Mubasher: The share of renewable energy sources in the total generation mix is expected to rise by 5% from 7.7% in 2018 to between 12% and 13% by 2022, according to ICRA.

“The project awards so far provide a reasonably healthy visibility for RE capacity addition in fiscal year 2019 and FY2020 with the expected addition of about 8-8.5 Gw in FY2019. This apart, RE projects are likely to remain cost competitive against conventional power sources,” PV quoted the head of corporate ratings at ICRA.

Rising interest rates are putting a question mark on the viability of solar projects with tariffs under $0.040 per unit.

Moreover, solar project developers are facing challenges in securing connectivity and open access to the inter-state transmission network, which has resulted in the cancellation or capacity downsizing of some of the bids by the Solar Energy Corporation of India (SECI).