India Added 18 GW Of Photo voltaic Energy Capability In The First Half Of 2025

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Mercom India Analysis launched its Q2 2025 India Photo voltaic Market Replace Report on the finish of August. I used to be happy to have the ability to submit some inquiries to dig into how India is increasing its solar energy capability. With a human inhabitants of about 1.45 billion individuals, India’s enlargement of unpolluted, renewable electrical energy is clearly fairly vital to maneuver towards much less local weather change and poisonous air air pollution emissions from fossil fuels.

Word that local weather change impacts in India are already inflicting individuals to have to maneuver. “In accordance with GRID 2024, floods alone triggered two-thirds of India’s disaster-related displacements final yr—the best degree since 2012. Cyclones brought on one other 1.6 million. Assam accounted for almost half of those actions, pushed by intensifying floods, deforestation, and decaying water infrastructure.” So, the nation is raring to do its half to cease world heating.

Raj Prabhu, CEO of Mercom Capital Group, answered some questions in regards to the nation’s solar energy progress this yr.

India added 11.3 GW of photo voltaic capability in Q2 2025. How was that achieved? How a lot of a rise was that quarter over quarter?

India added 11.3 GW of photo voltaic capability in Q2 2025 in comparison with round 6.8 GW in Q1 2025, marking a 66.9% quarter-over-quarter improve. The surge was largely pushed by policy-linked commissioning deadlines and the increase in rooftop photo voltaic installations. A number of utility-scale initiatives that had been delayed in earlier quarters had been lastly accomplished and commissioned throughout this era, including important capability. Builders additionally expedited commissioning, together with partial completions, to safe the Interstate Transmission System prices waiver that’s set to run out on June 30, 2026. As well as, the PM Surya Ghar Muft Bijli Yojana gave a robust push to rooftop photo voltaic adoption, contributing meaningfully to the general capability progress for the quarter.

Photo voltaic accounted for 64% of recent energy capability additions in Q2 2025. Was it about the identical within the earlier quarter?

Photo voltaic accounted for 64 % of recent energy capability additions in Q2 2025. This was increased than the earlier quarter when photo voltaic made up 54.2 % of recent capability additions.

With all the brand new solar energy being added, is a few coal energy being eradicated?

Whereas India continues so as to add photo voltaic and different renewables, coal’s share within the power combine is starting to edge downward. In Q1 2025, India’s put in coal capability stood at 215.2 GW, which diminished barely to 214.7 GW in Q2 2025. Coal’s share within the general energy combine fell by 1.2 % in Q2 2025 in comparison with Q1, pushed by the speedy improve in renewable era, significantly photo voltaic, which is increasing sooner than coal demand. The discount is modest however indicators a constant shift. As renewables, significantly photo voltaic and wind, proceed to develop, coal’s relative significance in India’s era combine is anticipated to say no over time.

India’s cumulative put in photo voltaic capability stood at 116.4 GW as of June 2025. Are you expediting this complete to extend within the subsequent 5 years, and in that case, how a lot?

India’s cumulative put in photo voltaic capability stood at 116.4 GW as of June 2025, and the trajectory over the following 5 years factors to a major ramp-up. Present forecasts venture capability to succeed in 127 GW by the top of 2025, 166 GW by 2026, 207 GW by 2027, 249 GW by 2028, and 292 GW by 2029. The momentum is already evident, with Q2 2025 alone including greater than 11 GW, one of many strongest quarters on document.

That stated, sustaining this tempo is not going to be with out challenges. Builders proceed to face shortages of DCR-compliant modules, together with transmission and substation bottlenecks and delays in signing energy buy agreements. On the similar time, the market is shifting towards storage, round the clock, and hybrid initiatives to strengthen grid stability and deal with curtailment dangers. Until home manufacturing capability expands additional and coverage interventions preserve tempo with the size of installations, future additions will come beneath stress and will lag behind the bold pipeline.

India’s large-scale photo voltaic venture pipeline stood at nearly 191 GW. Is there a timeline for when all this new photo voltaic is likely to be put in?

India’s large-scale photo voltaic venture pipeline of almost 191 GW supplies robust venture visibility and reinforces the nation’s pathway to reaching its 280 GW photo voltaic goal by 2030. With 18 GW already added within the first half of 2025, cumulative photo voltaic capability has reached 116.4 GW, and regular additions of round 30 GW yearly will preserve India on observe. Close to-term progress will proceed to be pushed by giant utility-scale photo voltaic initiatives that may usually be delivered inside 15 to 18 months, whereas the growing share of hybrids, round the clock, and storage-backed initiatives highlights a shift towards extra dependable and grid-friendly energy. With constant coverage assist, well timed signing of PPAs, transmission readiness, and enlargement of home manufacturing, the 191 GW pipeline positions India for a phased however robust build-out to satisfy its photo voltaic goal by 2030.

For the extra 131 GW of initiatives tendered and pending public sale, is all of that 131 GW anticipated to maneuver to the set up part and be accomplished?

Not all the 131 GW of initiatives tendered and pending public sale are anticipated to maneuver into the set up part and attain completion. The pipeline consists of growth initiatives, EPC initiatives, and energy buy initiatives. Primarily based on previous tendencies, solely about 75 to 80 % of the full pipeline, or roughly 100 GW, is anticipated to maneuver ahead. The rest will possible face setbacks, rebidding, or cancellation.

Does India have a purpose to finally run on solely clear, renewable electrical energy?

Sure, India has a transparent long-term imaginative and prescient of transitioning towards working totally on clear, renewable electrical energy. The nation has set a goal of putting in 500 GW of non-fossil fuel-based electrical energy capability by 2030, together with 280 GW of photo voltaic (each utility-scale and rooftop), 140 GW of onshore wind, 30 GW of offshore wind, and 50 GW of hydropower and biomass. To assist this build-out, India additionally plans so as to add 47 GW of battery storage by 2032, together with selling pumped hydro initiatives to stability variable photo voltaic and wind era and strengthen grid stability.

 An annual tendering plan for FY24 to FY28 requires at the least 40 GW of renewable capability additions every year, primarily photo voltaic and hybrid initiatives, together with 10 GW of standalone wind initiatives. This regular pipeline ensures visibility for builders and buyers whereas preserving the nation aligned with its 2030 goal. Trying additional forward, India has pledged to realize web zero emissions by 2070.