India’s solar energy sector reached new heights in 2024, adding 25.2 GW of capacity, a 204% increase from 2023.
According to Mercom India’s latest report this marks the largest annual solar capacity addition in the country’s history, pushing total installed capacity to 98.7 GW by the end of the year.
Large-scale solar projects accounted for 87% of the new capacity, with 22 GW installed, a 235% rise from the previous year.
Rajasthan, Gujarat and Maharashtra led installations, contributing 32%, 27%, and 8% respectively. The surge was driven by the commissioning of previously delayed projects and increased open-access solar adoption.
Despite the record growth, challenges remain. Raj Prabhu, CEO of Mercom Capital Group, warned: “India’s solar sector saw record-breaking installations in 2024 but the numbers could have been significantly higher if not for transmission issues and supply chain delays.”
Rising costs from import duties and expensive domestic modules continue to strain developers, with more than 35 GW of annual additions needed to meet India’s 2030 clean energy targets.
Solar accounted for 73% of new power capacity added in 2024, further cementing its role in India’s transition to clean energy.
The year also saw 79.3 GW of large-scale solar tenders, a 39% increase.
