India surpasses US in annual solar capacity additions, becomes 2nd largest solar growth market in 2025

Why in News?

India has surpassed the United States in annual solar capacity additions to become the world’s second-largest solar growth market in 2025.

According to the latest report by the International Renewable Energy Agency, India added more than 37 GW of solar capacity in 2025, compared to around 34 GW added by the United States. 

Key Highlights 

• India has crossed 155 GW of installed solar capacity.
• This achievement has helped the country:
  • Reach its target of 50% non-fossil fuel-based installed electricity capacity.
  • Fulfil its Nationally Determined Contributions (NDCs) under the Paris Agreement ahead of schedule.
• The growth of India’s solar sector has significantly accelerated: the first 50 GW took 96 months, the next 50 GW took 36 months and growth from 100 GW to 150 GW took only 14 months.

PM Surya Ghar: Muft Bijli Yojana 

• Launched on 13 February 2024.
• Total outlay: ₹75,021 crore.
• Aims to promote rooftop solar installations in households across India.
• Considered the world’s largest domestic rooftop solar programme.

• More than 40 lakh households have already benefited.
• Around 30 lakh rooftop solar installations have been planned across states.
• The scheme operates through a Utility-Linked Aggregation (ULA) model.

India’s Global Renewable Energy Position

According to Renewable Energy Statistics 2026, India ranks third globally in total renewable energy installed capacity.

Top Countries by Renewable Energy Installed Capacity

Rank	Country	Capacity (GW)
1	China	2,258.02
2	United States	467.92
3	India	250.52