From pv magazine India
India installed 15.3 GW of solar capacity in the first quarter of 2026, the highest quarterly addition on record and a 143% increase year on year from the 6.3 GW installed in Q1 2025, according to Mercom India's Q1 2026 India Solar Market Update Report.
Large-scale projects accounted for 82% of total quarterly solar installations, with 12.6 GW added in the quarter. Open access projects contributed 21% of large-scale solar capacity additions.
Mercom said record commissioning activity was driven by a combination of approaching policy deadlines and improved transmission readiness in key solar markets. One of the main drivers was the upcoming implementation of Approved List of Models and Manufacturers (ALMM) List-II from June 2026, which prompted developers to accelerate project commissioning under the existing procurement framework amid concerns over limited domestic cell availability and rising module procurement costs.
Installation activity was also supported by stronger execution under the Pradhan Mantri Kisan Urja Suraksha evam Utthaan Mahabhiyan (PM-KUSUM) scheme — India's government solar program targeting farmers and rural communities — along with accelerated commissioning of open access projects ahead of the next phase of Inter-State Transmission System (ISTS) waiver reductions.
“India's solar sector recorded its strongest quarter ever in Q1 2026, driven by accelerated project execution ahead of the June ALMM-II deadline and the reduction in ISTS charge-waiver benefits,” said Raj Prabhu, CEO of Mercom Capital Group. “However, transmission bottlenecks could still play the spoiler in what is expected to be a record year for solar installations. While project execution and commissioning activity remain strong, transmission readiness and evacuation infrastructure are struggling to keep pace with the rapid growth in renewable capacity. As renewable penetration increases, curtailment, grid flexibility, and storage integration are becoming critical to sustaining future growth.”
As of March 2026, India's cumulative installed solar capacity stood at 152 GW, with large-scale projects accounting for 85% and rooftop solar 15%. Solar energy accounted for 28% of India's total installed power capacity and 55% of total installed renewable energy capacity.
Rajasthan had the highest cumulative installed large-scale solar capacity at 32% of total PV installations, followed by Gujarat at 21% and Karnataka at 11%. In the first quarter of 2026, Gujarat and Rajasthan led quarterly large-scale additions with approximately 40% and 39% of capacity additions respectively. Maharashtra ranked third with 6%.
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