After a period of lull, the Indian solar market seems to be well set on its way to experience strong growth over the next several years, thanks to a number of important energy-related policy announcements, including UDAY.
As many as 21 states have so far agreed to set up a total of 27 solar parks with a combined capacity of 18,418 mw. These projects are part of ministry of new and renewable energy (MNRE’s) plan to set up multiple solar parks with individual capacities of 500 mw or above. Besides, there are about 5,500 mw worth of projects due to be auctioned off over the next several months between the NTPC and the Solar Energy Corporation of India (SECI).
Mercom Capital Group, a global clean energy research and consulting firm, in its latest report released on Tuesday said that nearly 2,150 mw in solar installations for 2015 year is likely to come through and expected installations in 2016 to reach nearly 3,645 mw, a significant year-over-year growth.
KPMG in its latest report titled “The Rising Sun-Disruption on the Horizon” also said, “Solar could scale up substantially to be a significant energy source by 2025, with the market penetration of solar power expected to be 5.7 per cent (54 gw) by 2020 and 12.5 per cent (166 gw) by 2025. India aims to reduce emission intensity of its GDP by 33 to 35 per cent by 2030 from 2005 levels and solar power is likely to contribute 4 per cent towards this target.”