Q3 2024 MERCOM INDIA SOLAR OPEN ACCESS MARKET REPORT – 4.8 GW INSTALLED IN 9M 2024

In the first nine months (9M) of 2024, India added 4.8 gigawatts (GW) of solar open access capacity, up almost 69% compared to 2.8 GW installed in 9M 2023, according to the Q3 2024 Mercom India Solar Open Access Market Report. The capacity added in the first nine months of 2024 surpassed annual installations witnessed in any of the previous years.

The availability of low-cost solar module inventory, procured before the reimposition of the Approved List of Models & Manufacturers (ALMM) order, fueled capacity additions in the first half of 2024, leading to record installations in 9M 2024.

In the third quarter (Q3) of calendar year (CY) 2024, India added about 1.1 GW of solar open access capacity, a drop of over 36% from 1.7 GW installed in Q2 2024. Installations dropped 6.5% year-over-year (YoY) compared to over 1.1 GW added in Q3 2023.

Capacity additions during Q3 were hampered by delays in several projects, primarily due to limited transmission infrastructure and challenges in land acquisition. Additional factors, such as delays in grid connectivity approvals and the higher costs of ALMM-enlisted Indian modules compared to imported ones, further contributed to the slowdown.

In Q3 2024, Maharashtra led solar open access capacity additions, accounting for nearly 27% of the quarter’s installation. Tamil Nadu and Uttar Pradesh followed, accounting for almost 24% and over 15% of the projects commissioned.

The cumulative installed solar open access capacity stood at 17.8 GW as of September 2024.

Karnataka remained the top state for cumulative installations, accounting for about 29% of solar open access capacity at the end of 9M 2024. Maharashtra and Gujarat ranked second and third, accounting for over 14% and 11% of cumulative installations through the end of Q3 2024.

The pipeline of solar open access projects under development and in the pre-construction phase was 24.1 GW as of September 2024. More than 80% of pipeline projects were located in Rajasthan, Karnataka, Andhra Pradesh, Maharashtra, and Tamil Nadu.

A detailed analysis of the solar open access market, retail electricity tariffs, PPA prices, and open access charges and costs for fifteen states have been covered in the report.

Key Highlights from Mercom’s Q3 2024 India Solar Open Access Market Report

• In 9M 2024, India added 4.8 GW of solar open access capacity, up 69% YoY
• In Q3 2024, 1.1 GW of solar open access was added, down 36% QoQ and 6.5% lower YoY
• Maharashtra led capacity additions, accounting for nearly 27% of solar open access capacity added in Q3 2024
• Tamil Nadu and Uttar Pradesh ranked second and third, contributing to 24% and 15% of the quarter’s installations
• As of September 2024, the cumulative installed solar open access capacity was 17.8 GW
• The pipeline of solar open access projects reached 24.1 GW as of September 2024

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