India explores canal networks for solar power expansion

UPDATE - follow-up to India's vast canal network offers a land-free path to solar power: India's vast canal infrastructure offers an alternative path for solar power generation without requiring additional land. The recently approved PM Surya Sarovar Yojana aims to develop 5,000 MW of floating solar capacity, while canal-top photovoltaics mount solar panels on elevated structures over irrigation and water canals. The primary advantage of this approach is that it requires virtually no extra land while reducing water loss from evaporation and improving panel performance through the cooling effect of water below. For instance, a 1-MW system over the Narmada Canal in Mehsana, Gujarat, commissioned in 2012, saves close to 9 million litres of water annually and generates 1.6 million units of electricity. In Punjab, installing 20 MW of canal-top systems saved nearly 100 acres of land. India hosted its first canal-top installation in Mehsana in 2012, followed by 10-MW systems in Vadodara between 2014 and 2017, and 20 MW in Punjab between 2017 and 2018. In September 2025, the Punjab Energy Development Agency invited expressions of interest for 40-MW projects across more than 10,000 km of canals, and Haryana explored systems over six irrigation canals. The Ministry of New and Renewable Energy launched a pilot scheme in 2014 offering financial assistance of Rs 3 crore per MW for canal-top systems. A 2024 assessment co-authored by CSTEP estimated India's canal-top and canal bank potential at around 131 GW, identifying Uttar Pradesh, Bihar, Karnataka, Andhra Pradesh, and Punjab as the top five states. Despite this potential, high system costs remain a bottleneck because elevated structures require extra steel and foundations to withstand winds while maintaining water flow. Maintenance tasks and irregular canal paths also increase operational challenges and electricity production costs. Overcoming these hurdles requires tailored financing, such as viability gap funding and low-cost debt, alongside standardized guidelines and a renewed policy approach.