October 4 (SeeNews) - India has reached 8,643 MW of cumulative solar power generation capacity as of September 2016 and is expected to install an additional 1,000 MW by the end of the year, a report by Mercom Capital Group shows.
Тhe county is experiencing a slowdown in power demand, a decline in capacity utilisation among thermal projects and the availability of cheap power on the power exchanges across the country. Regardless of that, solar installations in India are continuing to grow with 500 MW put on stream in about a month, Mercom Capital says.
The research and consulting firm expects the annual solar deployment in the country to reach approximately 4,800 MW. In the first nine months of 2016, India has completed 3,800 MW.
There are also 14,000 MW of projects under development across the country. When projects yet to be auctioned are also added to the calculation, India’s solar project pipeline reaches 21,000 MW.
Four states currently operate more than 1,000 MW of solar parks. Tamil Nadu, Rajasthan, Gujarat and Andhra Pradesh account for roughly 59% of India’s installed solar capacity today.
“The challenge is going to come next year when approximately 9,000 MW of solar power is forecast to be installed. Unless the “must run” status for solar projects is strictly enforced we are going to see some challenges,” Mercom Capital CEO, Raj Prabhu, said.