India’s solar power push misses targets as red tape, loan refusals hamper transition
India’s efforts to nearly double clean energy capacity to 500 gigawatts by 2030 are being met with reluctance from banks and state utilities
Challenges to plans to increase solar uptake may mean India maintains its reliance on coal-fired power.
India’s Ministry for New and Renewable Energy created its subsidy programme for residential solar panel installations in February 2024, covering up to 40 per cent of the costs. But residential installations at 2.36 million are well below the ministry’s target of 4 million by March, according to data from the programme’s website.
“Banks’ reluctance to lend and states’ hesitance to promote the schemes could derail India’s efforts to transition away from coal,” said Shreya Jai, the lead energy analyst at research firm Climate Trends in New Delhi.