India added 12.8 GW solar capacity in FY2023

In Financial Year 2023 (FY) i.e., from April 2022 till March 2023, approximately 12,784 MW solar capacity and 2,276 MW of wind capacity was added in India. Solar installations decreased by 8% while wind installations increased significantly by 105% as compared to FY2022.

In terms of cumulative installations, according to the data released by Ministry of New and Renewable Energy (MNRE) till March 2023, India’s RE installation capacity reached 125.2 GW. Solar energy contributes for approximately 53% share in the total RE segment, followed by wind energy (34%), Bio Power (9%) and Small Hydro (4%).

Figure 1. RE installation trends in India

Source: MNRE, JMK Research

*Solar includes utility scale solar, rooftop as well as offgrid solar

In the utility scale solar segment, about 8 GW of new capacity was added in India which is around 21% lesser than the FY2022 installations. In terms of state wise installations, Rajasthan (2532 MW), Tamil Nadu (1606 MW) and Maharashtra were the leading states with maximum large-scale solar installations in FY2023.

In the rooftop solar segment, about 2,232 MW is added in FY2023, which is about 1.2% higher than FY2022 installations. Gujarat installed the maximum rooftop solar capacity of 687 MW during April 2022 to March 2023 period followed by Maharashtra (547 MW) and Kerala (266 MW).

In offgrid/ distributed solar segment, about 836 MW was added which is about 46% lesser than the FY2022 installations.

In the wind sector, about 2.28 GW of new capacity was added in FY2023, which is 105% higher than 1.1 GW capacity added during FY2022. Rajasthan is the leading state with installed capacity of 867 MW in wind in FY2023, followed by Gujarat (770 MW) and Madhya Pradesh (324 MW).

Figure 2. State-wise solar and wind capacity addition in India in FY2023

Source: MNRE, JMK Research

In FY2024, given that ALMM is deferred till March 2024, as per JMK Research estimates about 15.5 GW of new utility scale solar capacity is likely to be added. Additional 2.5-3 GW is likely to be added in the rooftop solar segment.