Daily News Wrap-Up: GST Reduction on Rooftop Solar Cuts Payback Period
Rajasthan High Court stays imposition of anti-dumping duties on solar imports
December 31, 2025
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With the government reducing the Goods and Services Tax (GST) on several rooftop solar system components, installation costs under the PM Surya Ghar: Muft Bijli Yojana have declined by up to 10%, according to industry sources. In September 2025, the Ministry of Finance reduced the GST rate on high-value system components such as solar modules, cells, and inverters.
The Rajasthan High Court issued a temporary stay order on the Directorate General of Trade Remedies’ (DGTR) recommendation of imposing anti-dumping duties on imports of solar cells and modules. The High Court issued the stay order following a joint petition filed by the Rajasthan Solar Association and Pratapgarh Solar Developers, opposing the DGTR’s recommendation for imposing anti-dumping duties on imports of solar cells and modules.
Textile company Sangam India awarded an engineering, procurement, and construction contract to IB Vogt Solar India to set up a 27 MW solar power project in Sangarh Village, Jaisalmer district, Rajasthan. The project, which allows a ±5% variation in installed capacity, is intended to increase the company’s captive renewable energy consumption and lower power costs.
Utility-scale solar installations continue to expand rapidly, driven by supportive government policies, competitive tariffs, and growing demand for clean energy. A few states account for the majority of installed capacity, benefiting from abundant solar resources, availability of land, and robust transmission infrastructure, making them key contributors to the country’s utility-scale solar growth. India added 21.7 GW of utility-scale solar in the first nine months of 2025, according to Mercom India Research.
In 2025, Mercom India published significant stories on the renewable energy sector, spanning rooftop solar markets, trade actions reshaping solar manufacturing economics, grid reliability concerns, tax reforms, and investments in clean energy manufacturing and transmission.
Solar power adoption in India’s commercial and industrial sector is accelerating as companies seek to manage rising electricity costs, meet sustainability targets, and ensure long-term energy security. One such company is Honeywell Industrial Automation, which has installed a 332.30 kW rooftop solar system at its facility in Dehradun.
The Central Electricity Regulatory Commission (CERC) dismissed a petition filed by SJVN seeking approval to allot 316 MW of unallocated renewable energy capacity under the greenshoe option in a firm-and-dispatchable renewable energy tender. The Commission concluded that neither the Ministry of Power’s competitive bidding guidelines nor the tender documents provided any mechanism for allocating residual capacity under the greenshoe option after completion of the bidding process.
The CERC approved tariffs ranging from ₹2.56 (~$0.028)/kWh to ₹2.57 (~$0.029)/kWh discovered at NHPC’s auction for setting up 1,200 MW interstate transmission system-connected solar projects. For the additional 1.2 GW under the greenshoe option, ₹2.56 (~$0.028)/kWh was approved only for 800 MW of capacity.
West Bengal Electricity Regulatory Commission approved a power sale agreement between the Damodar Valley Corporation and NHPC for procuring firm-and-dispatchable renewable energy from ACME Solar Holding’s 250 MW solar project coupled with a 250 MW/1,150 MWh battery energy storage system (BESS).
The Bihar Electricity Regulatory Commission released a draft tariff order proposing generic levelised tariffs for electricity generated from select renewable energy sources for the financial year 2025-26. Biomass gasifier-based power projects have been assigned a tariff of around ₹9.49 (~$0.106)/kWh, compared to ₹9.12 (~$0.102)/kWh in the previous year.
Gujarat Urja Vikas Nigam invited bids to set up 335 MW/670 MWh of standalone BESS in Gujarat (Phase VIII). Bids must be submitted by January 22, 2026. Bids will be opened on January 28. The scope of work includes the design, financing, supply, installation, testing, commissioning, operation, and maintenance of a standalone, utility-scale BESS. The minimum bid size is 130 MWh (65 MW x 2 hours).
Ahmedabad-based integrated power transmission equipment manufacturer Diamond Power Infrastructure received a letter of intent from Hild Projects, a solar engineering, procurement, and construction contractor, for the supply of power cables. The total value of the order stands at ₹661.8 million (~$7.35 million). The order is scheduled for execution between January 1, 2026, and June 30, 2026.
Solar module manufacturer GREW Solar secured a contract valued at over ₹20.28 billion (~$225.82 million) from NTPC Renewable Energy (NREL) to supply high-efficiency solar modules with an approximate capacity of 1,464.5 MW for power projects across Uttar Pradesh. Grew Solar secured the order after winning NREL’s auction for the supply of crystalline bifacial modules for its upcoming solar projects in Lalitpur and Chitrakoot districts of Uttar Pradesh, with a total capacity of 1,000 MW.
Waaree Power, a wholly owned subsidiary of Waaree Energies, commissioned two 1.52 GW solar inverter manufacturing lines, totalling 3.05 GW, at its facility in Sarodhi-Valsad, Gujarat. The company will manufacture single-phase and three-phase on-grid inverters. According to the Mercom India Solar Market Leaderboard 2025, string inverters captured a larger market share than central inverters during the year.
Solar energy solutions GRE Renew Enertech received an in-principle approval from BSE for its proposed initial public offering (IPO). The company proposes to issue up to 3,768,000 equity shares of face value of ₹10 (~$0.11) in the IPO. GRE plans to utilize a portion of the IPO proceeds to develop a 7.2 MW ground-mounted solar power project under the renewable energy service company model.
