Last Update
15 May 2025
India’s Solar Park Development Advances Steadily Towards 40 GW Target
The Ministry of New and Renewable Energy (MNRE), Government of India, continues to make significant strides under the Scheme for Development of Solar Parks and Ultra Mega Solar Power Projects. Launched in December 2014, the scheme has seen robust progress with the approval of 55 solar parks across 13 states, aggregating to a capacity of 39,958 MW, as of February 2025. The government has set a target to commission this entire capacity by March 2026.
As of December 2024, a total of 12,306 MW of solar projects have been successfully commissioned, including 1,802 MW in the calendar year 2024 alone, signaling strong momentum towards achieving national renewable energy goals.
Government Support & Leadership by States
Central Financial Assistance (CFA):
To encourage solar park development, the MNRE extends CFA of up to ₹25 lakh per solar park for preparation of Detailed Project Reports (DPRs). Additionally, financial support of ₹20 lakh per MW or 30% of project cost, including grid connectivity, is provided—whichever is lower—upon achieving key project milestones. The initiative is implemented through a collaborative model involving State Governments, Central Public Sector Undertakings (CPSUs), and private developers.
State Contributions:
As of 2023, the government has approved 57 solar parks with a cumulative capacity of 39,385 MW. Rajasthan leads the nation in solar park development, with 10 solar parks totaling 9,018 MW. Other key states include Andhra Pradesh, Karnataka, and Madhya Pradesh, contributing significantly to the national solar landscape.
Private Sector Momentum & Market Dynamics
Commissioned Projects:
Adani Green Energy commissioned a 250 MW solar power project in Andhra Pradesh in March 2025.
NTPC Green Energy Ltd added 75 MW under Lot-4 of IRCON Renewable Power Ltd. in April 2025.
Mergers & Acquisitions:
In a landmark deal, ONGPL (ONGC NTPC Green) signed a share purchase agreement in February 2025 to acquire 100% equity in Ayana Renewable Power for US$ 2.3 Billion, marking one of the largest clean energy acquisitions in India.
Key Investments:
ALTERRA, a global renewable energy investor, has pledged US$100 Million into Evren, an Indian renewable energy firm, to support development of up to 11 GW of solar, wind, and battery energy storage systems (BESS) in Rajasthan and Andhra Pradesh.
Recent Tender & Auction Updates
UPNEDA is currently accepting bids to develop 110 MW of grid-connected PV capacity across two solar parks in Kanpur, Uttar Pradesh. Deadline: May 27, 2025.
The Eastern Command of MES (Shillong zone) has floated tenders for 1,100 kW of rooftop solar installations at Rangapahar Military Station, Nagaland. Deadline: May 22, 2025.
Future Outlook
The solar park scheme is aligned with India’s long-term vision of developing 40 GW of solar power capacity by 2029.
Commissioned Capacity (as of Dec 2024): 12.3 GW
Capacity Under Tendering: 15 GW
Capacity Under Construction: 13 GW
This progress underscores India’s commitment to transitioning to clean energy and building a sustainable future.
For more insights and industry updates, visit: Einfews
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