India Hybrid Power Solutions Market, By System Type (Solar-diesel, Wind-diesel, Solar-Wind-diesel and Others), By Power Rating (Up to 10 kW, 11 kW–100 kW and Above 100 kW), By Sales Channel (Direct, and Indirect), By End User (Residential, Commercial, Telecom, and Others), By Region, Competition Forecast & Opportunities, 2029F

India Hybrid Power Solutions market is predicted to proliferate during the forecast period 2025-2029F, owing to growth in hybrid power generation in off-grid sites, reduction in carbon emission, reduced operations & maintenance cost, and reliable power generation with minimized fuel across the country.

A hybrid power system is a high-efficiency power generating system designed for the production and use of electricity. The hybrid power system uses many power sources and is independent of the electrical grids. In regions without grid connectivity, such as the Pacific or Caribbean Islands, hybrid power systems are particularly effective at delivering electricity. Hybrid power generating systems, compared to traditional power generation methods, can deal with voltage variations and energy losses. The efficiency of hybrid power systems is higher compared to conventional power systems as they have two power generation systems.

Various regions in the country have a variety of growth drivers which is propelling the demand for hybrid power solutions in the upcoming yearsFor instance, in India, various growth drivers enhance the hybrid power solution market in the upcoming years.

Government Commitments -

Proposed Solar Cities and Parks – In 2022, the government approved

National Green Hydrogen Mission – In January 2023,

Growth in Hybrid Power Generation in Off-Grid Sites is Driving the Market Growth

The market for hybrid power solutions is expanding favorably because of the rising renewable energy demand, along with the rising off-grid electricity demand. The sharp rise in investments in rural electrification is the main driver of the market's expansion. Besides this, the market for hybrid power solutions is growing due to the simple availability of manufacturers and several government incentives. However, the higher payback period and a significant initial investment are the main challenges to the market's growth rate for hybrid power solutions. In contrast, the market for hybrid power solutions may face development barriers due to complicated system integration. Furthermore, reliable power generation with minimized fuel and reduced operations and maintenance costs are the major drivers of the hybrid power solution market across the globe, registering a significant CAGR.

In addition, the rising adoption of renewable energy sources and the complete electrification of rural areas using hybrid power solutions will present further market expansion prospects over the projection period. Due to its remarkable qualities and features for lowering carbon emissions, hybrid systems are becoming more and more prevalent. Additionally, these technologies provide maximum output while using less fuel. In addition, the market's focus has shifted to hybrid power solution systems as a result of growing awareness of global warming.

Impact of COVID-19

The COVID-19 outbreak had a significant negative influence on the market for hybrid power solutions, as faced by many other markets. The COVID-19 outbreak first caused a supply chain interruption in the manufacturing sector. The factories were shut down, and the employees returned home. Due to this, the output of hybrid power solutions declined in 2020. On the other side, governments' priorities have turned to eradicating the disease as soon as possible. As a result, the adoption of hybrid power solutions and the regulations governing them suffered from neglect and delays. As a result, during the pandemic period, the market for hybrid power solutions suffered significantly. Additionally, the COVID-19 pandemic has had an impact on the economic development of the country. Various significant measures have been made by several nations to stop the COVID-19 virus from spreading. A few of the actions include a partial or complete lockdown, travel restrictions, the closing of companies and manufacturing facilities, and labor scarcity, among many more. This action caused a distance and a labor shortage, which affected the supplier's capacity to produce and transport items on schedule. As a result, the manufacturers were unable to fulfil their obligation to customers on time.

Recent Development

• In Budget 2022-2023, the Union government invested approximately USD 2.57 billion for a PLI scheme to boost the manufacturing of high-efficiency solar modules across the country. This investment enhanced the market of renewable energy across the nation.
• In June 2021, the Prime Minister of India stated that renewable energy capacity in India increased by 250% between 2014 and 2021.. Additionally, the Central Electricity Authority estimates India’s power requirement to rise to reach 817 GW by the end of 2030. Real estate and transport sectors are important key factors responsible for the growth in the demand for electricity in the upcoming years. Therefore, this led to a direct impact on the market of hybrid power solutions across the country.
• Between April 2000 – June 2022, the non-conventional energy sector received a Foreign Direct Investment (FDI) inflow of USD 12.57 billion across the country. Therefore, the market of hybrid power solutions is directly impacted by this investment in the upcoming years.
• The Department for Promotion of Industry and Internal Trade (DPIIT) has revealed that from April 2000 and June 2022, FDI inflow into the Indian non-conventional energy industry totalled USD12.57 billion. Since 2014, more than USD 70 billion has been spent in India's renewable energy sector. India ranked third, globally, in terms of investments and intentions for renewable energy in 2020, according to the analytics company “British Business Energy”.
• India has set goals to install 50% of its electricity from renewable sources by 2030, reaching net-zero carbon emissions by 2070, and lowering the nation's economic carbon intensity by less than 45% by the end of the decade.

India also planned to manufacture five million tonnes of renewable hydrogen by the year 2030. This is supported by 125 GW of renewable energy capacity. In March 2023, India, 57 solar parks with a combined capacity of 39.28 GW have been approved. This led to a positive impact on the hybrid power solutions market in the forecast period.

• Additionally, The Production-Linked Incentive (PLI) Scheme in High-Efficiency Solar PV Modules for Boosting India’s Manufacturing Capabilities and Improving Exports – Atmanirbhar Bharat – has been approved by the Prime Minister. Additionally, various investments for national programme on ‘high-efficiency solar PV modules across the country, are also propelling market growth. For instance,

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Therefore, this investment is likely to enhance the demand for a hybrid power solution across the globe.

• In October 2022, in India, the Ministry of New and renewable energy under the government of India, sanctioned a total of 56 solar parks with a capacity of 39.28 GW in 14 states across the country.

Market Segmentation

The India Hybrid Power Solutions market is segmented into systems type, power rating, sales channel, end user, and region. Based on System Type, the market is segmented into solar-diesel, wind-diesel, solar-wind-diesel, and others. Based on power rating, the market is segmented into up to 10 kW, 11 kW–100 kW, and above 100 kW. Based on sales channel, the market is segmented into direct and indirect. Based on end user, the market is segmented into residential, commercial, telecom and others. Based on region, the market is segmented into North India, South India, West India, and East India.

Company Profiles

Siemens Gamesa Renewable Energy SA, GE Power India Limited, Huawei Technologies Co., Ltd, Eltek Ltd, SMA Solar India Private Limited, Vertiv Energy Pvt. Ltd, ZTE Corporation, are among the major players that are driving the growth of the India Hybrid Power Solutions market.