Archive · 2 Aug 2026
India Surpasses U.S. as Second-Fastest Solar Market
India has built a huge amount of solar power, now the second biggest in the world after China.
In 2025, it added 37 gigawatts of new solar plants, more than the United States.
The price of solar electricity has dropped a lot, from about 18 rupees per unit in 2010 to just 2.44 rupees in 2025, thanks to a special auction system.
This makes solar power cheaper than most places in the world.
In 2025, the cost to produce solar electricity was $35 per megawatt‑hour, lower than the global average of $44.
The government also approved a plan to build 5,000 megawatts of floating solar panels on water, with batteries to store the power.
India’s installed solar capacity reached 162.15 GW by June 30, 2026, up from 3 GW in 2014.
India added 37 GW of solar capacity in 2025, surpassing the U.S. in annual additions.
The e‑Reverse Auction mechanism has driven tariffs down from ₹18 per unit in 2010 to ₹2.44 per unit.
In 2025, the Levelised Cost of Electricity for utility‑scale solar PV was $35 per MWh, below the global average of $44 per MWh.
The Pradhan Mantri Surya Sarovar Yojana, approved July 31, 2026, will support 5,000 MW of floating solar PV projects with co‑located energy storage systems.
- Who
- India
- What
- Surpasses the United States as the second-fastest growing solar market
- When
- By June 30, 2026, with 2025 additions and July 31, 2026 PM-SSY approval
- Where
- India
- Why
- Due to low tariffs driven by e‑Reverse Auction and supportive policies
- Installed solar capacity (June 30, 2026)
- 162.15 GW
- Annual solar addition (2025)
- 37 GW
- Tariff (2010)
- ₹18 per unit
- Tariff (2025)
- ₹2.44 per unit
- LCOE (2025)
- $35 per MWh
- Global average LCOE
- $44 per MWh
- PM-SSY floating solar support
- 5,000 MW