India Added 21 GW Solar Module, 3 GW Cell Manufacturing Capacity In 2023: Mercom
Module manufacturing capacity is projected to surpass 150 GW, and cell capacity is expected to reach over 75 GW by 2026, it said.
India installed 20.8 GW of solar modules and 3.2 GW of cell manufacturing capacity in 2023, according to Mercom Capital.
The country's cumulative solar module manufacturing capacity reached 64.5 GW, and solar cell manufacturing capacity 5.8 GW as of December 2023, the U.S. based research firm said in its latest report, State of Solar PV Manufacturing.
"About 60% of the installed module manufacturing capacity was equipped to manufacture solar modules in M10 and G12 wafer sizes," the report said.
Monocrystalline modules accounted for 67.5% of the country's module production capacity, followed by polycrystalline, tunnel oxide passivated contact, and thin film modules, Mercom said.
Module manufacturing capacity is projected to surpass 150 GW, and cell capacity is expected to reach over 75 GW by 2026, it said.
"As Indian manufacturers continue to invest in expanding their solar panel production capacities, they need to carefully navigate through the complexities of geopolitical tensions and trade disputes. Cheaper Chinese products will continue to challenge the competitiveness of locally-produced modules," said Raj Prabhu, CEO of Mercom Capital Group.
A policy change in the U.S. post-elections, could potentially shrink export opportunities, and demand for solar energy in India needs to ramp up significantly to consume the projected increase in module production in the coming three years, he added.
Gujarat led the country's photovoltaic manufacturing capacity, accounting for 46.1% of solar modules.
Telangana accounted for 39% of annual solar cell production capacity, the highest in the country as of December 2023.
Rajasthan and Tamil Nadu ranked second and third for solar module production capacities, accounting for 9.3% and 7.6%.
Gujarat and Himachal Pradesh were second and third, with solar cell production contributing 34.7% and 13.9% of total capacities in the country.
Tendering activity by various public sector and government entities to procure solar modules in 2023 was at 9.7 GW.
As per the report, India imported 16.2 GW of modules against 10.3 GW in 2022.
Domestic manufacturers exported 4.8 GW of solar modules in 2023 compared to 1.6 GW in 2022.
India imported 15.6 GW of solar cells in 2023 from 5.8 GW. India's solar cell exports reached 286.3 MW in 2023, up from 10 MW in 2022.
