Nov 25: India added a record 4.9 gigawatts (GW) of rooftop solar capacity in the first nine months (9M) of calendar year (CY) 2025. Installations rose nearly 161% compared to nearly 1.9 GW installed in 9M 2024, according to Mercom India’s newly released Q3 2025 India Rooftop Solar Market Report.
In the third quarter (Q3) of 2025, 2.1 GW of rooftop solar capacity was installed, marking the highest quarterly additions to date. This represents a 29% quarter-over-quarter (QoQ) increase from 1.6 GW in Q2 2025 and more than 164% year-over-year (YoY) growth from 791.1 MW in Q3 2024.
The PM Surya Ghar initiative remained the dominant contributor in Q3 and 9M 2025, making up 73% of rooftop solar installations in the quarter.
In Q3 2025, the industrial segment accounted for nearly 20% of the quarter’s installations. The commercial and government segments accounted for nearly 6% and more than 1% of capacity additions, respectively.
Rooftop solar capacity additions under the capital expenditure (CAPEX) model accounted for 84% of the quarter’s installations.
“Like utility scale, rooftop installations in the first nine months of the year have already surpassed all of last year’s additions. Residential installations, which made up only a third of rooftop solar three years ago, now account for 75% of the market. We expect this trend to continue until the PM Surya Ghar target is reached. The awareness created by the program is also likely to influence smaller C&I customers and encourage them to go solar. To keep this momentum on track, quality control in residential systems and persistent cost and supply challenges will need ongoing attention from the policymakers,” said Raj Prabhu, CEO of Mercom Capital Group.
Uttar Pradesh led the country’s rooftop solar capacity additions, accounting for 16% of the quarter’s installations. Maharashtra and Gujarat ranked second and third, respectively, accounting for more than 15% and 14% of capacity installed during the quarter. The top ten states accounted for more than 80% of total installations.
In 9M 2025, Gujarat led rooftop solar installations, accounting for more than 16% of the country’s rooftop solar additions. Maharashtra and Rajasthan followed, accounting for nearly 16% and 15%, respectively. As of September 2025, India had a cumulative installed rooftop solar capacity of 18.6 GW.
Assam achieved the highest compounded quarterly growth rate of more than 35% between Q3 2024 and Q3 2025.
In Q3 2025, more than 1.5 GW of rooftop solar tenders were issued, a nearly 19% increase over the 1.3 GW released in the previous quarter and a 311% rise from the 366 MW announced in Q3 2024. During the same period, over 6 MW of rooftop solar were auctioned, an 87% decline from the 49 MW auctioned in Q2 2025 but a 200% increase year over year compared to the 2.1 MW auctioned in Q3 2024.
Key Highlights from Mercom’s Q3 2025 India Rooftop Solar Market Report
- India added 4.9 GW of rooftop solar in 9M 2025, up 161% YoY
- In Q3 2025, 2.1 GW of rooftop solar capacity was added, up by 29% QoQ and 164% YoY
- Cumulative rooftop solar installations reached 18.6 GW as of September 2025
- In Q3 2025, more than 1.5 GW of rooftop solar tenders were issued, up nearly 19% QoQ and above 311% YoY
- During the quarter, more than 6 MW of rooftop solar were auctioned, down 87% QoQ and up 200% YoY
The Q3 2025 Mercom India Rooftop Solar Report is 120 pages long and covers all facets of India’s rooftop solar market. A comprehensive analysis of net metering policies across all Indian States and Union Territories is also included in the report.
