+
India Adds Record 44.61 GW Solar Capacity in FY2026
POWER & RENEWABLE ENERGY

India Adds Record 44.61 GW Solar Capacity in FY2026

India’s solar sector reached a milestone in FY2026, with cumulative installed capacity crossing 150 GW and annual additions hitting a record 44.61 GW, exceeding the government target of 34 GW and nearly doubling FY2025’s 23.83 GW. Distributed Renewable Energy contributed 16.3 GW, while PPA and C&I segments accounted for 34 per cent and 30 per cent, respectively.

India has risen from 9th globally in 2015 to 3rd in cumulative solar capacity by 2025 and is set to become the world’s second-largest solar market in annual installations in 2026. Seven states, led by Rajasthan and Gujarat, account for roughly 85% of installed capacity, with Maharashtra and Karnataka showing rapid growth.

Manufacturing capacity reached 210 GW for modules and over 9 GW for cells, though utilisation fell to 40% amid older MonoPERC technology transitioning to TOPCon. Exports dropped from USD 1.97 billion in FY2024 to USD 1.12 billion in FY2025, primarily due to US tariffs exceeding 200 per cent, while imports surged to USD 2.72 billion as domestic sourcing rules were phased in.

Investor confidence remains strong, with USD 2.37 billion FDI in 2025, representing 76 per cent  of non-conventional energy inflows. Government initiatives including PM Surya Ghar: Muft Bijli Yojana, the PLI scheme for solar modules, and ALMM List-III are driving capacity expansion and domestic manufacturing integration.

Rubix Data Sciences highlights that while India’s solar achievements are historic, the sector faces challenges including low utilisation, technology transitions, and export dependency. Achieving the 500 GW non-fossil fuel target by 2030 will require consistent 50 GW annual additions, upstream integration, diversified markets, and scaling rooftop solar into a self-sustaining programme.

India’s solar sector reached a milestone in FY2026, with cumulative installed capacity crossing 150 GW and annual additions hitting a record 44.61 GW, exceeding the government target of 34 GW and nearly doubling FY2025’s 23.83 GW. Distributed Renewable Energy contributed 16.3 GW, while PPA and C&I segments accounted for 34 per cent and 30 per cent, respectively.India has risen from 9th globally in 2015 to 3rd in cumulative solar capacity by 2025 and is set to become the world’s second-largest solar market in annual installations in 2026. Seven states, led by Rajasthan and Gujarat, account for roughly 85% of installed capacity, with Maharashtra and Karnataka showing rapid growth.Manufacturing capacity reached 210 GW for modules and over 9 GW for cells, though utilisation fell to 40% amid older MonoPERC technology transitioning to TOPCon. Exports dropped from USD 1.97 billion in FY2024 to USD 1.12 billion in FY2025, primarily due to US tariffs exceeding 200 per cent, while imports surged to USD 2.72 billion as domestic sourcing rules were phased in.Investor confidence remains strong, with USD 2.37 billion FDI in 2025, representing 76 per cent  of non-conventional energy inflows. Government initiatives including PM Surya Ghar: Muft Bijli Yojana, the PLI scheme for solar modules, and ALMM List-III are driving capacity expansion and domestic manufacturing integration.Rubix Data Sciences highlights that while India’s solar achievements are historic, the sector faces challenges including low utilisation, technology transitions, and export dependency. Achieving the 500 GW non-fossil fuel target by 2030 will require consistent 50 GW annual additions, upstream integration, diversified markets, and scaling rooftop solar into a self-sustaining programme.

Related Stories

Gold Stories

Next Story
Products

Interio by Godrej launches modular workplace solutions

Interio by Godrej has launched Workscapes, a modular workplace solutions category designed to help organisations configure and adapt workspaces to changing requirements. The portfolio combines mobile and compatible furniture and support elements that can be rearranged across different work modes without changes to fixed layouts.Workscapes includes Collaboration Tables, Privacy Solutions, Mobile Markerboards and Space Dividers, Power Solutions, Storage and Support Elements, Meeting and Presentation Tools, and Seating Elements. The range is designed for focused work, collaboration, informal disc..

Next Story
Infrastructure Urban

CAFE-III Gives Auto Industry Investment Clarity

The government’s new Corporate Average Fuel Economy (CAFE-III) norms have provided the automobile industry with a clearer framework for technology investments, according to industry representatives. The framework seeks to balance environmental objectives with flexibility for manufacturers while encouraging the adoption of flex-fuel vehicles and biofuels. Society of Indian Automobile Manufacturers (SIAM) President Shenu Agarwal said the five-year framework would give automakers greater predictability to plan investments and accelerate innovation. He said the regulation established annual targ..

Next Story
Infrastructure Energy

Mines Ministry to Auction Two Offshore Mineral Blocks in Andaman Sea

The Ministry of Mines will launch an auction of two offshore mineral blocks in the Andaman Sea on Thursday, seeking to unlock India’s offshore mineral potential and strengthen long-term mineral resource security. The blocks will be offered under a composite licence, which permits exploration and development activities in accordance with the applicable regulatory framework. The ministry said the auction was intended to encourage systematic exploration, attract investment and promote the use of advanced technologies for offshore mineral exploration and development. The initiative is also aimed..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code