The great Indian solar harvest

Government initiatives, such as the PLI scheme and the ALMM list, have increased innovation, reduced import dependence, and strengthened energy security.

The Indian solar manufacturing sector is undergoing a rapid shift towards self-reliance, facilitated by the integration of automation and AI. As of September 2025, module capacity has doubled to 74 GW, and cell production has tripled, which reflects a strategic move toward domestic production. Leading companies are leveraging high-efficiency technologies in their production processes. Additionally, government initiatives such as the PLI scheme and the ALMM list have increased innovation, reduced import dependence, and strengthened energy security. These efforts are positioning India as a global leader in solar manufacturing and renewable energy innovation. Let us gain insight from industry experts into the current scenario and the path ahead, shaping the sector.

Self-reliance in solar manufacturing

The country is on its way to self-reliance in solar manufacturing. Investing in research and innovation and reducing dependence on imports is on the cards. While complete independence is challenging due to critical mineral scarcity, strategic partnerships and localised supply chains can strengthen and support sustainable growth in the solar sector.

Commenting on the development, Amod Anand of Loom Solar shares, “Total supply-chain independence, given China’s entrenched upstream dominance and cost advantage, remains a distant goal for any nation. We believe the focus on strategic self-reliance, driven by policies like the Production-Linked Incentive (PLI) scheme, is a pragmatic and powerful way to secure India’s green future.”

Self-reliance in solar manufacturing would entail growing module and cell capacity through upstream manufacturing, making significant investments in research and development, and moving beyond mere assembly of parts. Gautam Mohanka of Gautam Solar expresses, “At present, there is a huge trade imbalance, and to overcome that we need localisation to avoid reliance on technological imports.”

Automation and AI in solar module making

Today, IoT sensors have become increasingly popular, as they enable real-time monitoring of machines and equipment. This makes maintenance much easier and reduces the cost of repairs. Automation has enabled faster and more precise assembly, while advanced inspection technology helps detect issues such as microscopic cracks; thus, only the highest-quality products reach the end user.

Sanjay Garg from Shweta Solar emphasises, “AI and automation are leading the charge to set new benchmarks for solar production. AI-based vision systems identify defects in real time, while sorting cells and laminating modules.” He further says that predictive maintenance of manufacturing assets minimises downtime, anticipates component failure, and optimises throughput for us.

Almost all new module manufacturing lines that are being set up in India are fully automated in their operations. Raghavendra Lawaniya from Sunkonnect shares, “The newer production lines nowadays also collect a lot of operational data to help engineers do preventive maintenance. In addition to this, some manufacturers are also embracing AI tools to flag defects in pre-EL & post-EL stages in PV module manufacturing.”

Solar supply chain

The solar supply chain encompasses raw material sourcing, cell and module manufacturing, component assembly, distribution, and installation. Key materials include silicon, glass, and metals, while technology and logistics drive efficiency. Supply chain volatility has been a significant issue, particularly for wafers and polysilicon. Sanjay Garg states, “We counter threats at Shweta Solar by having varied sources, long-term procurement agreements, and partnerships with new local suppliers. We are also pursuing backward integration by investing in wafer and cell lines to phase out dependence on imports over time.”

Strengthening local production and reducing dependence on imports can enhance energy security, lower costs, and support sustainable solar adoption. Gautam Mohanka says, “We have invested a lot of money in research and development to reduce our reliance on technological imports. We are working towards vertical integration to scale and gain control over various stages of the supply chain. Also, we are attempting to build a system for producing key material components, including glass, ribbons, and aluminium, to control costs and effects of global supply chain disruptions.”

Balance between rooftop and utility-scale solar

Achieving the right balance between rooftop and utility-scale solar is crucial for an efficient and resilient energy transition. Rooftop solar empowers consumers, reduces transmission losses, and enhances local energy security, particularly in urban areas. Utility-scale solar, on the other hand, benefits from economies of scale, lower per-unit costs, and large-scale integration into the grid that supports a stable power supply. A diversified approach leverages the strengths of both to ensure affordability, reliability, and widespread adoption.

Gautam Mohanka states that the government is pushing for rooftop solar installations to reduce reliance on fossil fuels, and undoubtedly, with increased awareness and financial assistance, their demand is expected to rise. At the same time, India is also expanding its solar production capacity to meet its sustainability goals. He says, “This would mean, while large-scale components will continue to grow in demand, there will be a need for smaller inverters and optimisers. Furthermore, to fully adapt the model, demand for energy storage systems is going to increase for both domestic and commercial uses.”

The balance is shifting dramatically and creating new opportunities for manufacturers. Historically, utility-scale projects have driven demand for massive, uniform, cost-efficient modules. However, the next five years will be defined by the explosive growth of the residential and commercial rooftop solar market, fuelled by initiatives like the PM Surya Ghar Yojana. This segment demands a wider variety of module sizes, aesthetics, and, most importantly, completely integrated solutions that include advanced inverters and batteries.

Amod Anand expresses, “This dual demand is a powerful tailwind for Loom Solar. Our business model is perfectly aligned with the needs of the booming rooftop market, and we are strategically expanding our manufacturing to meet both the high-volume demands of utility projects and the nuanced, application-specific needs of a customer-centric, decentralised energy market.”

Commenting on the scenario, Sanjay Garg says that utility solar will still lead capacity additions because of economies of scale and policy-tendered bids. “Rooftop solar, however, will experience exponential growth with net metering reforms, residential incentives, and corporate ESG-related commitments. From the manufacturing perspective, this bifurcation in demand will encourage companies like ours to expand our product mix — providing high-efficiency utility-grade panels in addition to lighter, more compact, and sleek solutions for rooftops,” he shares. Commenting ahead on the development Raghavendra Lawaniya opines, “I feel that the per capita energy consumption of India is still very low compared to other developing economies, so I feel both rooftop and utility scale solar have a significant space to grow and would boost domestic manufacturing and result of the same we can see with more than 100 manufacturers being ALMM approved by the government.”

Hence, one can conclude that the Indian solar manufacturing sector is at a pivotal juncture, driven by self-reliance, automation, and AI integration. Strategic investments in R&D, localised supply chains, and advanced manufacturing technologies are reducing import dependence while enhancing energy security. The dual growth of rooftop and utility-scale solar is reshaping demand, encouraging innovation in module design, inverters, and storage solutions. With government support through schemes like PLI and ALMM, India is not only scaling up its capacity but also fostering a resilient and diversified solar ecosystem. These concerted efforts position the country as a global leader in solar manufacturing and a model for others to follow.

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Quotes:

Amod Anand, Cofounder and Director, Loom Solar

“We believe the focus on strategic self-reliance, driven by policies like the Production-Linked Incentive (PLI) scheme, is a pragmatic and powerful way to secure India’s green future.”

Sanjay Garg, Director, Shweta Solar Pvt. Ltd.

“AI and automation are leading the charge to set new benchmarks for solar production. AI-based vision systems identify defects in real time, while sorting cells and laminating modules.”

Gautam Mohanka, Director, Gautam Solar

“We are working towards vertical integration for scaling and gaining control over various stages of the supply chain. Also, we are attempting to build a system for producing key material components, including glass, ribbons, and aluminium, to control costs and effects of global supply chain disruptions.”

Raghavendra Lawaniya, Director, Sunkonnect Pte Ltd

“I feel that the per capita energy consumption of India is still very low compared to other developing economies, so I feel both rooftop and utility-scale solar have a significant space to grow and would boost domestic manufacturing.”