Rooftop Solar Growth Faces Setback as DCR Rules Create Supply Bottleneck
What Happened
India's rooftop solar sector, which saw strong growth in early 2026, is facing a slowdown due to shortages of DCR (Domestic Content Requirement)-compliant solar cells. Installations crossed 2 GW in June, but fell back below 1 GW in July after stricter DCR norms increased demand for domestically produced cells that are currently in short supply.
Key Takeaways
The DCR policy is intended to strengthen domestic manufacturing, but limited availability of compliant solar cells has pushed up module prices and strained supply chains. Industry experts warn that higher costs and longer delivery times could slow the momentum of rooftop solar adoption, including under the PM Surya Ghar Muft Bijli Yojana.