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Create more space for solar power

Financial Express Kolkata

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July 24, 2025

Policy efforts must focus on incentivising private investment in transmission infrastructure and standardising banking mechanisms across states

- VP SINGH, PRADEEP S MEHTA & AKASH SHARMA

INDIA NEEDS TO install nearly 50 gigawatt (Gw) of renewable energy (RE) each year to reach its goal of 500 Gw of non-fossil fuel-based energy capacity by 2030. A large part of this—around 300 Gw—is expected to come from solar power. However, based on recent installation trends, India will need to deploy close to 10 Gw more solar capacity annually than the average of the past few years to stay on course.

While solar power is auctioned almost every fortnight and developers are actively securing capacity, strengthening the power transmission network remains crucial to ensure that the generated power can be effectively delivered and utilised. Captive solar also holds considerable promise, and unlocking its potential can make a meaningful contribution toward achieving our RE targets.

Solar power plants in India are typically commissioned within 12–18 months, depending on their capacity and location. In contrast, dedicated transmission infrastructure can take three to four years to become operational. This mismatch creates a significant lag between project completion and the actual injection of power into the grid. Even when connected, many plants face curtailment due to grid congestion, limiting the full utilisation of installed capacity.

According to the International Energy Agency, nearly 3,000 Gw of RE capacity globally was awaiting grid connectivity as of 2024, with India among the countries facing the biggest backlogs. This is despite the commendable work of the Power Grid Corporation of India, which has built a robust national transmission network across such a vast and diverse geography. Notably, over 30% of India's total transmission capacity has been added in just the last decade—a testament to sustained institutional effort and commitment.

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