India’s solar module manufacturing capacity rose sharply to 109.5 GW by September 2025, from 11.1 GW in March 2022. This surge has led to excess capacity and increased caution among lenders, the report says.
Companies are moving into related segments to capture more of the value chain and improve cost efficiency. By integrating production and services, they can offer complete solutions to customers while reducing dependence on multiple vendors, the report says further.
“Diversification is one of the top themes in the renewable energy space right now,” said Harshraj Aggarwal, Executive Vice-President, Institutional Equity Research at Yes Securities.
Firms such as Waaree Energies, Vikram Solar, Premier Energies, ACME Group, and Suzlon Energy have expanded, and this diversification also meets investor demand for higher valuations and integrated business models, the report adds.
“As renewable penetration increases, the focus is gradually shifting from standalone products to integrated energy solutions. Markets globally have shown that companies that expand into storage, energy management, and system-level solutions are better positioned to create long-term value,” said Arun Mittal, Chief Executive Officer of VSL PowerHive.
Will diversification reshape competition in India’s renewable energy sector? Share your thoughts in the comments section.
