FCC

India Installs 1.7 GW of Solar Capacity in Q2 2023

2023-09-01

India installed 1.7 GW of solar capacity during the second quarter (Q2) of 2023, a 58% decline year-over-year (YoY), according to Mercom India Research's Q2 2023 India Solar Market Update. On a quarter-over-quarter (Q00) basis, the installations fell by 10%. Priya Sanjay, Managing Director at Mercom India, noted that multiple reasons impacted capacity additions during the quarter. The Ministry of New and Renewable Energy (MNRE) extended commissioning timelines for various solar and solar-wind hybrid projects until March 2024, thrice between December 2022 and June 2023. The module price fluctuations, supply constraints, and uncertainties around the Approved List of Models and Manufacturers (ALMM) added to project delays in Q2 and the first half (1H) of 2023.

Challenges in land acquisition, power evacuation, and power purchase agreement tariff reapproval from state regulatory commissions also contributed to delays.