India’s Solar Capacity Crosses 168 GW As 2026 Installations Near 34.45 GW By August 2026

India’s solar power sector continued its strong growth in 2026, with installed solar PV capacity crossing 168 GW by the end of August, according to the latest figures cited from the Ministry of New and Renewable Energy (MNRE).

The country added around 2,442.75 MW of solar capacity during August, taking total solar capacity additions during the first eight months of 2026 to nearly 34.45 GW. The continued pace of installations reflects faster project execution, improving supply chains and sustained investor interest in renewable energy projects.

Ground-mounted solar projects remained the largest contributor to India’s installed capacity. As of August 31, ground-mounted solar accounted for 123.99 GW. Grid-connected rooftop solar capacity stood at 32.59 GW, while the solar component of hybrid projects reached 4.83 GW. Off-grid solar installations accounted for another 6.63 GW.

Rooftop solar has also become an important area of growth, particularly among residential consumers. Under the PM Surya Ghar: Muft Bijli Yojana, more than 39.72 lakh rooftop solar systems had been installed by July 22, 2026, benefiting over 48 lakh households. The government has introduced higher central financial assistance and concessional collateral-free financing to encourage more households to adopt rooftop solar.

Domestic manufacturing policies are also expected to influence the solar market during the remainder of the year. MNRE’s updated ALMM List-I for solar PV modules included around 217 GW of capacity by August. The ministry also issued the eighth revision of ALMM List-II for solar PV cells on July 22.

MNRE has 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 regulatory measures could influence module procurement, project timelines, and commissioning schedules.

Meanwhile, developers may continue to face challenges from global logistics conditions, currency fluctuations, geopolitical uncertainties and changes in international module prices. These factors could affect project costs and overall investment decisions.

With nearly 34.45 GW of solar capacity added in the first eight months of 2026, India is on track for another strong year of solar deployment. Continued project execution, stable supply chains, and supportive policies will be important for maintaining the momentum and advancing the country’s long-term renewable energy goals.