India’s total installed solar capacity, including rooftop and off-grid projects, has crossed 10 gigawatts (GW), based on Bridge To India, an alternative energy-focused consultancy, and research firm.The country has a target of setting up 100 GW of solar power capacity by 2022.
India is predicted to incorporate new solar capacity of 5.1 GW this season, which is a growth of 137% over this past year, Bridge To India said on Friday. It expects the annual capacity addition of approximately 8-10 GW from next year.
“The pace of sector activity has picked up tremendously within the last a couple of years because of strong government support and increasing price competitiveness of solar energy. India is predicted to be the world’s third-biggest solar market from the coming year onwards after China and the US,” the consultancy said in a statement.
Amongst states, Tamil Nadu has got the highest installed capacity to generate solar power , accompanied by Rajasthan, Andhra Pradesh, Gujarat, Telangana, Madhya Pradesh and Punjab. These seven states collectively account for more than 80% of total installed capacity at the time of mid-November, Bridge To India said.
M&A (mergers and acquisitions) activity within the renewable energy sector, especially in the solar sector, has been on the rise with the entry of global clean energy firms and financial investors, including pension funds and sovereign wealth funds. SoftBank Group, ReNew Power Ventures Pvt. Ltd, First Solar Inc., Tata Power Co. Ltd, Adani Power Ltd, CLP India and Fortum Oyj are among the prominent solar project developers in the country.
India raised its 2022 target of solar power generation by five-fold to 100 GW from an earlier target of 20 GW in the Narendra Modi-led National Democratic Alliance (NDA) government’s efforts to lessen dependence on coal-fuelled electricity.From the planned 100 GW capacity, 40 GW needs to originate from rooftop solar projects and 60 GW from grid-connected solar projects. India crossed 1 GW in total installed rooftop capacity last month.
Lots of rooftop solar power start-ups in India are looking to raise equity funding at any given time when the sector must accelerate capacity expansion, Mint reported on 27 October.The government’s solar park scheme continues to be instrumental in tackling the 2 major hurdles of land power and acquisition evaluation for project development within the sector, Bridge To India said.
“The government originally envisaged developing 20 GW of solar park capacity by 2020, however, the scheme has had an enthusiastic response from the private sector, as well as the government, is already intending to double this capacity to 40,000 megawatts. Further, eight green energy corridors are being built, with financial assistance from German development bank KFW, to evaluate and integrate growing share of renewable energy into the grid.