India’s Solar Capacity Growth Slows Down in Q1 2023
India’s Solar Capacity Growth Slows Down in Q1 2023
According to the recently released Q1 2023 India Solar Market Update, India witnessed a decrease in solar capacity growth during the first quarter of the calendar year. The country added 1.9 GW of solar capacity during this period, marking a 30% decline compared to the 2.7 GW installed in the previous quarter of 2022. Furthermore, this figure represents a significant 48% decrease year-over-year in comparison to the 3.6 GW added in Q1 2022.
Out of the total solar installations in Q1 2023, 1.4 GW was attributed to large-scale solar projects, which experienced a 37% decline from the previous quarter and a substantial 56% decline year-over-year. Large-scale solar installations accounted for 74% of the total installations, while rooftop solar made up the remaining 26%.
With the addition of 1.9 GW in Q1 2023, India’s cumulative installed solar capacity has now reached 64.5 GW. However, it is important to note that the growth rate is expected to be lower in 2023 due to delayed commissioning deadlines for several projects, as well as challenges related to land and transmission issues, along with projects facing obstacles in the habitat of the Great Indian Bustard.
As of March 2023, India’s utility-scale project development pipeline consisted of 58 GW, with an additional 58 GW of projects tendered and awaiting auction.
The top states for solar installations in Q1 2023 were Rajasthan and Karnataka, accounting for 42% and 21% of installations, respectively. Gujarat secured the third position with 19% of the total installations.
Renewable energy sources accounted for approximately 41% of India’s power mix in Q1 2023, with solar alone contributing to over 45% of the new power capacity added during the quarter.
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