New Delhi: India has emerged as the world’s second-largest solar growth market in 2025, overtaking the United States in annual solar power capacity additions and reinforcing its position as a global leader in renewable energy expansion.
Union Minister for New and Renewable Energy Pralhad Joshi announced the development on Thursday, highlighting India’s rapid progress in the clean energy sector. In a post on X, Joshi said India has become the fastest-growing major solar market, driven by strong policy support, innovation and large-scale infrastructure development.
According to data cited by the minister, India added 37 gigawatts (GW) of solar power capacity during the past year, surpassing the United States, which added 34 GW. China retained the top position globally with a massive addition of 315 GW during the same period.
India has also crossed its target of achieving 50 percent non-fossil fuel-based electricity capacity and fulfilled its Nationally Determined Contributions (NDCs) ahead of schedule. The country currently has around 155 GW of installed solar power capacity, marking a significant milestone in its energy transition journey.
The pace of solar expansion in India has accelerated sharply over the past few years. The country added 9.6 GW of solar capacity in 2023, which increased to 25.4 GW in 2024 before reaching 37 GW in 2025. During the same period, the United States added 27 GW and 37.7 GW in 2024 and 2025 respectively.
Despite leading the United States in annual additions, India remains behind in overall installed solar capacity. The US currently has approximately 211.6 GW of installed solar power, compared to India’s 135.5 GW.
Earlier this year, India officially became the world’s third-largest solar power producer. Data from the Ministry of New and Renewable Energy showed that cumulative installed solar capacity reached 143.6 GW by February 2026. Industry estimates indicate that a record 37.8 GW of new solar capacity was added during calendar year 2025, including utility-scale projects, rooftop solar installations and off-grid systems.
The rapid growth of the sector is also transforming energy consumption patterns across the country. Rising electricity costs and concerns over grid reliability have increased demand for hybrid solar systems and battery-backed inverters among households and businesses. Consumers in states such as Maharashtra, Uttar Pradesh and Kerala are increasingly opting for systems that can provide uninterrupted power during outages.
Industry forecasts suggest the momentum is likely to continue. India’s solar inverter market, valued at nearly $910 million in 2025, is expected to grow to around $1.58 billion by 2035, with hybrid and energy-storage-integrated systems emerging as the fastest-growing segment.
The latest figures underline India’s growing role in the global clean energy transition as the country continues to expand renewable energy infrastructure while reducing dependence on fossil fuels.
