Unpacking Implementation Challenges in Rooftop Solar in India

August 27, 2025

India’s rooftop market is gaining momentum and offers a reliable and decentralized solution towards offsetting thermal based electricity consumption. It benefits users with competitive electricity tariffs and DISCOMS with increased sources of revenue. The current subsidy driven CAPEX model for various consumers has strongly contributed to the growth of RTS markets, however, given the provisions for alternative models such as RESCO/OPEX there is an immense potential for the sector to promote RTS for large-scale on-site consumption.The share of RESCO/OPEX based models has been consistently declining, but, is a promising solution towards increased solar RTS adoption by diverse consumer groups in India.

This report examines various modalities within RESCO/OPEX business models including successful examples with cost-competitivity. Noting the challenges observed on consumers, DISCOMS, and project developers we recommend aligning policy decisions for sound market development with financial viability mechanisms