The annual manufacturing capacity for solar cells and modules in India’s solar industry currently stands at 86 GW and 182 GW respectively, with these capacities expected to become operational by 2027.
This is one of the key findings from a recent report by market research firm Mercom India, which highlights that an additional 85 GW of solar cell and 97 GW of module manufacturing capacity are projected to be added by 2030 at the latest.
Overall, solar cell capacity is expected to reach 171 GW, and module annual capacity is projected to hit 279 GW by 2030.
In contrast, the country is forecast to install 28.3 GW of utility-scale and rooftop solar in FY 2026 (i.e., April 2025 to March 2026). Even if not all the module manufacturing capacity currently under construction or announced comes online, there will still be nearly a tenfold difference between the two.
Furthermore, according to the latest Mercom data, this must be added to the already operational module capacity, which is 109.5 GW. This summer, the operational annual nameplate capacity of modules listed in India’s Approved List of Models and Manufacturers (ALMM) surpassed the 100 GW threshold.
According to Mercom, the increase in module nameplate capacity is driven by a 186 GW utility-scale solar pipeline for the 2025-2027 period, the country’s solar installation target for 2030, and policy-driven strong domestic demand for ALMM-listed modules.
Mercom reported that newly added module capacity in the first half of 2025 reached 44.2 GW, while newly added solar cell nameplate capacity was 7.5 GW. Technologically, almost all the new capacity (90%) is dedicated to TOPCon, while HJT capacity saw its first increase in the country.
The 7.5 GW of new solar cell capacity added in H1 2025 includes Premier Energies’ 1.2 GW TOPCon cell production line in Telangana.
Additionally, for solar cells, the operational capacity under ALMM List-II is close to 18 GW, with the Indian government recently adding 4.8 GW of nameplate capacity.
Although no ingot/wafer or polysilicon capacity came online in the first half of this year, this could change soon, given the government’s aim to include wafers in the ALMM list starting June 2028. This decision has been positively received by several Indian solar manufacturers.
Considering the H1 2025 data alone, India’s added module nameplate capacity in 2025 is already nearly double that of the entire year of 2024. Mercom released the 2024 data earlier this year, outlining that the country’s annual nameplate capacity for solar cells and modules increased by 11.6 GW and 25.3 GW, respectively, in 2024.
Region Accounting for 42% of Module Manufacturing
As of June 2025, Gujarat in northwest India accounts for nearly 42% of all operational module nameplate capacity in India, equivalent to nearly 60 GW of annual nameplate capacity. Its share of solar cell capacity is slightly higher, with nearly half (47%) of India’s solar cell capacity located in Gujarat.
Rajasthan and Uttar Pradesh rank second and third in module manufacturing capacity, each holding an 18% share, while Tamil Nadu and Karnataka rank second and third in solar cell manufacturing capacity, collectively accounting for 31% of the national share.
Both Gujarat and Rajasthan are leading states in terms of total utility-scale solar installations nationwide and host some of the largest project pipelines.
