Solar

India's Solar Power Growth in 2026: Key Insights and Data

SolarQuarter's latest report shows India's solar sector hitting new records in 2026, with installations and manufacturing on the rise.

By Gagan Sharma · 8 Oct 2026
Representative image: Indian Cove Campground amphitheater and solar panels; Twentynine Palms, CA
Representative image: Indian Cove Campground amphitheater and solar panels; Twentynine Palms, CA Photo: Joshua Tree National Park. Source pdm

India's solar power sector continued its rapid expansion in 2026, according to a new report from SolarQuarter. The findings, published on October 8, 2026, show record-breaking capacity additions and a growing domestic manufacturing base.

Capacity Milestones

India added 15 gigawatts (GW) of solar capacity in the first nine months of 2026, up from 12 GW in the same period last year. Total installed solar capacity now stands at 85 GW. The report credits falling module prices and supportive government policies for the surge.

Rajasthan, Gujarat, and Karnataka led the way, accounting for over 60% of new installations. Large-scale solar parks in these states benefited from improved transmission infrastructure and land availability.

Manufacturing Push

Domestic solar manufacturing also grew. India's module production capacity reached 50 GW per year, with cell capacity at 15 GW. The report notes that the Production Linked Incentive (PLI) scheme has attracted significant investment, reducing reliance on imports.

However, challenges remain. The report points out that domestic cells are still more expensive than imported ones, and supply chain bottlenecks for polysilicon persist.

Policy and Future Outlook

Government initiatives like the National Solar Mission and the recent extension of the ALMM (Approved List of Models and Manufacturers) order have provided stability. The report expects India to add 20 GW of solar capacity in 2026-27, driven by rooftop solar and hybrid projects.

SolarQuarter's analysis also highlights the role of solar in meeting India's 500 GW non-fossil capacity target by 2030. With current trends, solar is expected to contribute over 300 GW.

"The momentum is strong, but we need to address grid integration and storage to sustain growth," the report states.

As India moves towards its renewable energy goals, the solar sector remains a key driver. The full report is available on SolarQuarter's website.

Source: SolarQuarter · 8 Oct 2026

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