Is the stage set for a rebound in the Indian renewable energy sector? Heading into 2019 that is the question stakeholders will try to get a grip on. After a record addition of 9,780 megawatt (MW) in 2017, Mercom India Research projects solar capacity additions to slow to 8,000MW this year.
The wind sector is expected to do worse, with capacity additions estimated to remain at multi-year lows for the second consecutive year, as the accompanying chart shows.
The sharp slowdown in the sector upset the calculations of many companies, forcing many intermediaries to downsize. The situation is expected to improve in 2019, but not significantly. While the government has announced some relief on the GST front, there are other challenges that remain for the sector.
Successive auctions by central government agencies have built up the project pipeline. As these projects take-off the ground, installations will rise in 2019. Read More