Solar power generation in India –

Tracking market facts and growth

momentum from 2018-2023*

Copyright @ eninrac consulting private limited, 2023

India’s solar power installed capacity
growth from FY 2018 to FY 2023*
Understanding the growth trajectory for Solar capacity in Solar Power Installed Capacity in India (MW)
India
Installed capacity
The solar power has seen more than a three-fold jump
growth of 12.78 GW 72018*
on YoY basis 66780
from March 2018 to October 2023 wherein the capacity
grew from 22.34 GW to 72 GW. This growth if averaged out Installed capacity
on an annual basis would be around 9 GW from March 2018 growth of 12.76 GW
53997
to March 2023. Interestingly in the first three of the period on YoY basis
of March 2018 to March 2021 (despite being COVID -19 hit)
saw a growth of nearly 19 GW meaning an average capacity 41236
growth of just above 6.3 GW on annual basis. This, 35607
however, takes a quantum leap in the next couple of years 29097
wherein the cumulative sola installed capacity witnessed a
growth of nearly 25 GW. The capacity growth from March 22346
21 to March 22 was 12.76 GW and from March 22 to March
23 was 12.78 GW, which is slightly better than the last year.
From April 2023 to October 2023 the quantum solar
capacities added stands at 5238 MW and if the capacities
are added at the same rate for the coming half of the FY 24
it is anticipated the overall 10-12 GW shall again be added
on March 23 values of installed capacity. Mar-18 Mar-19 Mar-20 Mar-21 Mar-22 Mar-23 Oct-23

Undoubtedly last year has seen highest capacities being *Solar installed capacity in India as on 31st October 2023.
added to solar power installed base owing to falling tariffs,
more impetus on renewable generation, growth in RE Source: eninrac research & GoI
based C&I open access transaction & dedicated power
transmission corridors etc.
 Growth rate quantum on YoY basis for solar
power capacity additions in India
Month wise Solar Capacity Additions in India
Solar Power Installed Capacity in India & Growth on YoY Basis (MW)
(FY 23 & FY 24) (MW)

2400
2276 2022-23 Installed (MW) 5238 72018
2023-24
Growth (MW) 12784 66780
1614
1511
1341 1329 1336
Growth

1048
754 810 12760 53997
743
591 Growth
465 487
298 268 342
171 237
5629 41236

6510 35607 Growth

Growth
6751 29097
Growth
FY’22 & FY’23 have registered best capacity addition in growth rate for 22346
solar power in India till date. FY’23 saw 12784 MW of capacity addition, Growth
while FY’22 witnessed 12760 MW marginally lower than FY’23 numbers.
On comparing the YoY monthly capacity addition in FY’23 & FY’24 (till
Oct2023), the rate of capacity additions in Apr-Jun quarter for FY’23
observed close 3000 MW of capacity additions, while in FY’24 during
the same quarter the capacity added was merely 3300 MW. Based upon
the quarters growth it was appearing that FY’24 numbers would beat March 2021 March 2023 October
March 2018 March 2019 March 2020 March 2022
the record of FY’23 in terms of solar capacity additions which saw the 2023*
highest one-year growth till date for India. However, the growth
*Solar installed capacity in India as on 31st October 2023.
momentum got seriously impacted in Q2 FY’24, wherein only 1684 MW
was added during the quarter which is nearly half of the capacity i.e. 310
Source: eninrac research & GoI
MW added during the same period in FY’23.
Reasons for registering higher growth in FY 22 &
FY 23
The key factors for higher capacity additions in FY’23 for solar power installed capacity can be attributed to the following

1. Expanding policy support at concurrent levels of faster adoption of solar in both utility scale & distributed solar PV systems – For
instance, states like Uttar Pradesh & Madhya Pradesh have positioned strong policy maps with apt demonstrations of piloting and
scale up of large solar parks/floating solar projects & off grid solar installations

2. Growing energy security concerns – In FY’23 contrary to the historic trends the central government offered more capacities than
financially challenged discoms did and rapid implementation of solar park programme facilitated the ease of land procurement &
grid connection.

3. Power contracts for end of 2022 indicate wholesale electricity prices 2-3 times above 2020 averages which is increasing the
attractiveness of solar PV in the country. Additionally, continued innovation is also expected to reduce the cost further improving
competitiveness even with existing fossil fuel fired plants

4. Announced new PV manufacturing capacities in India & schemes like PLI aided the domestic availability of PV panels and lower cost
of Chinese alternatives owing to surplus capacities of their OEMs serving the improved business case and lower tariffs for Indian
solar developers.

5. Dedicated green transmission corridor availability is ensuring higher capacity additions owing to bigger quantum of projects being
added
 Fresh Solar & Wind Capacities added in Northern
Region from a period Apr-September 2023
In the northern region nearly 1646.2 MW of fresh power generation capacity has been added from a period Apr-Sept’2023. Of this total
capacity nearly 200 MW is the quantum added by new solar energy units located in Rajasthan. Maximum capacity addition of 135 MW
from solar energy during the said period is observed in the month of May’2023 in the northern region.

New Solar Capacities Added in Rajasthan from a period Apr – Sept’2023 by Players

140 128.75
Bikaner
120 03 new solar units added

100 Nearly 200.2 MW of total

Capacity in MW

solar power capacity added

Jodhpur
80 with 06 new units in the 03 new solar units added
62.5 northern region in the state of
60 Rajasthan from Apr-Sept’2023

40 62.5
MW
20 9 137.7
MW Fresh solar energy capacity
locations
0
SBSR Power Cleantech Thar Surya 1 TP Saurya Limited Bikaner Jodhpur

Source: Eninrac, MNRE

 Fresh Solar & Wind Capacities added in Western
Region from a period Apr-September 2023
In the western region nearly 1709 MW of fresh power generation capacity has been added from a period Apr-Sept’2023. Of this total
capacity nearly 1009 MW is the quantum added by new solar & wind energy units located in Gujarat & Madhya Pradesh. Maximum
capacity addition of 655 MW from wind energy is observed in the state of Gujarat, of which 225 MW is added in the month of
May’2023.

New Solar & Wind Energy Capacities Added in Western Region from a period
Apr – Sept’2023 by States

Nearly 1009 MW of total RE power

capacity added with 36 new units in the
800
western region from Apr-Sept’2023,
33.5
spread across Gujarat, Madhya Pradesh Kutch Mandsaur
~ 336 MW added
600 & Chhattisgarh
Wind
Capacity in MW

Khandwa
Solar Player wise new capacities added for wind in Gujarat (MW)
Ranchi
400 Players Capacity Added (MW) Dwarka
655 ~ 197 MW added
250 Adani 128.5 Bhuj
~ 121.5 MW added
CLP 138.2 Fresh wind energy capacity
200 locations

50 Alfanar 121.5 Fresh solar energy capacity

20 locations
Sitac Kabini 45.9
0
Gujarat Madhya Pradesh Chattisgarh Srijan Energy Private Systems 81
Torrent 101.5
Continuum 38
Source: Eninrac, MNRE
 Fresh Solar & Wind Capacities added in Southern
Region from a period Apr-September 2023
In the southern region nearly 226 MW of fresh power generation capacity has been added from a period Apr-Sept’2023, and were all from wind
energy generation. Of this total capacity nearly 83 MW was added in Apr’2023, while an addition of 62 MW was observed in May’2023.

New Wind Energy Capacities Added in Southern Region from a period

Apr – Sept’2023

250

194.4 31.5
200 MW
Capacity in MW

150
194.4
MW
100
JSW Ostro
Fresh wind energy capacity
Nearly 225.9 MW of total wind locations
50 31.5
power capacity added with 08 new Bellary
units in the southern region from 01 new wind energy
units added
0 Apr-Sept’2023, spread across the
Karnataka Tamil Nadu state of Tamil Nadu & Karnataka Tuticorin
07 new wind energy units
added
Source: Eninrac, MNRE
 infographic story
by eninrac

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Copyright @ eninrac consulting private limited, 2023