Deutsche Bank is now forecasting that India will install 34 GW of solar by 2020, a 240% increase over the bank’s previous prediction of 14 GW.
The change is “thanks in part to an influx of approximately $35 billion from global investors into the Indian solar PV sector,” CleanTechnica reports. “India itself has increased its solar energy target to attempt 100 GW by 2022, which has subsequently pushed its Renewable Energy Target up to 175 GW.”
Deutsche Bank sees the possibility of solar investment surpassing coal in India by 2019, Hill writes, and “solar PV capacity could overtake coal in financial year-2020. Such forecasts are thanks to the current commissioning of 4.5 GW, and a strong pipeline of approximately 5.1 GW under construction and 15 GW worth of new projects. New investment and fundraising opportunities such as yieldcos and green bonds are allowing India’s private sector to shift its focus from coal to solar.”
The bank points to transmission constraints and grid integration as “challenges to higher penetration” beyond India’s goal of producing 20% of electricity capacity from renewables.