The commercial and industrial (C&I) segment in India is expected to add 1,875 megawatts (MW) of new capacity in 2021, an increase of 47 percent compared to the previous year, according to a recent report released on Wednesday.
It added that the rate of rooftop solar capacity addition by C&I consumers in India was expected to accelerate this year, as new and innovative solar technology solutions provided opportunities for businesses to save on electricity costs and contribute to corporate renewable energy targets.
The report titled ‘Emerging technology trends in the C&I rooftop solar market in India’ has been published by the Institute for Energy Economics and Financial Analysis (IEEFA) and JMK Research.
“Adoption of onsite solar solutions is the low-hanging fruit for consumers that want to optimize their electricity costs or increase their procurement of renewable power,” said Vibhuti Garg, an energy economist and lead India, IEEFA.
She added that the pandemic increased the price sensitivity of C&I consumers who already paid higher tariffs to cross-subsidize agricultural and residential consumers and saving on electricity costs was absolutely critical for them.
“Solar module and battery prices have already fallen, and with the government’s new Production-Linked Incentive (PLI) scheme to boost domestic solar manufacturing, solar technology prices are expected to drop even further,” Garg added.
The report added that other factors expected to boost uptake of rooftop solar by C&I consumers were more accessible financing options and corporates wanting to switch to 100 percent renewable energy to meet their RE100 commitments.
Source: Economic Times