Harnessing the Sun: How solar power is leading India towards its 500GW green goal

5,000 crore, targets floating solar projects on water bodies like reservoirs, aiming for an initial 5GW capacity.

Additionally, the PM Surya Ghar scheme incorporates a Domestic Content Requirement (DCR) policy, stipulating that panels used under subsidised programmes must be manufactured in India.

HOME-GROWN

The national solar expansion has stimulated the domestic entrepreneurial ecosystem in two primary ways: catalysing local manufacturing and creating new employment streams.

“We have achieved near self-sufficiency in solar modules, which we previously imported in large volumes,” said J.V.N. Subramanyam, joint secretary, MNRE. Module imports dropped from $4.2 billion a few years ago to under $1 billion, supported by PLI policies.

“It is a kind of policy support and the overall ecosystem prerogative that the government and the private sector coming together have done. And PLI is just an initial push. Government support was for 48GW while India’s total capacity now is close to 220GW, which means that even outside the PLI, there is a whole lot of a module ecosystem, with module manufacturers exploring opportunities outside.”

EMPIRE OF THE SUN

India’s solar sector currently features both renewable specialists like ReNew Power and Avaada, alongside established conglomerates like Tata Power and Adani Green. On the supply side, numerous manufacturing startups and vendors have emerged nationwide.

“We now have more than 180 solar module manufacturers in the country,” said Subramanyam. Competitive bidding has matured accordingly: early auctions hosted by entities like the Solar Energy Corporation of India (SECI) attracted only two or three bidders, whereas current tenders regularly see 5 to 20 active participants.

“Project bankability and industry confidence have increased significantly,” added Subramanyam. Clean energy investments reflect this trend, with foreign direct investment reaching $3.4 billion last year, according to the Council on Energy, Environment and Water (CEEW), alongside substantial credit expansion from domestic banking institutions.

Beyond capital deployment, the expansion has created new specialised roles—ranging from research engineers and analysts to field technicians and maintenance personnel.

“The sector is driving demand for expertise in cell technology, process engineering, automation, robotics, quality management and materials science,” said Ishver Dholakiya, founder and managing director of Goldi Solar. “On the execution side, demand continues for electrical and mechanical engineers, project managers, EPC specialists, and field service teams. As systems digitise, new roles are opening in energy forecasting, battery management and asset monitoring.”

Commercial and industrial rooftop solarisation—which operates largely without direct subsidies—has similarly expanded through market demand.

“Commercial installations must account for structural and operational parameters of active industrial plants. Our engineering teams prioritise roof structural audits, string configurations and earthing design to ensure long-term structural safety and predictable generation,” said Mayur Misra, director at clean energy startup Corrit.

POWER TUSSLE

Despite growth, structural challenges remain on the path towards India’s Net Zero 2070 target. Notably, despite non-fossil capacity expansion on paper, coal continues to generate more than 70 per cent of India’s operational electricity.

Geographic disparities also persist: solar capacity is concentrated in states like Rajasthan and Gujarat, and wind in Tamil Nadu, whereas demand is distributed nationally. “This geographic concentration requires robust transmission infrastructure, grid balancing and storage options to deliver power reliably,” said Megha Arora, partner at CMS IndusLaw.

The geographical distribution of renewable energy resources underscores the importance of robust transmission infrastructure, grid balancing and energy storage to ensure reliable power supply across regions. Initiatives such as the Green Energy Corridor (GEC) are strengthening transmission networks to facilitate the integration and evacuation of renewable energy from resource-rich states to consumption centres. Complementing these efforts, GEC-III provides for 50GWh of Battery Energy Storage Systems (BESS) to address the variability of renewable generation and enhance grid flexibility. Together, these measures will enable states such as Bihar, Jharkhand and Assam to access a greater share of renewable power through the national grid, supporting a more balanced and reliable clean energy transition.

Foreign dependency for parts and technology still remain a sore point, despite PLI schemes and progress in recent years. “Manufacturing capacity alone does not make an industry self-reliant if the critical technology, components and intellectual property continue to come from overseas,” said Navneet Daga, co-founder & CEO of the homegrown energy management company Zenergize.

“The next step is to deepen the value chain, from cells and modules to power electronics, semiconductor devices, magnetics, control systems, firmware and energy-storage technologies. The objective should not simply be ‘Made in India’, but ‘Designed, engineered and manufactured in India’. That is when self-reliance becomes sustainable rather than being dependent on protection or incentives.”

Then there is storage. Batteries remain expensive despite measures like viability gap funding. “Renewable energy and in particular solar energy offer India a genuine pathway out of discom stress and supply insecurity, but only if paired with adequate storage, transmission capacity, and a diversified, de-risked supply chain,” said Arora.

“With the increasing penetration of renewable energy, tackling variability and maintaining power quality will become increasingly critical,” said Oswald D’Souza, whole-time director & co-founder, CosPower Engineering, an electrical equipment manufacturing company. “Solar and wind generation require greater flexibility in storage and grid operations. India will need a combination of battery energy storage and pumped storage to manage periods of excess renewable generation.”

WHY IT MATTERS

At its core, the energy transition directly impacts daily quality of life and economic productivity.

“India’s per capita power consumption is around 1,400 units. Increasing per capita access directly improves living standards,” said Subramanyam. “Whether enabling additional lighting for students or allowing households to run cooling appliances without prohibitive utility costs, distributed generation expands access without overloading local utilities.”

“Farmers had to go to fields at night and suffer snakebites, or were unsure when power would be available. But now there is assured power under PM-KUSUM. Almost Rs1.4 lakh crore was spent on agriculture power subsidies and another almost Rs90,000 crore on free electricity given by some state governments,” he said. “The state subsidies can turn from being mere revenue expenditure to a capital expenditure through schemes like PM-KUSUM and PM Surya Ghar.”

LEADING LIGHT

India’s sustainability journey is a work in progress. The country is expected to achieve its net-zero carbon emissions target only by 2070, but the strides it is making in energy conservation and clean energy production could help it stay ahead of the curve.

“India is the only country that has fulfilled all the commitments it made at the COP-21 summit in Paris, and has done so ahead of schedule. This is the strength of Hindustan that I am talking about,” Prime Minister Modi said recently. “On every parameter—non-fossil fuel, solar energy capacity, curbing carbon emissions—India’s performance is today a subject of positive discussion worldwide.”

From the world’s longest hydrogen-powered train, which recently underwent a test run, to plans to triple wind energy capacity and promote bioenergy as a significant energy source, India is making strides in sustainable innovation. Initiatives range from the Surya Sarovar project, which envisages installing solar panels on water bodies such as reservoirs, to promoting cargo movement through inland waterways. “A standard inland vessel running on these waterways carries loads equal to dozens of trucks in one journey. This, too, is greatly helping environmental protection,” Modi explained recently.

Perhaps the strongest testament to India’s progress is its growing role in helping the rest of the world embrace clean energy. India is providing seed funding for the International Solar Alliance’s Africa Fund and will also extend technical and financial assistance for setting up solar farms and grid projects across the continent. “All those opportunities which are getting created over there will create a huge impetus for our manufacturers also to take an exposure over there,” Modi said.

India’s solar odyssey is thus evolving into a mission that extends far beyond its borders, with the potential to accelerate the global transition to clean energy.

From sceptic to believer

By K. Sunil Thomas

SANJEEV, A DELHI-BASED manufacturer of mobile chargers and data cables, has become a solar evangelist. Living in Mukherjee Nagar, he has so far persuaded three of his relatives to install solar panels.

His conversion began soon after the PM Surya Ghar scheme was announced. “I thought, what is the harm in trying,” says Sanjeev.

He installed a 6kW system and soon saw the benefits. His four air-conditioners used to notch up monthly electricity bills of up to Rs11,000 during summer. This year, after switching to solar, it became zero. “I was even feeding excess power back into the grid and getting it adjusted against whatever I drew from the line,” he said.

His next plan? Get his factory also solarised by summer.

Deliverance from diesel

By Sanjay Ahlawat

RAJESH RANA, 56, a farmer from Sohati village in Haryana, owns nearly three acres of farmland. He began helping his parents with farming when he was about 10, learning to start a diesel water pump by manually rotating its heavy mechanism. “I am 56 now. Manually starting the diesel pump had become difficult,” he says.

The turning point came in December 2023, when he saw an advertisement for the Haryana government’s solar water-pump scheme, which offered farmers a 75 per cent subsidy. He applied through a nearby Atal Seva Kendra, submitted his documents and opted for a 3kW solar-powered tubewell pump. After the subsidy, he paid Rs53,960.

The savings have been substantial. “The running cost of watering my fields is now zero,” he says. Earlier, he spent around Rs1,000 a day on diesel to run the pump. Maintenance and repairs incurred additional costs.

The pain and hassle of maintaining a diesel pump are now gone. “With the push of a button, I can start the water pump. I can even operate it through Wi-Fi sitting at home,” he says.

Rana has installed a solar power system for his home as well. The diesel pump is still there as a reminder of his past struggles.