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Solar power capacity addition loses pace amid safeguard duty chaos

<p>The pace of solar power capacity addition in the April-June period has dropped sharply after notching rapid growth in four consecutive quarters as recent policy chaos around safeguard duty on imports and reopening of power purchase agreements begin to tell on promoters. According to an update from green energy market tracker Mercom India, the rate of adding solar installations declined 52% to 1,599 MW in the April-June period from 3,344 MW installed in the first three months of the calendar year.</p> <p>Due to uncertainty around the safeguard duty, auction activity in the first half of 2018 was weak, which will result in a smaller project pipeline for large-scale units for 2019. the market may freeze for 3-6 months following the safeguard duty announcement.</p>