The Indian solar industry in 2024 has demonstrated remarkable resilience and growth, continuing to solidify its position as a global leader in the renewable energy transition. India’s solar capacity surged to over 24.5 GW in 2024, a significant achievement that reinforces the country’s commitment to clean energy. This growth comes at a time when several new policies, key announcements, and market developments have shaped the trajectory of the sector.
One of the most significant policy updates in 2024 was the announcement of the Approved List of Models and Manufacturers (ALMM) for solar cells and modules. This initiative aims to ensure the quality and reliability of solar components used in the country, providing a boost to domestic manufacturing. The policy has also led to a shift towards greater self-reliance, with the government emphasizing the use of domestically produced solar cells and modules through the Domestic Content Requirement (DCR) module. The DCR policy has received a positive response from Indian manufacturers and is expected to further strengthen the local supply chain, enabling the country to reduce its dependence on imported solar equipment.
Another key development was the continuation of the anti-dumping duty on solar glass. The Indian government imposed this duty to protect the domestic solar manufacturing industry from unfair competition and ensure the growth of homegrown businesses. The move has been instrumental in creating a level playing field for Indian solar manufacturers, enabling them to compete effectively and expand their operations.
As India moves towards its renewable energy goals of 500 GW by 2030, the solar industry continues to play a pivotal role. The country’s solar capacity addition has been impressive, with India adding approximately 24.5 GW of solar power capacity in 2024 alone. This milestone is a testament to the nation’s commitment to transitioning towards a clean and sustainable energy future. According to Mr. Udit Garg, Managing Director & CEO of Kundan Green Energy, “The year 2024 has strengthened the proposition of India emerging as an attractive destination for energy transition-related investments.” He further noted that “we saw an advancement of clean energy transitions even as reliance on coal continued to remain high. The year also saw impressive renewable energy capacity addition.”
The solar sector has also seen increased activity in the capital markets, with many companies announcing initial public offerings (IPOs) and getting listed in 2024. These IPOs are a reflection of the growing investor interest in the renewable energy sector, particularly solar power, which continues to offer long-term growth potential. The increased participation of both Indian and foreign investors underscores the confidence in India’s green energy agenda and the government’s supportive policies, which have created a conducive environment for business growth.
As we look ahead to 2025, the solar sector is expected to continue its upward trajectory. According to Mr. Garg, 2025 will be a defining year for India’s domestic carbon strategy, with the activation of the Carbon Credit Trading Scheme (CCTS) and the introduction of the Green Credit Programme (GCP), based on the Mission Lifestyle for Environment (LiFE). These initiatives are expected to further accelerate India’s climate action agenda and drive investments in renewable energy.
Jaspal Singh, Chief Technology Officer at Solidus Techno Power Pvt. Ltd., echoed similar sentiments, noting that “the solar industry in 2024 demonstrated incredible resilience and growth, with India adding approximately 24.5 GW of solar capacity, a testament to the nation’s commitment to renewable energy.” He further added, “As we move into 2025, we anticipate the solar sector to surpass 18 GW in new installations nationwide, driven by increased industrial adoption and supportive policies.”
The growth of solar energy in India is not only driven by policy changes but also by the innovative projects and collaborations that are underway. The country is set to see continued momentum in the solar sector in the coming years, with increased industrial adoption, greater efficiency, and substantial contributions to India’s overall renewable energy goals. The momentum is also expected to fuel the growth of the solar supply chain, both domestically and through strategic international partnerships.
Overall, the year 2024 has been a watershed moment for the Indian solar industry, with policies, market developments, and corporate initiatives aligning to create a positive growth outlook. With significant achievements already on the board and even more ambitious plans for the future, India is well on its way to becoming a global powerhouse in the solar energy sector.
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