Report Overview

An increasing cost of conventional electricity, a spurring demand for renewable energy driven by the government’s supportive subsidies and net metering policies, and growing adoption of advancements in solar technology enhancing efficiency and affordability are expected to drive the India Solar Rooftop Market during the forecast period between 2024 and 2030.

India Solar Rooftop Market – Industry Trends & Forecast Report, 2030

The India Solar Rooftop Market size was estimated at USD 5.23 billion in 2023. During the forecast period between 2024 and 2030, the India Solar Rooftop Market size is projected to grow at a CAGR of 7.88% reaching a value of USD 6.19 billion by 2030. Prominent drivers of the market include an increasingly high demand for renewable energy from the commercial and industrial sectors, along with government initiatives promoting renewable energy integration. Solar Rooftop installations empower individuals and businesses to embrace clean and sustainable electricity generation, fostering energy independence and environmental well-being. Also, growing consumer and business awareness regarding the detrimental effects of fossil fuels is propelling market expansion. Solar energy emerges as the clean, sustainable answer, mitigating greenhouse gas emissions and lessening reliance on non-renewable resources. Technological advancements and economies of scale have slashed solar panel costs in recent years, making this clean energy solution more financially attractive for homeowners and businesses, thereby accelerating its market adoption.

Solar Rooftop – Overview

Solar Rooftop refers to the installation of photovoltaic (PV) panels on the roof of a building to generate electricity from sunlight. PV systems convert sunlight directly into electricity, which can be used to power the building's electrical systems, stored in batteries, or fed into the electric grid. Solar Rooftop systems can be installed on residential, commercial, or industrial buildings and are a key component of distributed renewable energy generation. They help reduce reliance on fossil fuels, decrease electricity costs, and lower carbon emissions.

India Solar Rooftop Market

Growth Drivers

Growing Demand for Clean Energy

The growing demand for clean energy is significantly enhancing the India Solar Rooftop Market. Renewable energy has become increasingly popular due to its cost-effectiveness, low maintenance requirements, and ability to reduce the carbon footprint by cutting greenhouse gas emissions. The shortage of conventional energy sources like coal further accelerates the shift towards solar energy. As reported by the United Nations, resource extraction and processing contribute to half of the global greenhouse gas emissions. The photovoltaic cells in solar panels harness sunlight to generate electricity efficiently. Government initiatives, such as the Suryodaya scheme, are pivotal in this growth. By providing 300 units of free electricity monthly to 10 million households, the scheme aims to add nearly 30GW of Solar Rooftop capacity. Despite challenges like policy inconsistencies and financing hurdles, advancements in solar technology and reduced costs make Solar Rooftop increasingly viable and attractive. As of December 2023, Solar Rooftop capacity stood at 11GW, representing 14.5% of India’s total installed solar capacity. This growth underscores the significant role of clean energy in driving the expansion of the Solar Rooftop market in India.

Supportive Subsidies and Net Metering Policies

India's Solar Rooftop market is propelled by government initiatives, particularly subsidies and net metering policies. The Ministry of New and Renewable Energy (MNRE) reports India as the fifth global leader in solar power deployment, with 70.10 GW capacity commissioned as of June 30, 2023. Solar Rooftop capacity surged to 8,877 MW by March 2023, attributed partly to heightened awareness and government subsidies. Notable initiatives include Rajasthan Electricity Regulatory Commission's expansion of net metering capacity to 1 MW in March 2024 and Tamil Nadu Electricity Regulatory Commission's 50% network charge exemption for MSME Solar Rooftop consumers in November 2023. Such incentives drive market growth, with new schemes expected to further fuel adoption across residential, commercial, and industrial sectors.

Challenges

Government Policy Impact

Changes in government policies or subsidies can significantly affect the growth of the India Solar Rooftop Market. Reductions or removals of subsidies may discourage adoption by making solar systems less financially attractive for consumers. Similarly, inconsistent policies can create uncertainty, leading to hesitancy among investors and consumers. Conversely, stable, and supportive policies can spur growth by providing clarity and incentives for investment in Solar Rooftop installations. Therefore, fluctuations in government policies or subsidies can hinder the growth of the India Solar Rooftop Market.

Impact of Escalating Geopolitical Tensions on India Solar Rooftop Market

Intensifying geopolitical tensions can have a multifaceted impact on the India Solar Rooftop Market. Such tensions may disrupt supply chains, leading to shortages of critical components like solar panels and inverters. Additionally, heightened uncertainties can deter foreign investment, slowing down the pace of project development. Instability can also result in fluctuating currency exchange rates, increasing project costs. Moreover, geopolitical conflicts may divert government attention and resources away from renewable energy initiatives, delaying policy implementations and regulatory support for the solar sector. Consequently, the Solar Rooftop market in India may experience slowdowns or setbacks due to escalating geopolitical tensions.

India Solar Rooftop Market

Segmental Coverage

India Solar Rooftop Market – By Capacity

By capacity, the India Solar Rooftop Market is divided into <10 kW, 11–100 kW, and >100 kW segments. The 11–100 kW capacity segment holds the highest share in the India Solar Rooftop Market. It is primarily due to its versatility and applicability across diverse consumer segments. This segment appeals to a broad spectrum of consumers, including small and medium-sized enterprises (SMEs), educational institutions, and residential complexes. Its moderate capacity strikes a balance between meeting energy needs and ensuring cost-effectiveness, making it attractive for a wide range of rooftop installations. Also, government incentives and favorable policies often target this segment, further driving its market share growth.

India Solar Rooftop Market – By Connectivity

Based on connectivity, the India Solar Rooftop Market is split into On-Grid and Off-Grid segments. The on-grid segment holds a higher share in the India Solar Rooftop Market by connectivity. It can be attributed to its seamless connectivity to the utility grid. With photovoltaic panels linked to the grid through inverters, consumers can efficiently feed excess electricity into the central power system, typically through net-metering arrangements. This setup is favored by various consumer segments, including commercial, industrial, and residential users, seeking to slash electricity costs. India's substantial growth in on-grid solar PV systems stems from supportive government policies and initiatives like the Grid Connected Solar Rooftop Scheme, aiming for a cumulative installed capacity of 40,000 MW by March 2026. Schemes like the Solar Rooftop Program Phase-II and the National Portal streamline installation processes and incentivize adoption, propelling the on-grid segment's expansion. As evidenced by Gujarat, Maharashtra, and Karnataka's significant capacities, the on-grid segment is poised for further growth, driven by rising Solar Rooftop adoption and robust government support.

India Solar Rooftop Market – By End User

Based on end user, the India Solar Rooftop Market is divided into Residential, Commercial, and Industrial segments. The residential segment holds the highest share in the India Solar Rooftop Market by end user. Residential consumers increasingly seek sustainable and cost-effective energy solutions, with Solar Rooftop installations offering them the opportunity to generate their own clean energy and reduce electricity bills. Government incentives and subsidy programs specifically target residential installations, making them more financially accessible. Advancements in solar technology have also made Solar Rooftop systems more efficient, affordable, and aesthetically appealing, further driving residential adoption. Overall, a combination of environmental consciousness, financial incentives, and technological advancements makes the residential segment the leading choice for Solar Rooftop adoption in India.

India Solar Rooftop Market – By Region

Geographically, the India Solar Rooftop Market is divided into North India, South India, East India, and West India regions. South India region holds the highest share in the India Solar Rooftop Market. It is primarily driven by its substantial solar and wind energy potential. States like Karnataka, Kerala, Tamil Nadu, Andhra Pradesh, and Telangana boast significant renewable energy resources, totaling 1,526 GW of solar energy potential and 1,124 GW of wind energy potential. However, realizing this potential necessitates substantial investments in strengthening intra-region transmission infrastructure. Collaborative efforts among policymakers, industry stakeholders, and civil society are crucial to accelerate South India's transition to net-zero emissions, positioning it as a leader in Solar Rooftop adoption and contributing significantly to India's renewable energy targets by 2030.

Competitive Landscape

Major players operating in India Solar Rooftop Market include Tata Power Solar, Adani Solar, Vikram Solar, Waaree Energies, Renew Power, Azure Power, CleanMax Solar, Hero Future Energies, Fourth Partner Energy, and Amplus Solar. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

• In April 2024 - Apple revealed its plans to collaborate with CleanMax, a renewable energy developer, to invest in six Solar Rooftop projects in India. These projects, with a combined capacity of 14.4 MW, aim to power Apple's facilities, including offices and retail stores in Mumbai and New Delhi, once operational.

• In March 2024 - GAIL (India) issued a call for bids for a Solar Rooftop project. The project involves the design, supply, installation, testing, and commissioning of a grid-tied Solar Rooftop PV system. Additionally, it encompasses a comprehensive 5-year Annual Maintenance Contract (AMC) to distribute electricity generated by the project to the Krishna Godavari Basin region.

Scope of the Report

 

Attributes	Details
Years Considered	Historical Data – 2019–2030
	Base Year – 2023
	Estimated Year – 2024
	Forecast Period – 2024–2030
Facts Covered	Revenue in USD Billion
Market Coverage	India
Product/ Service Segmentation	Capacity, Connectivity, End User, Region
Key Players	Tata Power Solar, Adani Solar, Vikram Solar, Waaree Energies, Renew Power, Azure Power, CleanMax Solar, Hero Future Energies, Fourth Partner Energy, Amplus Solar

 

By Capacity

• <10 kW

• 11–100 kW

• >100 kW

By Connectivity

• On-Grid

• Off-Grid

By End User

• Residential

• Commercial

• Industrial

By Region

• North India

• South India

• East India

• West India

1. Research Framework
   1. Research Objective
   2. Product Overview
   3. Market Segmentation
2. Executive Summary
3. India Solar Rooftop Market Insights
   1. Industry Value Chain Analysis
   2. DROC Analysis
      1. Growth Drivers
         1. Subsidies and net metering policies
         2. Increasing cost of conventional electricity
         3. Growing Demand for Clean Energy
         4. Advancements in solar technology enhancing efficiency and affordability
      2. Restrains
         1. Impact of changes in government policies or subsidies
         2. Effects of global supply chain disruptions on project timelines and costs
         3. Need for careful planning and investment for large-scale Solar Rooftop integration into the existing grid infrastructure
      3. Opportunities
         1. Significant potential for Solar Rooftop adoption in MSME sector
         2. Peer-to-peer trading incentives
         3. Development of innovative financing solutions to reduce upfront installation costs
         4. Smart grid integration
      4. Challenges
         1. High upfront installation costs
         2. Limited awareness of benefits and economics of Solar Rooftop
   3. Technological Advancements/Recent Developments
   4. Regulatory Framework
   5. Porter’s Five Forces Analysis
      1. Bargaining Power of Suppliers
      2. Bargaining Power of Buyers
      3. Threat of New Entrants
      4. Threat of Substitutes
      5. Intensity of Rivalry
4. India Solar Rooftop Market: Pricing Analysis
5. India Solar Rooftop Market: Marketing Strategies
6. India Solar Rooftop Market Overview
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Capacity
         1. <10 kW
         2. 11–100 kW
         3. >100 kW
      2. By Connectivity
         1. On-Grid
         2. Off-Grid
      3. By End User
         1. Residential
         2. Commercial
         3. Industrial
      4. By Region
         1. North India
         2. South India
         3. East India
         4. West India
7. North India Solar Rooftop Market
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Capacity
      2. By Connectivity
      3. By End User
8. South India Solar Rooftop Market
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Capacity
      2. By Connectivity
      3. By End User
9. East India Solar Rooftop Market
   1. Market Size & Forecast, 2019–2030
      1. By Value (USD Billion)
   2. Market Share & Forecast
      1. By Capacity
      2. By Connectivity
      3. By End User
10. West India Solar Rooftop Market
    1. Market Size & Forecast, 2019–2030
       1. By Value (USD Billion)
    2. Market Share & Forecast
       1. By Capacity
       2. By Connectivity
       3. By End User
11. Competitive Landscape
    1. List of Key Players and Their Products
    2. India Solar Rooftop Company Market Share Analysis, 2023
    3. Competitive Benchmarking, By Operating Parameters
    4. Key Strategic Developments (Mergers, Acquisitions, Partnerships)
12. Impact of Escalating Geopolitical Tensions on India Solar Rooftop Market
13. Company Profiles (Company Overview, Financial Matrix, Competitive landscape, Key Personnel, Key Competitors, Contact Address, and Strategic Outlook, and SWOT Analysis)
    1. Tata Power Solar
    2. Adani Solar
    3. Vikram Solar
    4. Waaree Energies
    5. Renew Power
    6. Azure Power
    7. CleanMax Solar
    8. Hero Future Energies
    9. Fourth Partner Energy
    10. Amplus Solar
    11. Other Prominent Players
14. Key Strategic Recommendations
15. Research Methodology
    1. Qualitative Research
       1.  Primary & Secondary Research
    2.    Quantitative Research
    3.    Market Breakdown & Data Triangulation
       1.  Secondary Research
       2.  Primary Research
    4.    Breakdown of Primary Research Respondents
    5.    Assumptions & Limitations

*Financial information of non-listed companies can be provided as per availability.

**The segmentation and the companies are subject to modifications based on in-depth secondary research for the final deliverable.

 

List of Figures

 

Figure 1       India Solar Rooftop Segmentation

Figure 2       India Solar Rooftop Market Value Chain Analysis

Figure 3       Company Market Share Analysis, 2023

Figure 4       India Solar Rooftop Market Size, By Value (USD Billion), 2019–2030

Figure 5       India Solar Rooftop Market Share, By Type, By Value (USD Billion), 2019–2030

Figure 6       India Solar Rooftop Market Share, By Distribution Channel, By Value (USD Billion), 2019–2030

Figure 7       India Solar Rooftop Market Share, By Technology, By Value (USD Billion), 2019–2030 

Figure 8       India Solar Rooftop Market Share, By End User, By Value (USD Billion), 2019–2030

Figure 9       India Solar Rooftop Market Share, By Purchase Type, By Value (USD Billion), 2019–2030                                       

 

List of Tables      

 

Table 1        India Solar Rooftop Market Size, By Value (USD Billion), 2019–2030

Table 2        India Solar Rooftop Market Share, By Type, By Value (USD Billion), 2019–2030

Table 3        India Solar Rooftop Market Share, By Distribution Channel, By Value (USD Billion), 2019–2030

Table 4        India Solar Rooftop Market Share, By Technology, By Value (USD Billion), 2019–2030

Table 5        India Solar Rooftop Market Share, By End User, By Value (USD Billion), 2019–2030

Table 6        India Solar Rooftop Market Share, By Purchase Type, By Value (USD Billion), 2019–2030 

Table 7        Tata Power Solar Company Overview

Table 8        Tata Power Solar Financial Overview

Table 9        Adani Solar Company Overview

Table 10      Adani Solar Financial Overview

Table 11      Vikram Solar Company Overview

Table 12      Vikram Solar Financial Overview

Table 13      Waaree Energies Company Overview

Table 14      Waaree Energies Financial Overview

Table 15      Renew Power Company Overview

Table 16      Renew Power Financial Overview

Table 17      Azure Power Company Overview

Table 18      Azure Power Financial Overview

Table 19      CleanMax Solar Company Overview

Table 20      CleanMax Solar Financial Overview

Table 21      Hero Future Energies Company Overview

Table 22      Hero Future Energies Financial Overview

Table 23      Fourth Partner Energy Company Overview

Table 24      Fourth Partner Energy Financial Overview

Table 25      Amplus Solar Company Overview

Table 26      Amplus Solar Financial Overview

Table 27      Other Prominent Players Company Overview

Table 28      Other Prominent Players Financial Overview