India’s solar revolution for a carbon-neutral tomorrow – Firstpost

India’s resolute commitment to achieving net zero carbon emissions by 2070 has precipitated an accelerated push towards renewable energy, with solar power emerging as the vanguard of this green metamorphosis. Given its copious sunlight, plummeting technology costs, government patronage, and burgeoning workforce, solar energy has become the fulcrum of India’s growth. While substantial strides have been made, the road to realising India’s solar aspirations is fraught with multifaceted challenges that demand pragmatic policy interventions and strategic foresight. This article underscores the importance of addressing current barriers to fully harnessing solar energy potential in order to achieve targets that envision a net-zero carbon emission future in India.

India’s Solar Achievements: Leading the Way

India’s strides in solar energy are both remarkable and inspiring. Over the past decade, the country has not only met but also surpassed its goals, with solar power now contributing more than 60 per cent to its renewable energy mix. By 2024, India had crossed the 100 GW target, firmly positioning itself among the top players in the global solar market. Rajasthan, for example, has a solar capacity of over 24 GW, which is more than the entire solar capacity of the United Kingdom.

The solar energy sector has experienced rapid growth, with energy generation increasing by 19 per cent between 2023 and 2024. Solar energy now accounts for over two-thirds of India’s newly installed renewable energy capacity, showing just how important it has become in meeting the country’s energy needs. As the pioneer of the International Solar Alliance (ISA), India has also played a key role in fostering global collaboration for solar energy, bringing together countries from across the world to push for a cleaner, greener future.

The ISA aims to mobilise over $1 trillion in investments to expand solar energy in developing countries, further cementing India’s role as a leader in the global solar movement. Within the country, the government’s enterprise for achieving the targets of the National Solar Mission through the Solar Energy Corporation of India (SECI), responsible for driving the development and implementation of solar projects, is enabling the achievement of ambitious solar goals.

Challenges Ahead: Roadblocks to Expansion

Regional Disparities

Despite this success, the journey forward is not without its obstacles. One of the most pressing challenges is the limited integration of solar power into the national grid. Currently, only 16 per cent of India’s solar capacity is connected to the grid, limiting the country’s ability to fully leverage its solar potential. Moreover, there are regional disparities in solar adoption, with states like Rajasthan and Gujarat leading the way, while other regions, particularly in the east and northeast, are lagging behind.

Financial Constraints

Financing for solar projects also remains a challenge. While the government offers subsidies, the initial capital required for large-scale solar installations is still high, and high interest rates and payment delays make it difficult for private investors to commit to new projects. Moreover, the shortage of solar cells at competitive prices has posed additional challenges for manufacturers, particularly in meeting the Domestic Content Requirement (DCR) specifications. This shortage not only hampers production but also complicates the growth of India’s solar industry.

Dependence on Global Supply Chain

Additionally, India’s reliance on imports for key solar components, such as polysilicon, wafers, and solar cells, exposes the country to risks in the global supply chain, especially amid geopolitical tensions. India’s dependence on imports for key materials remains a critical issue. Currently, the country has the capacity to produce 11 GW of solar modules, but it lacks the infrastructure to manufacture key components like polysilicon and wafers. This leaves India vulnerable to supply chain disruptions and trade imbalances, particularly with China dominating the global solar manufacturing market. Critical minerals like cobalt, nickel, and lithium, necessary for producing solar panels, are largely imported, further exacerbating India’s reliance on foreign suppliers. This presents a significant challenge to India’s ambition of becoming a self-sustaining solar powerhouse, and more efforts are needed to secure access to these essential materials.

Local Challenges: Addressing Land and Community Concerns

Another major challenge for solar expansion comes from local communities, especially when it comes to land acquisition. Resistance from local farmers and communities over land rights has led to protests and legal disputes in some cases. For example, in Rajasthan, protests over land allocation for solar projects have led to violent confrontations and cancellations of projects. These issues underscore the need for a more inclusive and transparent process for land acquisition, ensuring that the rights of local communities are respected and that their concerns are addressed.

The Road Ahead: Strategic Actions for Solar Growth

To overcome these challenges, a more strategic approach is needed. First, India must strengthen its policy framework, ensuring that long-term, stable policies are in place to support the growth of the solar sector. This includes improving interstate cooperation and ensuring access to reliable energy data, which is crucial for monitoring progress and holding stakeholders accountable.

Public-private partnerships (PPPs) offer an effective model for expanding solar adoption, particularly in regions that are currently underserved. The government can play a key role by providing risk mitigation instruments, such as guarantees, to make solar projects more attractive to investors. Additionally, the promotion of domestic manufacturing for solar panels and critical components will help reduce reliance on imports and strengthen India’s energy security.

Finally, skill development must be prioritised to equip India’s workforce with the necessary expertise in the solar sector. As the industry continues to grow, there will be increasing demand for skilled labour, especially in areas like solar panel installation, maintenance, and manufacturing.

India’s solar journey has been one of significant achievement, but the road ahead remains challenging. With continued government support, strategic investments in manufacturing, and stronger collaboration between the public and private sectors, India can overcome these obstacles and unlock the full potential of its solar resources. By focusing on policy stability, infrastructure development, and local community involvement, India can continue to lead the way in the global solar revolution, ensuring a sustainable and prosperous energy future for generations to come.

Disha Sharma is an assistant professor at the Indian Institute of Management, Mumbai. Supriya and Asmita are Research Assistants at Center of Policy Research and Governance. The views expressed in the above piece are personal and solely those of the authors. They do not necessarily reflect Firstpost’s views.