India Adds Over 26 GW Solar Capacity In H1 2026 As Industry Eyes ALMM Impact In Second Half

India’s solar sector delivered an impressive performance during the first half of 2026, reinforcing its position as the driving force behind the country’s renewable energy transition. According to the latest Ministry of New and Renewable Energy (MNRE) data, India’s installed solar photovoltaic (PV) capacity crossed 162 GW by the end of June 2026. Solar now contributes more than 68.5% of the country’s total renewable energy capacity, excluding large hydro, highlighting its growing importance in meeting India’s clean energy and electricity demand.

The biggest highlight of the year has been the pace of capacity addition. India installed more than 26 GW of new solar capacity during the first six months of 2026, making it one of the strongest first-half performances ever recorded by the sector. Around 5.105 GW was commissioned in June alone, reflecting improved project execution, faster construction timelines, and continued investor confidence. With nearly 26.34 GW already installed in just six months, the industry is on track for one of its best years if the current momentum continues.

The country’s overall renewable energy capacity, excluding large hydro, has now exceeded 236 GW. Solar and wind together account for more than 219.59 GW, representing nearly 93% of the renewable energy portfolio. Ground-mounted solar projects remain the largest contributor with more than 121 GW of installed capacity, while rooftop solar has crossed 30 GW, supported by increasing adoption by residential, commercial, and industrial consumers. Hybrid renewable projects and off-grid solar systems are also expanding steadily across the country.

While the first half of 2026 has been exceptionally strong, the second half will be closely watched by the industry. One of the key factors will be the impact of the latest Approved List of Models and Manufacturers (ALMM) policy measures. As developers increasingly move towards projects that fully comply with ALMM-listed solar modules, the industry will gain a clearer understanding of how the policy influences project execution, procurement timelines, and commissioning schedules. It will be particularly interesting to see how projects are commissioned using ALMM-compliant modules and how the supply chain responds to the new requirements.

Several external factors could also influence installations during the remainder of the year. Ongoing geopolitical tensions in the Middle East, fluctuations in global logistics, depreciation of the Indian rupee, and continued oversupply from Chinese manufacturers could all affect module pricing and procurement decisions. Although these factors may create short-term challenges for developers, supportive government policies such as the Production Linked Incentive (PLI) scheme and ALMM continue to encourage domestic manufacturing and strengthen India’s solar supply chain. As a result, the second half of 2026 remains a wait-and-watch period, with the industry’s ability to sustain its record installation pace likely to depend on how effectively developers navigate these evolving market and policy conditions.