- Mercom India Research’s new report says India installed 521 MW new rooftop PV capacity in Q2/2021
- Gujarat accounted for 55% of national installations thanks to residential demand, followed by Maharashtra and Haryana
- If there are no COVID-19 or other adverse events during rest of the year, Mercom believes 2021 would be the country’s 2nd best year after 2018
India’s rooftop solar segment had the highest capacity installed for any quarter in Q2/2021 with 521 MW, according to Mercom India Research, that says this was a QoQ improvement of 53% over 341 MW, and 517% on YoY basis when 85 MW was added.
It believes the installations were higher in the reporting quarter as the COVID-19 related lockdowns were localized and not at a national level. At the same time, experienced from the 1st pandemic wave, the industry was well prepared hence the installations were not impacted as much.
In its India Rooftop Solar Market Report Q2 2021, Mercom analysts claim this growth was led by residential segment of Gujarat that accounted for 55% of the new capacity added, followed by Maharashtra and Haryana, taking H1/2021 additions to 862 MW, and cumulative till June 2021 to 6.1 GW. That means, the 40 GW rooftop target for end of 2022 remains impossible to be met.
While there was a ‘surge’ of demand from commercial and industrial (C&I) consumers despite the 2nd COVID-19 wave, the analysts believe had it not been for the uncertainty surrounding net metering regulations, demand could have been much stronger during H1/2021.
Mercom India Research’s parent company Mercom Capital Group CEO Raj Prabhu counts ‘haphazard rooftop policies across states and a lack of support from distribution companies’ as challenges to the growth of this segment in the country. He added that finalizing the net metering cap at 500 kW has removed uncertainty for installers and paved the way for future growth.
Analysts see demand picking up during rest of the year for this segment in India, and believe if there are no other COVID-19 or other adverse events in H2/2021, this year could be India’s 2nd best year for rooftop solar after 2018.
The Mercom report can be purchased at its website.