India has an estimated solar power potential of around 1,00,000 MW out of which the total
installed capacity as of 31st March 2014 was 2,647 MW.
The India Renewable Energy Status Report was recently launched at the Green Summit 2014 in Bangalore India. India has the world’s fifth-largest electricity generation capacity which currently stands at 243 GW. Renewable energy including large hydro constitutes for only 28.8% of overall installed capacity in India. India has set a target of achieving overall renewable energy installed capacity of 41,400 MW by 2017.
However, despite the persistent focus on renewable energy over the past few years, demand supply deficits have steadily worsened from ~5% in 2003 to ~11% in 2009. Despite the work being done to minimize transmission and distribution (T&D) losses (T&D loss has reduced from 32.5% in 2002-03 to 25.47% in 2008-09), the country still faced an average energy deficit of 6.7% in 2013-14. The price of renewable power production continues to be high as per the calculations done by this report.
As per the National Tariff Policy, it is envisaged that the targets for Solar RPO shall be 0.25% by 2012-13 extending to 3% by 2022. The Jawaharlal Nehru National Solar Mission has been the first step towards achieving these targets.
India currently has an overall production capacity of 1GW for cells and 2GW for modules. This production capacity exceeds the present PV installation capacity in the country significantly and will remain so in the coming years considering the annual growth rates witnessed in the past. The following figure shows the key Growth Drivers and Inhibitors for Solar Energy Market in India.
Source: Novonous Insights.
Recreated from original blog post authored by Nilesh Y. Jadhav at Solarika.org