The Indian government’s plan to harness rooftop solar energy is commendable. However, implementation has faced challenges. Pradhan Mantri Surya Ghar Yojana (PMSGY) boosted the residential market, but issues persist.
The Potential of Rooftop Solar
The potential of rooftop energy in India is immense. By utilizing the vast expanse of rooftops across the country, India can significantly reduce its dependence on fossil fuels and transition to a cleaner, more sustainable energy source.
The PMSGY, launched in February 2024, has played a crucial role in accelerating the adoption of solar systems. The scheme has increased the central financial assistance for smaller systems, streamlined the installation process, and provided a digital platform for consumers.
Challenges Hindering Growth
Despite the positive impact of PMSGY, several challenges continue to impede the growth of the residential rooftop solar market. One of the major issues is the limited availability of domestic content requirement (DCR) modules. This dependence on imports can lead to supply chain disruptions and increase costs.
Additionally, concerns remain about the adoption of the scheme by the target demographic. Many consumers may be unaware of the benefits or may face financial constraints that prevent them from investing in rooftop solar systems.
Another significant challenge is the mismatch between the number of project applications and the availability of vendors. The surge in demand for rooftop solar installations has outpaced the capacity of the industry to meet it. This has resulted in delays in project execution and customer dissatisfaction.
The Need for a Strong Policy Framework
To address these challenges and ensure the success of India’s rooftop solar revolution, a strong policy and regulatory framework is essential. The government must take steps to promote-
- the domestic manufacturing of solar components,
- reduce the cost of installation,
- and create awareness about the benefits of rooftop solar energy.
Additionally, incentives and subsidies should be provided to encourage the participation of small-scale installers and entrepreneurs.
Conclusion
While India’s rooftop solar journey has made significant strides, there is still much to be done. By addressing the challenges and implementing effective policies, the country can realize its full potential in renewable energy and secure a sustainable energy future.
The above story is based on report by IEEFA and JMK Research