It has been recorded that solar installations in India in Q2 2018 were at the lowest level since Q1 2017 with 1,599MW, a 52% decrease compared to 3,344MW installed in Q1 2018.
This is according to Mercom India Research’s newly released Q2 2018 India Solar Market Update.
The report noted that installations were also down about 21% year-over-year (YoY) compared to 2,025MW installed in Q2 2017. In Q2 2018, large-scale installations totaled 1,184MW compared to 2,954MW in Q1 2018 and 1,800MW in Q2 2017.
“The drop in solar installations in Q2 2018 after four consecutive quarters of growth was expected and can be attributed to uncertainties around trade cases, module price fluctuations and PPA re-negotiations after record low bids, which contributed to a slowdown in tenders and auctions in 2017. All of this resulted in a weaker project pipeline for 2018,” said Raj Prabhu, CEO and co-founder of Mercom Capital Group.
Rooftop installations accounted for 415MW, up 6% compared to the 390MW installed the previous quarter and up 84% compared to 225MW installed in Q2 2017, according to the report.
In Q2 2018, large-scale solar projects accounted for 74% and rooftop solar accounted for the other 26%.
Cumulative solar installed capacity totalled 24.6GW at the end of Q2 2018 with large-scale solar projects accounting for 90% and rooftop solar making up the remaining 10%.
The large-scale solar project pipeline for India stands at 11.2GW. Projects totalling 18.6GW have been tendered and were pending auction at the end of Q2 2018 the report notes.
Mercom India Research is forecasting solar installations of approximately 8.3GW in the calendar year (CY) 2018 with some upside if Q4 commissionings stay on schedule.
Key report highlights
In Q2 2018, large-scale installations totaled 1,184MW (74%), while rooftop installations accounted for 415MW (26%); Cumulative solar installed capacity totalled 24.6GW at the end of Q2 2018; Mercom forecasts India to install between 8-9GW in CY 2018; Cumulative rooftop solar installed capacity in India reached 2.4GW as of Q2 2018; Karnataka maintained its position as the top solar state in India; Solar represented 44% of the newly added power capacity with 4.9GW installed in 1H 2018; Renewable comprise 21% of India’s total installed capacity, with solar accounting for 7%. Among renewables, solar accounts for 33.6% of the installed capacity.
Source: ESI Africa
