India could potentially add 45 GW of corporate renewables by 2027

From pv magazine India

Bridge to India says corporate renewables deployment will likely grow by 22% per year over the next few years, reaching 45 GW by 2027. Open-access PV and rooftop solar will remain the dominant sources of renewable power for corporate consumers.

“Renewable energy certificates (RECs) have had a complex trading history because of frequent and unclear regulatory provisions. Further, corporates are not keen to incur extra costs for renewable power obligation (RPO) compliance,” said Bridge to India. “Green power trading on the exchange commenced in August 2020 but the volumes are very small due to limited availability of untied capacity.”

The report estimates that India had installed 16,099 MW of overall renewables capacity for offtake through open access and 8,269 MW of commercial and industrial rooftop solar as of September 2022.

Open access is a mechanism under which consumers can buy electricity directly from power producers, rather than electricity distribution companies (discoms).

“Utility-scale private-sector developers are bullish on the open-access market primarily to diversify offtake risk away from state discoms,” said Bridge to India. “Most of them have exited the rooftop solar business due to small scale and intensive management effort.”

Bridge to India expect the new renewable additions for corporate offtake to remain geographically concentrated.

“Maharashtra, Tamil Nadu, and Karnataka remain the most attractive markets. Under-penetrated markets in Uttar Pradesh, Gujarat, Odisha, and Chhattisgarh are also expected to see more growth,” it said. “Other states like Haryana, Andhra Pradesh, Telangana, and Punjab with a history of regressive policy actions are expected to see limited growth but could open up with favorable policies.”