The solar energy segment set a new record in 2024 with an annual capacity addition of 25 GW. This contributed significantly to the renewable energy sector’s total capacity addition of 28 GW during the calendar year.

The new capacity addition in the renewable energy sector grew by about 21 per cent to 162 GW as of December 31, 2024 against 134 GW as of December 31, 2023.

The solar power segment’s total installed capacity surged to 98 GW in 2024, a significant increase from 73 GW the previous year. Of this, ground-mounted capacity accounted for 75 GW, up from 57 GW in 2023.

Rooftop solar segment

The rooftop solar segment contributed 16 GW, compared to 11 GW in 2023. Hybrid projects added 2.77 GW, a marginal rise from 2.75 GW the year before, while the remaining capacity came from off-grid solar installations, according to data from the Union Ministry of New and Renewable Energy.

In December 2024 alone, 6,286 MW of renewable energy capacities were allocated to various developers. Additionally, Coal India awarded a 300 MW EPC tender to KPI Green Energy, according to a report by JMK Research.

India’s solar pipeline continues to expand, with 84.19 GW of solar capacity under implementation and 50.83 GW already tendered, bringing the total pipeline to an impressive 232.88 GW.

Critical challenges

However, despite record-breaking performance in 2024, the solar energy sector faces critical challenges that could hamper growth. Grid connectivity issues, limited land availability, and supply chain constraints are already slowing progress. Experts warn that without significant improvements in transmission infrastructure and streamlined access to land, solar growth may fall short of meeting the ambitious 2030 targets.

Meanwhile, the wind power sector’s cumulative capacity reached 48 GW as of December 31, 2024, an increase from 45 GW at the end of 2023. This growth underscores the continued importance of wind energy alongside solar in India’s renewable energy journey.