rooftop solar

India's rooftop solar market recorded its best-ever performance in the January-March 2026 quarter. During this period, rooftop solar installation increased by 125% on annual basis to 2.7 gigawatt (GW). Behind this sharp growth was the strong demand from domestic consumers under the PM Surya Ghar Yojana and the rapidly increasing solar adoption trend in many big states including Uttar Pradesh.

According to Mercom India Research, this capacity is 25% more than the 2.2 GW added in the previous quarter and more than double the 1.2 GW added in Q1 2025.

Maharashtra led the way with the highest share of 17% during the quarter, while Uttar Pradesh contributed 16% of the total rooftop solar capacity addition. With this, UP has joined the fastest growing solar markets of the country. Gujarat stood third with 15% share.

Solar market growing beyond traditional states

It is clear from the report that now the expansion of rooftop solar is not limited only to traditional solar states. Uttar Pradesh recorded a compounded quarterly growth rate of 22% between Q1 2025 to Q1 2026, the second fastest growth in the country after Assam (40%).

dominance of domestic consumers

The biggest contribution in this quarter was from domestic consumers. The residential sector accounted for 82% of the total new installations. Government subsidy, easy approval process and better implementation of PM Surya Ghar Yojana played an important role in this.

The share of the industrial sector was 11%, while the contribution of commercial and government sectors was 7% and 0.4% respectively. India's total rooftop solar capacity to increase to 23.5 GW by March 2026. The share of rooftop solar in the country's total solar capacity growth in this quarter was 18%.

Slowdown in project pipeline

Despite record installation, the pace of new projects slowed down a bit. Tenders for 482 megawatts (MW) were issued during the quarter, which was 38% less than the previous quarter. At the same time, auction activities also remained weak and only 269 MW projects were auctioned, which is 67% less than in Q4 2025.

Tremendous response to PM Surya Ghar Yojana in UP

PM Surya Ghar: Under the free electricity scheme, Uttar Pradesh has received more than 10.57 lakh applications, which is about 14% of the total applications across the country. More than 6.01 lakh rooftop solar installations have been completed so far in the state. With this, UP has become the third state after Gujarat and Maharashtra to cross the figure of 6 lakh installations.

Kanhaiya Pachauri

Kanhaiya Pachauri is an experienced journalist with 10 years of experience in print, TV and online media. He started his career as a print journalist and has been covering the tech and auto sections for the last few years. He researches technology closely and keeps an eye on the latest trends and developments. Currently, Kanhaiya is associated with TV9, where he is covering the Tech and Auto section. He has made a name for himself for in-depth coverage of the latest developments in the industry. We are ready to provide complete and correct information about any news to the users. When he is not working on technology, he enjoys pursuing his hobbies. He likes listening to music and reading books. He believes that music and books are a great way to relax after a busy day at work.

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