Nodal Ministry- Ministry of New and Renewable Energy (MNRE) & Ministry of Power

Executive Summary & Macro Expansion Trends
- Fiftyfold Growth Scale- India's installed solar capacity expanded over fiftyfold from approximately 3 GW in 2014 to 162.15 GW as of June 30, 2026.
- Global Leadership Positioning- In 2025, India added 37 GW of solar capacity in a single year, surpassing the United States to become the world's second-largest solar growth market.
- Record Annual Additions- Added 44.61 GW of solar capacity in FY 2025–26 alone, nearly doubling the 23.83 GW added in FY 2024–25.
- Non-Fossil Power Benchmark- Total non-fossil fuel capacity reached 283.46 GW (with renewables accounting for 274.68 GW), meeting a historic record of 51.5% of India's total electricity demand on July 29, 2025.
- Levelised Cost Advantage- Utility-scale solar Levelised Cost of Electricity (LCOE) dropped to USD 35 per MWh in 2025, significantly below the global benchmark average of USD 44 per MWh.
Pradhan Mantri Surya Sarovar Yojana (PM-SSY)
- Cabinet Approval Date- Approved by the Union Cabinet on July 31, 2026, with a total budget outlay of ₹5,070 crore spanning FY 2026–27 to FY 2030–31.
- Core Physical Target- Designed to establish 5,000 MW of Floating Solar Photovoltaic (FSPV) projects across existing reservoirs and industrial inland water bodies, scaling capacity up from the baseline level of ~700 MW.
- Integrated Energy Storage (ESS) - Mandates co-located Energy Storage Systems (ESS) offering a minimum 2-hour storage capacity (10,000 MWh total) to manage peak grid demand and stabilize frequency fluctuations.
- National Potential & Carbon Offset- Operates on National Institute of Solar Energy (NISE) estimates identifying a national floating solar potential of 102.18 GWp, aiming to reduce 10 million tonnes of CO2 emissions annually.
- Economic & Manufacturing Impact- Projected to generate 16,000 to 17,000 full-time equivalent jobs while promoting domestic manufacturing of floatation systems, PV cells, modules, and battery arrays across all States/UTs.
Policy Pillars & Demand Creation Architecture
- Climate Commitments (Panchamrit & LiFE)- Directly aligns with India's Glasgow COP26 pledge to reach 500 GW of non-fossil fuel capacity by 2030 and achieve Net-Zero emissions by 2070.
- Renewable Purchase Obligations (RPO Trajectory)- Mandates electricity distribution companies (DISCOMs) to purchase a progressive share of renewable power, with the 2026–27 target set at 35.95%under a notified trajectory through 2029–30.
- Decentralized Solar Schemes- Creates domestic consumer and agricultural demand through PM Surya Ghar- Muft Bijli Yojana (rooftop) and PM-KUSUM (solar pumps and feeder solarization).
- Tariff Discovery via e-Reverse Auctions- Competitive bidding led by Solar Energy Corporation of India (SECI) crashed solar tariffs by 86% over seven years, falling from ₹18/unit in 2010 to a record-low ₹2.44/unit at Bhadla Solar Park in 2017.
- Distributed Solar Contribution- Distributed solar solutions contributed 16.3 GW (36%) of total solar capacity additions in FY 2025–26, with 8.7 GW from rooftop systems and 7.6 GW from PM-KUSUM.

Enabling Infrastructure & Evacuation Networks
- Solar Parks Scheme Expansion- Sanctioned capacity expanded from an initial 20 GW to 40 GW, approving 54 solar parks with 39,188 MW sanctioned capacity across 13 states as of February 2026.
- Mega Regional Hubs- Prominent parks include Bhadla Solar Park (Rajasthan, 2,245 MW across 5,700 hectares), Pavagada Solar Park (Karnataka), and Rewa Ultra Mega Solar (Madhya Pradesh).
- Green Energy Corridor (GEC) Phase I & II- Built dedicated high-voltage evacuation networks, enabling the evacuation of 24,567.8 MW of renewable energy across ten states as of February 2026.
- Grid Integration Capacity- GEC transmission infrastructure is planned to support the seamless evacuation and national grid integration of around 44 GW of renewable power.
- State-Wise Park Allocations- Gujarat leads in sanctioned capacity (12,150 MW across 7 parks), followed by Rajasthan (10,726 MW across 11 parks) and Andhra Pradesh (4,200 MW across 5 parks).
Domestic Manufacturing & Quality Frameworks
- PLI Scheme Expansion- Production Linked Incentive Scheme for High-Efficiency Solar PV Modules expanded with an additional ₹19,500 crore (total ₹24,000 crore outlay), attracting ₹35,000 crore in private investments by October 2024.
- Exponential Manufacturing Growth- Domestic solar module manufacturing capacity expanded drastically from 2.3 GW in 2014 to approximately 172 GW as of March 31, 2026.
- Approved List of Models and Manufacturers (ALMM)- Implemented as a compulsory quality assurance framework in 2019 to prevent low-quality dumping and promote local module/cell usage in government-supported projects.
- Value Chain Integration- PLI and ALMM mandates together drive backward integration, building domestic capabilities in silicon ingot, wafer, cell, and high-efficiency module production.
- Direct Employment Generation- The solar PLI ecosystem created over 10,000 direct high-skilled manufacturing jobs across 262 industrial districts.
Grassroots Distributed Solar Interventions
- PM Surya Ghar Scale- Reached over 43 lakh solarized households by June 2026, disbursing ₹14,771.82 crore in Central Financial Assistance by December 2025.
- Zero Electricity Bills Impact- Over 7.7 lakh households received zero monthly electricity bills as of December 2025, supported by World Bank co-financing for residential rooftop expansion.
- PM-KUSUM Achievements- Deployed 11.49 lakh off-grid standalone solar agriculture pumps and covered 15.89 lakh pumps via feeder-level solarization.
- Farm-Level Capacity Addition- Commissioned 1,726 MW of decentralized ground-mounted solar power plants on barren or fallow farmland, benefiting over 21.77 lakh farmers nationwide.
- Agricultural Income Diversification- Farmers utilize solar pumps for daytime crop irrigation and generate secondary income streams by selling surplus power back to DISCOMs.
Global Solar Diplomacy & Climate Leadership
- International Solar Alliance (ISA)- Co-founded by India and France at COP21 (Paris, 2015), creating a global platform uniting Sunbelt nations to mobilize solar investments and technology transfer.
- One Sun One World One Grid (OSOWOG)- Proposed by India in 2018 and formally launched as GGI-OSOWOG at COP26 alongside the UK, USA, Australia, and France to interconnect global regional power grids.
- G20 Consensus Building- Used India's G20 Presidency to drive global consensus around tripling worldwide renewable energy capacity by 2030.
- Global South Capacity Building- Providing technical assistance, policy frameworks, and solar microgrid installations across developing nations in Asia, Africa, and Latin America.
- Cross-Border Power Trade- Leveraging interconnected trans-national electricity grids to facilitate real-time green energy trade across international borders.
Source: PIB