Daily News Wrap-Up: Why Rooftop Solar is Stalling in Southern States

Awarded, tendered battery storage capacity in India reaches 105 GWh

August 20, 2026

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India’s rooftop solar market continues to see consumer interest, but distribution infrastructure and utility-level processes are hindering demand from translating into installations and commissioned projects. The challenge is particularly visible in Karnataka. Installers operating across South India said rooftop solar installations are now constrained more by distribution-side processes than installation activity.

Over 105 GWh of battery energy storage system (BESS) capacity is expected to be in place in India by 2029-30, according to data from the Central Electricity Authority. The 31 awarded projects account for 11,747.3 MW/38,425.2 MWh of BESS capacity. Another 77 projects totaling 19,192.38 MW/67,574.82 MWh are in the tendering stage, as of June 2026.

In an interview with Mercom India, Setul Shah, Managing Director of Mecpower Solutions, discusses the company’s manufacturing plans, the evolving demand for storage solutions, and the challenges that could shape India’s BESS market.

As data center capacity expands in India, operators are increasingly exploring renewable energy to reduce dependence on conventional grid electricity, manage power costs, and lower emissions. A newly constructed data center in Chennai, Tamil Nadu, has integrated a 974 kW building-integrated photovoltaic system into its façade to supplement its round-the-clock electricity consumption with onsite renewable energy.

The Rajasthan Electricity Regulatory Commission proposed levelized fixed costs for Rankine cycle-based biomass power projects commissioned during the financial year (FY) 2025 and levelized generic tariffs ranging from ₹7.75 (~$0.081)/kWh to ₹8.57 (~$0.089)/kWh for projects commissioned or to be commissioned during FY 2026 and FY 2027. The Commission has invited stakeholder feedback by September 11, 2026.

The Andhra Pradesh Electricity Regulatory Commission clarified that consumers installing behind-the-meter rooftop solar systems for captive consumption do not require prior permission, feasibility approval, or line clearance from distribution companies.

Hyderabad, Telangana’s commercial and industrial (C&I) hub, is witnessing growing interest from businesses looking to adopt renewable energy solutions to lower electricity costs and strengthen their sustainability efforts. C&I consumers have a range of procurement models to choose from, such as rooftop solar and open access, which can help reduce dependence on conventional grid power and lower electricity expenses.

PFC Consulting invited bids to establish an intrastate transmission system for the 765 kV grid substation in Rundh Gidawara (Alwar) and the associated transmission system in Rajasthan. The last date to submit bids is October 16, 2026. Bids will be opened on October 28.

SJVN Green Energy invited bids for an engineering, procurement, and construction package, including land, to develop up to 1,000 MW of solar projects in Punjab and Rajasthan. The scope also includes comprehensive operation and maintenance services for five years from the commercial operation date. The last date to submit bids is September 16, 2026. Bids will be opened on the same day.

The Jaipur Vidyut Vitran Nigam invited bids for the design, supply, testing, installation, and commissioning of pilot-based, small-scale, standalone battery energy storage systems totaling 2 MW/4 MWh, along with comprehensive maintenance for 12 years at the distribution transformer level in the Jaipur City Circle, Rajasthan, under the CAPEX mode. The last date to submit bids is September 15, 2026. Bids will be opened on September 17.

The Godavari Marathwada Irrigation Development Corporation invited expressions of interest to develop a 14.3 MW ground-mounted solar project integrated with a BESS in Maharashtra.  The last date to submit bids is September 7, 2026. Bids will be opened the following day.

Independent power producer ReNew Energy Global reported revenue of ₹47.86 billion (~$506 million) for the first quarter of FY 2027, a 16.2% year-over-year increase from ₹41.18 billion (~$435 million). Adjusted earnings before interest, taxes, depreciation, and amortization stood at ₹30.39 billion (~$321 million), up 11.7% year-over-year from ₹27.22 billion (~$288 million).

Translucent Solar, a U.S.-based solar module manufacturer, started ramping up production at its 1.2 GW solar module manufacturing facility in Summerville, South Carolina. The company expects the facility to become fully operational by the end of 2026. Translucent Solar said it invested $15.6 million in the first phase of the module manufacturing facility.

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