India’s Solar Capacity Surpasses 164 GW As 2026 Installations Approach 29 GW By July-End

India’s solar sector continued its strong growth trajectory in 2026, strengthening its role as the main driver of the country’s renewable energy expansion. According to the latest figures cited from the Ministry of New and Renewable Energy (MNRE), India’s installed solar PV capacity crossed 164 GW by the end of July 2026. The country added around 2,442.75 MW of solar capacity during July, taking total additions during the first seven months of the year to nearly 28.78 GW.

The strong pace of deployment reflects faster project execution, improving supply chains and continued investor interest in utility-scale renewable energy. Ground-mounted projects remain the largest segment, while rooftop solar is gaining momentum among residential, commercial and industrial consumers. Hybrid renewable projects and off-grid solar installations are also expanding as India seeks to integrate more variable renewable energy into its power system.

The broader renewable energy sector is also approaching a major milestone. As of July 31, 2026, India had 164.59 GW of installed solar capacity, including 122.57 GW of ground-mounted solar, 30.74 GW of grid-connected rooftop solar, 4.77 GW of the solar component of hybrid projects, and 6.51 GW of off-grid solar.

Rooftop solar has emerged as an important growth area. Under the PM Surya Ghar: Muft Bijli Yojana, more than 39.72 lakh rooftop solar systems had been installed, benefiting over 48 lakh households as of July 22, 2026. The government has also highlighted concessional collateral-free financing and higher central financial assistance to accelerate residential adoption.

Policy developments around domestic manufacturing will remain important during the second half of the year. MNRE updated ALMM List-I for solar PV modules on July 6, while the eighth revision of ALMM List-II for solar PV cells was issued on July 22. The ministry has also provided a limited window until December 31, 2026, for certain net-metering and open-access renewable energy projects under the ALMM List-II framework.

These measures are expected to influence module procurement, project scheduling and commissioning decisions. At the same time, global logistics, currency movements, geopolitical uncertainties and international module prices could affect project economics.

With more than 28 GW of solar capacity already added in the first seven months, the remaining period of 2026 will be closely watched. If project execution remains strong and supply-chain challenges are managed effectively, India could record one of its strongest annual solar installation performances, further advancing its long-term clean-energy ambitions.