Q1 2024 INDIA SOLAR MARKET UPDATE - 10 GW INSTALLED IN Q1 2024

India installed over 10 gigawatts (GW) of solar capacity in the first quarter (Q1) of calendar year (CY) 2024, the highest amount to date for a quarter. Solar capacity additions rose 400% year-over-year (YoY) compared to over 2 GW installed in Q1 2023, according to the Q1 2024 India Solar Market Update Report by Mercom India Research

Solar capacity additions were up 414% compared to nearly 2 GW added in Q4 2023.

Large-scale solar accounted for 9.7 GW, including 1.8 GW of open access solar projects. Solar capacity additions for large-scale projects rose 524% QoQ and 534% YoY.

In Q1 2024, solar project installations surged due to various factors, including the commissioning of projects that were delayed from earlier quarters. Developers capitalized on falling module prices, suspension of the Approved List of Models and Manufacturers (ALMM) order, and grid approvals of solar projects previously hindered by the habitat of the Great Indian Bustard (GIB).

Rajasthan and Gujarat led large-scale solar installations in the quarter, accounting for 38% and 35% of the capacity additions. Madhya Pradesh ranked third, with 8%.

The average cost of large-scale solar projects fell 7% QoQ and 28% YoY, significantly improving the internal rate of return on these projects.

As of March 2024, India’s cumulative installed solar capacity stood at 82 GW.

Rajasthan had the highest cumulative installed large-scale solar capacity, accounting for 29% of the country’s total installations until March 2024. Gujarat and Karnataka followed with 14% each.

India’s large-scale solar project pipeline stood at 143 GW, with another 93 GW of projects tendered and pending auction at the end of Q1 2024.

Key Highlights from Mercom India Research’s Q3 2023 India Solar Market Update:

• India added over 10 GW of solar capacity in Q1 2024, up 414% QoQ and 400% YoY
• Solar accounted for 66% of new power capacity additions in Q1 2024
• Large-scale solar accounted for 96% of the quarterly installations, while rooftop solar contributed the rest
• Rajasthan, Gujarat, and Madhya Pradesh led the quarterly large-scale solar capacity additions
• India’s cumulative installed solar capacity stood at 82 GW as of March 2024.
• India’s large-scale solar project pipeline stood at 143 GW, with another 93 GW of projects tendered and pending auction
• In Q1 2024, tenders totaling 30.7 GW were announced, up 92% QoQ and 122% YoY
• Solar projects amounting to 25 GW were auctioned in Q1 2024, up 229% QoQ and 2,957% YoY

Contact Mercom for pricing: reports@mercomindia.com or call us at +91-080-41211148 or +91-080-23560436.