India seen adding another 1000 MW solar power in 2014

India is likely to add another gigawatt (1000 MW) of electricity through solar installations during 2014, nearly about the same as during 2013, according to a consultancy firm.

The market survey by Mercom Capital Group LLC, a global clean energy communications and consulting firm, has revealed that growth in installations might be elusive again in 2014 with numbers forecast to be similar to 2012 and 2013.

Solar installations in India totalled 1,004 MW in 2013 compared to 986 MW in 2012. There was very little growth in installations year-over-year.

The report attributed the slow growth during 2014 to several factors, including state policies and trade dispute with the US in the World Trade Organisation (WTO) (See: US trade panel launches probe against India).

As things stand, there is no likelihood of the Jawaharlal Nehru National Solar Mission (JNNSM) PV projects coming up until mid-2015, the report said.

''It is time for developers to go directly to consumers, there is a large power-starved market waiting to be served that looks better as diesel prices keep climbing,'' Raj Prabhu, CEO and co-founder of Mercom Capital Group, said.

The US recently moved the WTO seeking consultations to settle its dispute with India regarding the latter's domestic content requirement (DCR) in JNNSM Phase II projects. The US claims that domestic content rules discriminate against US-manufactured solar cells and modules.

There is also no real Renewable Purchase Obligation (RPO) enforcement in place to boost private participation, adding more uncertainty to India's solar market, which could result in a slowdown in large-scale solar project installations, the report added.