Residential rooftop solar capacity could increase by approximately 60% by the end of financial year 2022-23 as compared to the last fiscal.
This could be due to an increase in consumer awareness and “strong government support”, which includes a new direct benefit transfer mechanism that ensures that consumers will receive subsidies easier and faster.
Currently, the demand comes from only very few states. India’s residential rooftop installations will, therefore, increase only if the demand rises in more states over this time.
India submitted to the United Nations Framework Convention on Climate Change under the Paris Agreement of 2015; India has promised to achieve about 50% of cumulative electric power installed capacity from non-fossil fuel-based energy resources by 2030. Generating more solar power – often touted as a clean and green source of power – is a critical component of this transition.
Utility-scale solar – such as large commercial parks – rules the roost when it comes to solar power in India. In Jharkhand, for instance, 3,000 megawatts (MW) out of the total deployed 4,000 MW is utility-scale. As per one estimate, India has added more than 50 gigawatts (GW) of utility-scale solar capacity as of August 2022.
The deployment of rooftop solar, though an important component of India’s solar target, has lagged. Moreover, rooftop solar installations lean more towards industrial and commercial projects than residential solar.