India: Newly installed solar capacity exceeds 3GW in the third quarter

    India added 3,316 MW of new non-hydro renewable energy capacity from solar, wind, biomass and other renewables Home Solar Electric System in the third quarter of fiscal 2021-22, a 73% increase from 1,914 MW in the same period last year. However, new non-hydro renewable energy capacity fell by 27% compared to the previous quarter due to intensified supply chain constraints.

    Of this, solar added 3,072 MW, accounting for 93% of total renewable capacity additions during the quarter, driven in part by a 142% increase in rooftop solar installations to 700 MW.

    According to a CEEW-CEF research report, rising raw material costs and supply chain constraints have led to an increase in the cost of solar photovoltaic modules. Although the price of photovoltaic modules has risen by 40% last year, reaching a peak of Rs 21/W at one point, new production capacity is still rising. trend.

    Gagan Sidhu, director of CEEW-CEF, said the addition of new renewable energy capacity in Q3FY22 is in line with the government's vision for sustainable growth in the coming years and the direction of development that emphasizes energy transition and climate action as key pillars of future economic development. While we've seen an influx of capital in recent months, more is needed to shore up India's ambitious renewable energy goals. The budget proposal for the issuance of sovereign green bonds could help fill the gap and help stimulate the development of the domestic corporate green bond market, potentially acting as a multiplier for green development.