Unlocking the Potential of Solar Energy in India: Regional Feasibility and Socio-Economic Impacts

Unlocking the Potential of Solar Energy in India: Regional Feasibility and Socio-Economic Impacts

KRANTI GANGWAR

Introduction

India, as one of the world’s fastest-growing economies, faces a substantial challenge in meeting its escalating energy demands. According to the International Energy Agency (IEA), India is expected to become the largest driver of global energy demand over the next few decades, with its energy consumption projected to grow by over 50% by 2040 [1]. Presently, the country relies heavily on conventional energy sources, primarily coal, to meet its energy needs, contributing to air pollution, environmental degradation, and significant carbon emissions. In light of these challenges, renewable energy sources, particularly solar power, have emerged as viable alternatives to ensure sustainable energy production while addressing environmental concerns [2].

India's geographic location provides it with an abundance of solar radiation, making it one of the most favorable regions for solar energy deployment. The country receives an average of 4–7 kWh/m² of solar radiation per day, with areas in the western and southern parts of India receiving the highest solar insolation levels [3]. Recognizing this vast potential, the Indian government has aggressively pursued the development of solar power through initiatives such as the National Solar Mission (NSM), which targets an installed capacity of 100 GW by 2022 and 500 GW by 2030 [4]. These ambitious targets are part of a broader strategy to reduce the country’s dependence on fossil fuels, mitigate the impacts of climate change, and transition to a low-carbon economy. The rapid growth of the solar sector is further supported by favorable policies, financial incentives, and a supportive regulatory environment designed to attract investments and accelerate the adoption of solar technologies.

Despite its immense potential, the large-scale adoption of solar energy in India faces several hurdles. The initial capital cost of solar installations remains one of the most significant barriers, with the upfront investment for both residential and commercial systems being relatively high compared to conventional energy sources. Additionally, the intermittency of solar energy, along with a lack of adequate energy storage solutions, raises concerns regarding grid stability and reliability [5]. Moreover, the availability of financing options, access to skilled labor, and local infrastructure challenges can also impede the widespread deployment of solar technologies. These factors necessitate a comprehensive feasibility and economic analysis to evaluate the true potential of solar energy in India, taking into account both the technical and financial aspects of large-scale solar projects.

This paper explores the potential of solar energy in India, with a focus on regional feasibility and socio-economic impacts. The study evaluates the financial viability, technical performance, and long-term benefits of solar energy installations across different regions, taking into account factors such as solar resource availability, land requirements, technological choices, and local economic conditions. The aim is to assess the feasibility of solar power projects at the regional level and examine the socio-economic outcomes, including job creation, income generation, and rural development. Through a comprehensive analysis of costs, benefits, and socio-economic impacts, this study seeks to provide insights into how solar energy can contribute to India’s energy security and sustainable development goals, while identifying strategies to overcome barriers to its wider adoption.