Solar energy funding dips 9% in 2023; 2024 'kicks off' with US$1 billion investment

By Lakshmitha Raj*
Solar energy tech companies have already secured slightly over US$1 billion in funding in 2024 (till Feb 7, 2024) after total funding into Solar Energy companies in India fell 9% to US$1.55B in 2023 from US$1.7B in 2022. A total of 39 $100M+ rounds have been closed till date, with Delhi leading the city-wise funding, followed by Gurugram and Mumbai.
Tracxn, a leading market intelligence platform has released its Geo Solar Energy Report. The report, based on their extensive database, provides a round-up of funding and other major developments in India’s solar energy space in 2023.
This sector secured funding worth US$1.55 billion in 2023, 9% lower than the US$1.7 billion raised in 2022. However, within the first month of 2024, this space has witnessed US$1 billion in funding, with Sukhbir Agro Energy raising US$1 billion in its private equity round in January 2024.
The majority of the funding in this space comes from late-stage rounds. However, a decline in late-stage investments led to a subsequent drop in overall funding in 2023. Companies in this space attracted late-stage funding worth US$1.3 billion in 2023, a 23% decrease from the US$1.7 billion raised in 2022.
A sharp surge was observed in early-stage funding, which rose six-fold to US$252 million in 2023 from US$39 million in 2022. Seed-stage funding in this space has raised a total of US$11.5 million in 2023, a growth of 58% compared to the US$7.26 million raised in 2022.
The solar energy sector in India has witnessed a total of 39 US$100 million+ rounds to date, out of which 12 have taken place in the last two years. No unicorns have emerged from this sector so far.
Among the cities, Delhi takes the lead in terms of total funding to date, followed by Gurgaon and Mumbai. Solar energy companies based in Delhi have raised US$3.1 billion to date, followed by those based in Gurugram (US$2.7 billion) and Mumbai (US$2.3 billion).
There has been notable activity in terms of exits within this sector. The Indian solar energy sector has seen 43 acquisitions to date, of which 16 acquisitions were witnessed in the last few years, and 2024 has seen only one acquisition so far. Further, 49 companies have gone public to date, out of which three IPOs took place in 2023 and two in 2022.

Among the cities, Delhi takes the lead in terms of total funding, followed by Gurgaon and Mumbai

IFC, Villgro, and DFC are the most active investors in the Indian Solar Energy space to date. CIIE, Social Alpha, and Villgro are the top seed-stage investors in this space, while Acumen, CIIE, and FMO are the top early-stage investors. Axis Bank, British International, and KKR are the top late-stage investors in this space.

Meanwhile, the government of India has started to focus on locally developing solar products by providing incentives worth more than US$3 billion in the last three years. States such as Gujarat, Rajasthan, Karnataka, and Tamil Nadu are already generating more than 9 MW of solar energy.
The Indian government has set a target of net zero emissions by 2070. It also plans to diversify 50% of its electricity requirement to renewable energy by 2030. The government is giving a push to the deployment of renewable sources of energy, especially solar, through policies and incentives.
The government also encourages 100% Foreign Direct Investment (FDI) through the automatic route to promote solar energy within the country. These initiatives are expected to bolster solar energy companies and accelerate sectoral growth.
---
*Manager PR and Corporate Communications, Tracxn Technologies Ltd., Bangalore

Comments

Urgent need to study cause of large number of natural deaths in Gulf countries

By Venkatesh Nayak* According to data tabled in Parliament in April 2018, there are 87.76 lakh (8.77 million) Indians in six Gulf countries, namely Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates (UAE). While replying to an Unstarred Question (#6091) raised in the Lok Sabha, the Union Minister of State for External Affairs said, during the first half of this financial year alone (between April-September 2018), blue-collared Indian workers in these countries had remitted USD 33.47 Billion back home. Not much is known about the human cost of such earnings which swell up the country’s forex reserves quietly. My recent RTI intervention and research of proceedings in Parliament has revealed that between 2012 and mid-2018 more than 24,570 Indian Workers died in these Gulf countries. This works out to an average of more than 10 deaths per day. For every US$ 1 Billion they remitted to India during the same period there were at least 117 deaths of Indian Workers in Gulf ...

A comrade in culture and controversy: Yao Wenyuan’s revolutionary legacy

By Harsh Thakor* This year marks two important anniversaries in Chinese revolutionary history—the 20th death anniversary of Yao Wenyuan, and the 50th anniversary of his seminal essay "On the Social Basis of the Lin Biao Anti-Party Clique". These milestones invite reflection on the man whose pen ignited the first sparks of the Great Proletarian Cultural Revolution and whose sharp ideological interventions left an indelible imprint on the political and cultural landscape of socialist China.

India's health workers have no legal right for their protection, regrets NGO network

Counterview Desk In a letter to Union labour and employment minister Santosh Gangwar, the civil rights group Occupational and Environmental Health Network of India (OEHNI), writing against the backdrop of strike by Bhabha hospital heath care workers, has insisted that they should be given “clear legal right for their protection”.

Uttarakhand tunnel disaster: 'Question mark' on rescue plan, appraisal, construction

By Bhim Singh Rawat* As many as 40 workers were trapped inside Barkot-Silkyara tunnel in Uttarkashi after a portion of the 4.5 km long, supposedly completed portion of the tunnel, collapsed early morning on Sunday, Nov 12, 2023. The incident has once again raised several questions over negligence in planning, appraisal and construction, absence of emergency rescue plan, violations of labour laws and environmental norms resulting in this avoidable accident.

History, culture and literature of Fatehpur, UP, from where Maulana Hasrat Mohani hailed

By Vidya Bhushan Rawat* Maulana Hasrat Mohani was a member of the Constituent Assembly and an extremely important leader of our freedom movement. Born in Unnao district of Uttar Pradesh, Hasrat Mohani's relationship with nearby district of Fatehpur is interesting and not explored much by biographers and historians. Dr Mohammad Ismail Azad Fatehpuri has written a book on Maulana Hasrat Mohani and Fatehpur. The book is in Urdu. He has just come out with another important book, 'Hindi kee Pratham Rachna: Chandayan' authored by Mulla Daud Dalmai.' During my recent visit to Fatehpur town, I had an opportunity to meet Dr Mohammad Ismail Azad Fatehpuri and recorded a conversation with him on issues of history, culture and literature of Fatehpur. Sharing this conversation here with you. Kindly click this link. --- *Human rights defender. Facebook https://www.facebook.com/vbrawat , X @freetohumanity, Skype @vbrawat

Job opportunities decreasing, wages remain low: Delhi construction workers' plight

By Bharat Dogra* It was about 32 years back that a hut colony in posh Prashant Vihar area of Delhi was demolished. It was after a great struggle that the people evicted from here could get alternative plots that were not too far away from their earlier colony. Nirmana, an organization of construction workers, played an important role in helping the evicted people to get this alternative land. At that time it was a big relief to get this alternative land, even though the plots given to them were very small ones of 10X8 feet size. The people worked hard to construct new houses, often constructing two floors so that the family could be accommodated in the small plots. However a recent visit revealed that people are rather disheartened now by a number of adverse factors. They have not been given the proper allotment papers yet. There is still no sewer system here. They have to use public toilets constructed some distance away which can sometimes be quite messy. There is still no...

Women's rights leaders told to negotiate with Muslimness, as India's donor agencies shun the word Muslim

By A Representative Former vice-president Hamid Ansari has sharply criticized donor agencies engaged in nongovernmental development work, saying that they seek to "help out" marginalizes communities with their funds, but shy away from naming Muslims as the target group, something, he insisted, needs to change. Speaking at a book release function in Delhi, he said, since large sections of Muslims are poor, they need political as also social outreach.

Warning bells for India: Tribal exploitation by powerful corporate interests may turn into international issue

By Ashok Shrimali* Warning bells are ringing for India. Even as news drops in from Odisha that Adivasi villages, one after another, are rejecting the top UK-based MNC Vedanta's plea for mining, a recent move by two senior scholars Felix Padel and Samarendra Das suggests the way tribals are being exploited in India by powerful international and national business interests may become an international issue. In fact, one has only to count days when things may be taken up at the United Nations level, with India being pushed to the corner. Padel, it may be recalled, is a major British authority on indigenous peoples across the world, with several scholarly books to his credit.

Gujarat Bitcoin scam worth Rs 5,000 crore "linked" with BJP leaders: Need for Supreme Court monitored probe

By Shaktisinh Gohil* BJP hit a jackpot in the form of demonetisation, which it used as an alibi to convert black money into white in Gujarat. Even as party scrambles for answers of how the Ahmedabad District Cooperative Bank (ADCB), whose director is BJP president Amit Shah, received old currency worth Rs 745.58 crore in just five days, and how Rs 3118.51 crore was deposited in 11 district cooperative banks linked with Gujarat BJP leaders, a new mega Bitcoin scam, worth more than Rs 5,000 crore has been unraveled.

Counterview

Search This Blog