologies such as TOPCon, as the market moves beyond cost optimization toward reliability, efficiency, and long-term energy security.
Storage Adoption 
Energy storage is emerging as a critical enabler, particularly in the commercial and industrial (C&amp;I) segment, driven by clear return-on-investment (ROI) opportunities.
Gautam Patil, Vice President at <a href="https://www.cygni.com/" target="_blank" rel="noopener">Cygni Energy</a>, pointed to gaps in domestic manufacturing capabilities. “We do not have lithium iron phosphate (LFP) cells manufactured at scale in India today,” he said, highlighting continued reliance on imports and the evolving ecosystem for high-voltage battery systems.
“Since batteries do not generate power, they only store energy, the ROI depends on the difference between the cost of charging and the value of the energy you displace,” Patil explained.
According to Patil, a key financial driver is the displacement of high grid tariffs.
A sample calculation shows a saving of ₹10 (~$0.106) per unit by using stored solar energy at a cost of ₹2.5 (~$0.027) per unit, avoiding a ₹12.5 (~$0.133) per-unit time-of-day (ToD) tariff. “Based on this saving, a battery system costing ₹50,000 (~$531)/kWh can achieve a payback period of approximately four years,” he added.
Shift Toward RTC and Hybrid Solutions
With India’s utility-scale solar pipeline exceeding 200 GW and high renewable penetration in states such as Rajasthan, Gujarat, and Maharashtra, grid stress and curtailment are becoming increasingly prominent. In this context, hybrid power and RTC solutions have gained prominence.
Rahul Makahaniya, Chief Marketing Officer at <a href="https://soleosenergy.com/" target="_blank" rel="noopener">Soleos Energy</a>, emphasized the rapid rise of hybrid and RTC solutions in response to grid challenges. “RTC and hybrid are picking up very fast. That is the only way ahead because states already have 45% to 60% renewable energy in the power mix.”
He added that evolving customer expectations are driving this transition. “The market has matured beyond just saving money. Customers now want energy security and predictability.”
Manufacturing Expansion and DCR-Driven Demand
Harsh Gandhi, Key Account Manager at <a href="https://www.adanisolar.com/" target="_blank" rel="noopener">Adani Solar</a>, discussed his company’s manufacturing scale-up and the impact of DCR policies. “Adani has been in solar manufacturing since 2016. We started with polycrystalline, then shifted to PERC, and now we are manufacturing TOPCon.”
The company currently operates 4 GW of module manufacturing capacity and is expanding to 10 GW, with a strong focus on TOPCon technology.
“Our capacity utilization is almost 100%. Modules compliant with domestic content requirements (DCR) are in demand, especially in the residential market,” he noted.
On policy impact, he noted that DCR mandates are now expanding beyond residential applications. “For the last two years, it has been compulsory for rooftop, and now it is impacting C&amp;I customers as well.”
Technology Shift Toward TOPCon
In module technology, the consensus is that TOPCon is the current standard, set to replace PERC. While HJT technology exists, its manufacturing equipment is significantly more expensive than TOPCon without offering a substantial performance premium, making it commercially unviable, according to Gandhi.
He observed that TOPCon and other n-type technologies are becoming the industry standard due to their superior efficiency and lower levelized cost of energy (LCOE).
“If you install TOPCon instead of PERC, you get more power generation and need less land,” he added.
He cautioned that legacy technologies may soon lose relevance. “PERC lines may become obsolete in one to two years.”
Policy Uncertainty and Supply Chain Risks
Makahaniya spoke about uncertainties around policy implementation, particularly the upcoming deadline for the Approved List of Models and Manufacturers (ALMM) List II mandate.
He suggested not waiting for policy clarity before placing orders for modules compliant with the ALMM List II mandate and sourcing from multiple vendors to hedge against supply challenges.
He pointed to broader supply chain risks influenced by geopolitical developments. “Supply chain risks extend beyond modules. You need collaborative contracts and contingency planning,” he said, adding that payment delays account for most project delays. Geopolitical events such as the conflict in Iran are affecting the supply of materials for mounting structures. To manage these risks, Makahaniya emphasized building collaborative contracts focused on joint risk mitigation rather than risk transfer.
“This includes meticulous contingency planning, open discussions with vendors to anticipate and plan for disruptions, and establishing delivery-linked payment milestones to minimize financial exposure,” he said.
Storage Economics and Diesel Replacement
The discussion also highlighted the economics of replacing diesel gensets with solar-plus-storage solutions.
Makahaniya noted that considering diesel power costs approximately ₹22 (~$0.233)/kWh to ₹25 (~$0.265)/kWh, storage-backed systems can deliver around 20% cost savings, making them increasingly attractive for industrial consumers.
Hybrid Inverters Finding Traction
Rakshanda Lande, Head of Sales and Marketing (West and Central India) at <a href="https://www.deyeinverter.com/" target="_blank" rel="noopener">Ningbo Deye New Energy</a>, noted the ability of hybrid inverter systems to integrate multiple energy sources.
“Now the highest in demand are the hybrid inverters. They can be integrated with multiple sources: solar, grid, and battery storage; they can even be connected with diesel gensets,” she said, adding that hybrid systems are gradually replacing conventional grid-tied solutions.
She also stressed the importance of procurement planning and service readiness.
“Inverters shouldn’t be the last thing EPC contractors purchase. They should give equal importance to inverters,” Lande said, pointing to ongoing supply chain constraints.
Solutions for Indian Conditions
Pranay Shinde, Chief Executive Officer at <a href="https://www.srpl-group.in/" target="_blank" rel="noopener">SRPL Group</a>, underscored the need for India-specific engineering approaches, particularly for mounting structures.
“We follow Indian Standards like IS 875 and design structures based on topography and regional conditions,” he said, emphasizing safety and performance optimization.
Shinde also emphasized the need for India-specific engineering solutions, including robust mounting structures designed for local conditions such as high heat, dust, and varying wind zones.
“Standardization in structures and components is seen as critical for reducing costs, improving safety, and accelerating deployment. Additionally, after-sales service, warranty clarity, and proper system design are highlighted as decisive factors for buyers, alongside the importance of early procurement to avoid supply chain delays.”
He noted a few practical challenges in rooftop installations, including handling difficult surfaces such as asbestos roofs, for which careful design and non-invasive techniques are essential.
Makahaniya noted that the convergence of policy mandates, tariff pressures, and technological advancements will accelerate the industry’s transformation.
These discussions were part of Mercom India’s RE Buyer-Seller Meet in Mumbai. The next Buyer-Seller Meet will be in Jodhpur, on May 15, 2026.
Mercom is also <a href="https://www.mercomindia.com/event/mercom-india-renewables-summit-2026" target="_blank" rel="noopener">hosting</a> the sixth edition of its Renewables Summit, the largest conference in the sector, on July 01 and 02 this year at the Hyatt Regency, New Delhi.  It brings together all the stakeholders who are shaping India’s renewable energy industry.

Hybrid Systems, Storage Drive Next Phase of India’s Solar Growth

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					</table>Commercial and industrial (C&amp;I) entities, large institutions, and residential complexes are increasingly turning to clean power solutions that offer greater cost efficiency than conventional grid tariffs. Rooftop solar has long been an attractive option for reducing operating expenses and enhancing sustainability credentials. However, beyond on-site installations, solar open access is rapidly emerging as a scalable alternative, enabling businesses to procure renewable energy at larger volumes while optimizing long-term cost savings.
Growth of Open Access Across the C&amp;I Segment
Tamil Nadu has emerged as a strong market for solar open access, with approximately 2.7 GW installed as of September 2025, accounting for nearly 9.6% of India&#8217;s total installations. The state’s supportive regulatory framework, combined with a growing portfolio of hybrid (solar + wind) projects, has made it an attractive destination for C&amp;I consumers seeking reliable and competitively priced green power.
Rahul Makahaniya, Chief Marketing Officer at <a href="https://soleosenergy.com/" target="_blank" rel="noopener">Soleos Energy</a>, shares that before opting to procure green energy via open access, companies must decide on the appropriate procurement model &#8211; captive, group captive, or third-party. The group captive model, which is widely preferred, requires consumers to hold at least 26% equity in the project and commit to a long-term power purchase agreement (PPA), typically with a 12–15-year lock-in. Key commercial considerations include the PPA tariff, equity contribution, lock-in period, and termination clauses.
He added that the process from feasibility assessment and term sheet execution to land acquisition, regulatory approvals, construction, and commissioning typically takes eight to twelve months.
“Tamil Nadu is also among the leading states in India in terms of strong solar irradiation levels. Solar projects in the state generally generate around 1.4-1.5 million units annually, with a capacity utilization factor (CUF) of 17–19%, ensuring strong generation performance and predictable returns,” Makahaniya added.
While the transition to solar energy is central to advancing a low-carbon future while supporting economic growth, electrical systems play a critical role in efficiently capturing, converting, and distributing solar power.
In the utility-scale segment, the overriding objective is to continuously improve efficiency and reduce the Levelized Cost of Energy (LCOE). Every component is evaluated for its ability to minimize losses and enhance project returns.
The Balance of System (BOS) encompasses all components of a photovoltaic system beyond the solar modules, including inverters, mounting structures, transformers, switchgear, earthing, and cables. These elements are essential for converting DC power to AC, ensuring operational safety, optimizing energy yield, and maintaining long-term system reliability.
“C&amp;I customers are increasingly adopting open access solar solutions. We have supplied over 40 GW of switchgears across open-access, rooftop solar, and utility-scale projects,” said Suresh R, Senior Manager, <a href="https://www.lk-ea.com/" target="_blank" rel="noopener">Lauritz Knudsen Electrical &amp; Automation</a>.
Depending on project design and scale, BoS components can account for roughly 20–30% of project cost, making them a critical determinant of overall return on investment. Improper sizing or poor-quality BoS design can result in transmission losses and reduced delivered energy.
“When selecting switchgear, transformers, and other equipment, the design must align with the specific project size, which varies from customer to customer. Solar infrastructure cannot be approached with a copy-and-paste methodology; each project requires customized engineering based on inverter output, system capacity, and grid requirements. Appropriate BoS selection has a direct impact on efficiency, reliability, and long-term financial performance,” Suresh added.
Rise of Energy Storage 
As renewable energy adoption accelerates across India, battery energy storage systems (BESS) are emerging as enablers. What began as a complementary technology to solar and wind is fast evolving into a strategic asset for businesses seeking enhanced energy reliability, peak load management, and long-term cost optimization.
Makahaniya said, “Some states have already introduced or drafted mandates requiring storage integration. Storage currently adds approximately ₹2 (~$0.022)/kWh to ₹2.5 (~$0.027)/kWh above solar tariffs, which may limit its attractiveness without policy mandates. However, storage becomes viable in specific scenarios such as for data centers requiring round-the-clock renewable power, high-tariff consumers like hotels and hospitals, or as a replacement for expensive diesel generation.”
Overall, clean power purchase is no longer driven solely by environmental considerations. It is a strategic financial decision that enables businesses to reduce electricity costs, manage long-term risk, and move toward sustainability goals.
To truly optimize savings, companies must carefully select the right procurement model, ensure sound technical design, especially for BoS components, and evaluate the role of storage based on policy and operational needs.
On the changing face of BoS for solar plus BESS, Suresh noted that the voltage system used in residential rooftop installations is 15 volts, whereas the ground-mount system currently operates at 800 volts. And with BESS, there are other components besides LV panels, medium-voltage panels, transformers, and cables. The additional components are an isolator panel, which will be included in this system. Also, there will be a power conversion system (PCS), a battery management system, and an energy management system.
“For solar with BESS, there are both AC and DC couplings. Most go with AC coupling, but DC coupling is the future. In solar-plus-BESS, the AC part of the transformer is connected to the isolator panel, then to the PCS system, and finally to the BESS containers. When we use a DC coupling system, the DC generation can be fed directly to the isolation panel and then to the BESS. These are the additional components that come with BoS,” Suresh added.
Savings Drive Growth of BESS
Regarding the loss of savings owing to delays in approvals for open access projects, Makahaniya said, “If a company is planning a 1 MW solar project, the typical savings they will be realizing compared to the grid tariff is around ₹3 (~$0.033)/kWh. Considering solar energy generation of 1.5 million units annually, the annual savings will be around ₹4.5 million (~$49,686). If the adoption is delayed by six months, the customer loses nearly ₹2.4 million (~$26,499) in savings, which is far greater than the cost savings in case of a reduction in module and other component prices.”
Commenting on the savings for solar plus BESS, he said, “Take the case of the cement industry, automobile industry, or data centers, which run 24&#215;7, they pay ₹15 (~$0.16)/kWh-₹16 (~$0.17)/kWh to procure power. If they use solar plus BESS as an entire replacement for a commercial unit, it is definitely viable. The cost of solar is around ₹3 (~$0.033)/kWh to ₹4 (~$0.044)/kWh, and adding another ₹2 (~$0.022)/kWh for BESS saves around ₹10 (~$0.11)/kWh, which is a big number. This explains the growing popularity of solar plus BESS among commercial consumers.”
Another aspect of BESS is the replacement of diesel generator (DG) sets. Traditionally used for backup power during outages or peak demand, DGs incur high operating costs. In contrast, BESS charging from renewable energy or the grid can significantly lower backup power costs.
Makahaniya noted, “When you generate power through DG sets, it costs ₹18 (~$0.19)-₹24 (~$0.27)/kWh. So rather than doing that, consumers can deploy BESS, which is nearly ₹8 (~$0.088)/kWh cheaper than DG sets, which is a big saving.”
“BESS is completely viable if power cuts are very common. If the power cut happens once a month, then the capital cost is too high, and you don’t need to go for it. So, these are the factors that should be looked into before replacing DG sets with BESS,” he added.
At Mercom India’s <a href="https://www.mercomindia.com/event/c-and-i-clean-energy-meet-2026-coimbatore" target="_blank" rel="noopener">C&amp;I Clean Energy Meet</a> in Coimbatore, experts highlighted that rising electricity tariffs, evolving regulations, and higher savings are making renewable energy a strategic choice for C&amp;I consumers.
The main takeaway was the growing demand for open access and BESS as viable alternatives to rooftop solar for C&amp;I consumers, especially in Tamil Nadu.
Industry experts noted that while storage may not yet deliver immediate returns, it is steadily becoming integral to the energy landscape, driven primarily by the need for grid stability, savings, and greater renewable integration.
For certain segments, particularly high-tariff consumers and diesel-dependent users, BESS is already offering a clear economic advantage. As solar open access expands, storage is fast changing from a future consideration to a necessity in the C&amp;I energy mix.
The next Mercom India C&amp;I Clean Energy Meet event will be <a href="https://www.mercomindia.com/event/c-and-i-clean-energy-meet-2026-bhopal" target="_blank" rel="noopener">held</a> in Bhopal on March 13, 2026.

Solar and Battery Storage Lead C&I Shift Toward Clean Power Procurement

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					</table>Rajasthan had about 2.4 GW of solar open access as of June 2025, making it one of India’s top states, with roughly 9.8% of the country’s total solar capacity. The state also held the largest open access pipeline, around 10.2 GW as of June 2025, mostly standalone solar at ~80%, solar plus storage at ~10%, and solar–wind hybrids at ~9%.
Policy is also pushing for storage as green energy open access projects above 5 MW must include batteries sized for at least two hours of generation or 5% of project capacity. Charge relaxations or exemptions apply when energy is supplied from a storage source. These relaxations refer to waivers or reductions of the grid/open access fees for energy delivered from a storage system.
Deepak Jain, Chief Technical Officer of <a href="https://insolationenergy.in/" target="_blank" rel="noopener">Insolation Energy</a>, attests to Rajasthan’s suitability for open access projects. Strong irradiation, large tracts of non-fertile land suitable for utility-scale plants, and the ability to utilize interstate transmission are contributory factors.
He said that cement, steel, textiles, and ceramics are shifting towards renewables to control costs and achieve long-term stability. Roadblocks remain, including grid upgrades within the state and on the ISTS, lengthy approval cycles, and a shortage of skilled manpower across manufacturing and EPC as deployments scale.
Himanshu Chandrakar, Chief Marketing Officer of <a href="https://altilium.eco/" target="_blank" rel="noopener">Altilium Energie</a>, stated that buyers must first verify that the state has truly implemented green open access for solar energy before checking for eligibility. Under green energy open access, several states now allow 100 kW. Buyers must also assess commercial viability, as the primary objective is to reduce power costs. “Sustainability and economics now go together.”
Implementation is where most C&amp;I consumers weigh capital expenditure (capex) against operating expenditure (opex). Open access is operationally more complex than rooftop, and rules can change fast, so many prefer opex. Buyers must keep practical considerations in mind. For instance, some developers avoid loan-burdened or certain manufacturing profiles. Many insist on a minimum credit rating, and a long list of seven often becomes a shortlist of three serious options.
Next come tariff and term negotiations, bank guarantees and security, and technical readiness checks, including metering, site infrastructure, and the daily monitoring and settlement cadence that differs from rooftop. Structurally, buyers choose among third-party, captive, and group captive insurance options. Rajasthan’s battery rule suggests a shift towards more solar with storage and hybrids. Buyers are also testing creative pairing. For example, a pure-solar PPA with a separately contracted battery may be preferable if the prices are favorable.
Rahul Makahaniya, Chief Marketing Officer of <a href="https://www.soleosenergy.com/" target="_blank" rel="noopener">Soleos Energy</a>, said renewable purchase obligations and related mandates are tightening. In energy-intensive industries, a defined percentage of energy must come from renewable sources. “How you meet this, through captive, third-party, or group captive, is your choice, but compliance isn’t optional. Strategically, it’s like locking electricity on predictable terms for 15–25 years.”
For captive use, with a debt-to-equity ratio of roughly 70% and 30%, the landing cost would be ₹1.75 (~$0.020)–₹2 (~$0.023)/kWh in Rajasthan. Against a typical grid landing cost of ₹8.10 (~$0.091)–₹8.15 (~$0.092)/kWh including demand charges, “you’re saving roughly ₹6 (~$0.068)/kWh.” In a 1 MW example, the annual savings would be approximately ₹18.2 million (~$205,082), depending on the units generated.
For third-party PPAs, buyers often see ₹3 (~$0.034)–₹4 (~$$0.045)/kWh, depending on the tenor and risk, but must also add open-access charges and the cross-subsidy surcharge, which can increase the all-inclusive landed cost. The upside is no capital outlay. “You post the roughly three-month bank guarantee, pay as you go, and the developer carries asset and operational risk. Many buyers invest small amounts per MW, around ₹7 million (~$78,878) for 2 MW, and then secure lower all-in tariffs than those offered through a third-party PPA.
Makhaniya emphasized that PPA clauses make or break the economics. The focus should be on tariff and escalation, banking and scheduling, change-in-law, SLAs tied to availability or CUF, curtailment, termination, security, metering, and settlement timelines. Buyers must understand lock-ins, such as 15-year terms, and offtake obligations, including the risk of paying for shortfalls if demand falls below the contracted energy level.
These opportunities were <a href="https://www.mercomindia.com/event/c-and-i-clean-energy-meet-2025-jaipur" target="_blank" rel="noopener">deliberated</a> in detail at Mercom’s C&amp;I Clean Energy Meet in Jaipur recently.
Jain said adopters report significant savings compared to grid tariffs and value price certainty. ESG reporting becomes simpler, and export competitiveness improves as global buyers increasingly prefer suppliers that use renewable energy. Challenges remain, especially in predictable policy, faster approvals, and skills development.
On timing, he argued that both cost and technology favor an early move. “We started way back around 2011 at ₹180 (~$2.03 million) –₹185 million (~$$2.08 million)/MW, and today installed costs are roughly ₹25 million (~$281,705) –₹35 million ($394,388)/MW depending on components and site.” Technology has also moved. “Module efficiencies have moved beyond 22%, and with TOPCon/HJT and tandem approaches, more than 25% at the module level is plausible,” which boosts yields and long-term economics. “Locking 15–25 years of power-price stability is hard to replicate with any other input.”
Looking ahead, Chandrakar said contracts are being signed in Rajasthan. “In the next year, more than 1,000 MW of PPAs could be signed,” and over the next two to three years, contracted capacity in Rajasthan could move toward ~3,000 MW as the market expands from obvious early adopters to a broader C&amp;I base.
On storage, Makahaniya described Rajasthan’s policy as one of the most aggressive for open access and said interest is rising. He mentioned tenders or interests discussed in 1,000–2,000 MW chunks. Sizing depends on the use case, load shape, price spreads, and grid constraints, so storage can shift solar generation from non-peak to peak periods.
He pointed to peak windows such as 06:00–10:00 and 18:00–22:00 and noted that some rules may not allow banking during peak times. Storage enables buyers to match their supply to their working patterns and capture peak-price arbitrage. Policy incentives, such as charge relaxations or exemptions for storage-backed supply, improve viability even though batteries increase capital expenditure.

Rajasthan Well Suited for Green Energy Open Access Projects

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					</table>Despite growing demand from energy-intensive industrial sectors, solar open access projects are not seeing much traction in Telangana due to a lack of policy clarity.
Open access developers say that consumers can save up to ₹5 (~$0.06)/kWh under the captive model, while under the third-party open access model, the savings could be about ₹1 (~$0.01)/kWh.
At a recent Mercom India <a href="https://www.mercomindia.com/event/c-and-i-clean-energy-meet-2025-hyderabad" target="_blank" rel="noopener">C&amp;I Clean Energy Meet</a> session titled ‘Clean Power Purchase – Switching To Renewable Energy And Optimizing Savings’ in Hyderabad, project developers discussed the reasons for lower adoption, the viability of different types of open access models, and the feasibility of adding battery energy storage with solar.
Developers claim that policy uncertainty has led to a significant disparity in the market for green energy open access in Telangana and Andhra Pradesh.
Yogish HN, Vice President at <a href="https://enerparc.in/" target="_blank" rel="noopener">Enerparc Energy,</a> said Telangana has added only 16 MW of open access in the last two years due to policy uncertainty. “On the other hand, Andhra Pradesh has added around 500 MW to 600 MW of solar projects.”
He added that Telangana’s new clean energy policy has drawn considerable interest from consumers and developers, but high cross-subsidy charges and banking costs continue to affect consumers.
Yogish stated that in Telangana, there is a growing demand from the IT sector, data centers, pharma, food, and textiles. However, developers like Enerparc are in a “wait and watch” mode due to policy uncertainty.
He added that executing captive or group captive projects is also a challenge in Telangana. Applications for such projects are being received, but approvals are delayed. “Utilities see open access projects as competition. Currently, rooftop solar is the only immediate option, or consumers can buy renewable energy certificates to go green,” said Yogish.
According to Rahul Makahaniya, Chief Marketing Officer at <a href="https://www.soleosenergy.com/" target="_blank" rel="noopener">Soleos Solar Energy</a>, out of 100 customers, 60 choose green energy open access for cost savings, and 30 due to regulatory pressures, such as renewable purchase obligations. “However, 10% choose solar because their customers demand it.”
Panelists said that the new clean energy policy from Telangana will mandate 35% to 40% of power procurement from renewable sources.
Load Profiling
Vikram Malkotia, Vice President (Project Development and C&amp;I) at <a href="https://upcrenewables.com/" target="_blank" rel="noopener">UPC Renewables India</a>, said consumers must understand the open access market, want competitive renewable energy, and be willing to navigate regulatory hurdles.
Explaining the process of setting up a green open access project, Malkotia said the process starts with load profiling. “We ideally ask a 15-minute load profile, but at least they must have a time-of-the-day-based load profile.”
The threshold for qualifying for green energy open access is above 100 kW. He added that to opt for open access, consumers need to decide the tenure of power procurement, ranging from short-term, five-year, and 25-year, and select the project model.
Panelists said that Telangana consumers prefer rooftop solar because net metering is allowed up to 1 MW, making it easy to invest in. If demand is higher, consumers opt for behind-the-meter projects, which allow them to consume locally but not export to the grid.
Yogish added that Enerparc analyzes the load profile of 15-minute slots over the last 12 months and suggests the optimal mix.
Savings 
Consumers can save on power costs by gaining a lower landed cost against an average grid tariff of ₹8 (~$0.09)/kWh.
Makahaniya said that the savings would depend on the type of open access model. “For captive projects, consumers can save up to ₹5 (~$0.06)/kWh.” The payback for such projects ranges between two and a half to three years.
He added that under the group captive model, consumers can procure power at a landed cost of ₹4.75 (~$0.05)/kWh with savings ranging from ₹3 (~$0.03)/kWh to ₹3.5 (~$0.04)/kWh.
While the group captive projects mandate a cumulative equity investment of up to 26%, developers say that consumers can expect a return on investment within 12 months.
He explained that under the third-party open access model, consumers can obtain power at a landed tariff of ₹6.5 (~$0.07)/kWh to ₹7 (~$0.08)/kWh, providing a saving of ₹1 (~$0.01)/kWh.
BESS Viability
Bundling of battery energy storage systems (BESS) is not viable in Telangana, and the market needs to wait for large-scale deployment.
Makahaniya said that the batteries become viable when there is a policy constraint for power banking. “In Telangana, banking is allowed up to 30% with an 8% banking charge. The battery will only be viable when the costs go down.”
“Currently, if you add a BESS to an existing solar project, it adds ₹2.5 (~$0.03)/kWh to ₹3.5 (~$0.04)/kWh to the project.”
Makahaniya said BESS is currently viable in the C&amp;I sector, particularly with a high nighttime tariff.
To draw more consumers to go green, Mercom India hosts a multicity ‘C&amp;I Clean Energy Meet’ series designed to provide C&amp;I energy buyers with the knowledge and tools they need to adopt clean energy solutions and lower their power costs. The next Clean Energy Meet event will be held in <a href="https://www.mercomindia.com/event/c-and-i-clean-energy-meet-2025-jaipur" target="_blank" rel="noopener">Jaipur</a> on September 19, 2025.

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