Mumbai-based solar engineering, procurement and construction (EPC) company expects a 50-60% year-on-year growth over the next three years driven primarily by the increasing demand for solar power in the commercial and industrial segment, Anuraag Gupta, director of Ohms Energy told bno intellinews.

“A big focus area for us is the commercial and industrial segment. With India’s manufacturing sector gaining momentum, we expect a surge in solar adoption. More companies are setting up manufacturing units and solar is becoming an essential component of captive power generation. The availability of affordable financing is further boosting the transition,” Gupta said.

The company has many projects in the pipeline, under different models. Ohms is working with a steel casting company, a textile company, an engineering company for their solar needs and a solar park. Its total pipeline of projects is around INR100mn ($1.15mn).

The Mumbai-based firm recently commissioned a 400 kWp rooftop solar PV project for SG Heavy Engineering Ltd. in Wada, Maharashtra.

Ohms Energy is also very active in the residential space. It has executed solar EPC projects for large housing societies which have more than four or five buildings in their complex with huge common amenity areas. For the company the residential segment is growing faster due to the government of India’s subsidy programme for solar adoption.

The solar power sector has seen massive growth in India in recent years. The country has achieved a historic milestone by surpassing 100 GW of installed solar power capacity, the government said on February 8.

The country’s solar power sector has in turn clocked a 3,450 % jump in capacity over the past decade, rising from 2.82 GW in 2014 to 100 GW in 2025. As of January 31, India’s total solar capacity installed stands at 100.33 GW, with 84.10 GW under implementation and an additional 47.49 GW under tendering, according to government data.

Solar energy accounts for 47% of the total installed renewable energy capacity. In 2024, a record-breaking 24.5 GW of solar capacity was added reflecting a more than two-fold increase in solar installations compared to the year before. The year 2024 also saw the installation of 18.5 GW of utility-scale solar capacity, a nearly 2.8 times increase compared to 2023, according to the Indian government. Rajasthan, Gujarat, Tamil Nadu, Maharashtra and Madhya Pradesh are some of the states that are driving this growth.

Rooftop solar policy boost

The rooftop solar sector in India witnessed remarkable growth in 2024, with 4.59 GW of new capacity installed, reflecting a 53% increase compared to 2023. An important factor of this growth has been the PM Surya Ghar: Muft Bijli Yojana, which was launched in February last year and is now nearing 900,000 rooftop solar installations, the government said. The Indian government expects that by March 2025, installations under the scheme are expected to exceed 1mn, with the numbers doubling to 2mn by October 2025 and reaching 4mn by March 2026. The main aim of this initiative is to provide free electricity to households by facilitating the installation of rooftop solar panels. 

The scheme as it stands now includes subsidies of up to 40%, which makes renewable energy more cost-efficient and accessible. As a result, INR43bn has been disbursed as Central Financial Assistance (CFA) to over 554,000 residential consumers, with an average subsidy of INR77,800 per household. Additionally, an estimated 45% of the beneficiaries are now receiving zero electricity bills, depending on their solar power generation and consumption patterns, the government said in early February 2025. Also, by promoting the widespread use of solar power, the scheme is expected to save the government an estimated INR750bn annually in electricity costs. The subsidy provided under the scheme varies based on the household's average monthly electricity consumption and the corresponding suitable rooftop solar plant capacity.

Commenting on the scheme, Gupta said, “The scheme is currently set to run until March 2026, but I believe it will be extended as it is a very popular initiative. The annual subsidy cost is manageable for the government.”

Government policy support robust

According to Gupta, the government has done more than it could to promote the adoption of solar energy. “Now it is up to the industry, especially EPC companies to upgrade their quality of services and installation methodologies,” he said.

Cell manufacturing is the fastest growing segment in the value chain of the solar industry. Gupta said that the government has rightly supported the industry with subsidies, production linked incentive (PLI) and adherence to domestic content requirement (DCR) regulations for subsidy projects. “The PM Kusum Scheme has played the biggest role in the proliferation of cell manufacturing in India,” he said.

“The industry must adopt newer technology and also have a longer-term view on the sector. We have to reach a point where the differential in the prices of Indian cells and Chinese cells is minimal, yet the manufacturers are still able to make decent profits. For this, the industry has to look at scale and technology,” Gupta added.

Growth outlook for the renewable sector

India has set an ambitious goal of 500 GW production from non-fossil sources by 2030. As of end-January 2025, India’s total non-fossil fuel-based energy capacity has reached 217.62 GW, according to government data. Gupta believes that the 500 GW target is achievable. “It is certainly possible. The current goal is to add 60 GW to 70 GW annually. Over the next five years, even if we don’t reach 500 GW, we should at least achieve anywhere between 400 GW to 500 GW,” he said.

Gupta is extremely bullish about power demand in India driven by three main sectors: transportation, data centres and infrastructure. This demand will give a big boost to renewable energy.

“Currently, 95–98% of transportation relies on petrol and diesel. Over the next five to six years, electrification will dramatically increase power demand as vehicles shift to electric power. Additionally, India’s data localisation mandates mean that more data centres must be built domestically, further driving power consumption. Finally, as India upgrades its infrastructure, the sector will require lots of power. To meet this growing demand, we cannot rely solely on coal and gas. A diversified power generation approach is essential, with renewable energy playing a major role,” he concluded.