India installed 1.6 GW of rooftop solar in 2022


From pv magazine India

India installed 1.6 GW of rooftop solar in 2022, down almost 6% year on year, according to Mercom India’s latest market report.

It said that about 42% of installations throughout the year were in the industrial segment. The residential, commercial, and government segments respectively accounted for 32%, 25%, and 1% of the total new capacity additions.

Mercom India said cumulative rooftop solar installations reached almost 8.8 GW as of Dec. 31, 2022. Gujarat topped the installed capacity with a 24% share of cumulative solar rooftop installations, followed by Maharashtra at 14% and Rajasthan at 9%. 

“[The year] was a lost opportunity for the rooftop solar market in India, affected by policy challenges restricting supply and impacting the cost of modules,” said Raj Prabhu, CEO of Mercom Capital Group. “Despite the hurdles, installations were almost on pace with the previous year. Strong fundamentals continued to drive installations in the commercial and industrial segments. We expect growth to resume in 2023 as pricing and supply challenges moderate.”

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The imposition of the basic customs duty (BCD) and the Approved List of Models and Manufacturers (ALMM) mandate for rooftop solar projects added to the volatility in solar module prices and supplies in India.

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“Installations may have been higher if project costs hadn’t surged after the BCD and if installers had clarity about grid-connected rooftop solar projects requiring ALMM-enlisted modules,” said Mercom India.

There were 483 MW of rooftop solar additions in the October-December 2022 period. About 56% of that was in the residential segment, while 43% was in the commercial and industrial space, said the research firm.

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