India solar capacity on track for record 50 GW in 2026

India is projected to reach a record 50 GWdc of solar capacity in 2026, following a 34 GWdc addition in the first half of the year. This surge is driven by developers racing to meet the Approved List of Models and Manufacturers-II (ALMM-II) deadline.

However, the push for a domestic supply chain is creating a solar module supply crunch. While module production capacity has grown significantly, cell manufacturing has not kept pace, leading to higher prices and potential project delays. The widening price gap between Domestic Content Requirement (DCR)-compliant and non-DCR modules is impacting procurement and investment decisions across the industry.

This shift marks a significant change in the global photovoltaic landscape. India’s module production capacity has increased from under 10 GW in 2018 to 172 GW in 2026. This rapid growth contrasts with the Chinese photovoltaic industry, which has faced record-breaking losses as major companies navigate a period of intense competition and market shifts.