New Delhi, March 2025 – India’s solar power sector has achieved a significant milestone, reaching an installed capacity of 100, 1 GW as of January 2025, with an impressive 25.8 GW added in the past year. This represents more than double the growth compared to the previous year. However, despite this rapid expansion, the actual power output from solar energy remains a challenge, highlighting the gap between installed capacity and realized generation.
While India’s solar capacity surged, the average annual power output stood at just 15%, effectively realizing only 3.9 GW of generation between January 2024 and January 2025. In contrast, wind energy with a 3.4 GW addition, demonstrated a slightly higher efficiency with 17% power output, translating to a realized capacity of 544 MW.
Despite notable progress in installation, several factors continue to limit India's solar power efficiency:
Policy & Regulatory Challenges
Financial Constraints & Market Dynamics
Transmission Infrastructure Bottlenecks
Resource Variability & Climate Factors
Shift Towards Hybrid & Storage-Integrated Projects
India’s solar power share in total installed capacity has grown from 15% in 2022 to 20.9% in 2024, while its contribution to total power generation has increased from 5.9% to 7.4% in the same period. Despite challenges, India’s renewable energy sector presents significant opportunities, with a strong push towards energy storage, transmission upgrades, and hybrid projects.
For the latest updates on India's renewable energy policies, visit Omnicore and for in-depth analysis on energy and infrastructure, check Einfews.
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