Electrical Equipment / Components & Telecoms

According to Huacheng Import and Export Data Observation, in order to expand domestic solar module capacity, some solar module manufacturers have been competing for financial incentives provided by the Indian government.

According to Bloomberg and other media reports, several companies have submitted bids, including Reliance Industries, an enterprise group, Tata Power, an integrated power company, First Solar, an American solar module manufacturer, JSW Energy, an Indian power company, Avaada Group, a green energy developer, and ReNew Energy Global, a renewable energy company.

However, it is noteworthy that Adani Group did not participate in the bidding this time.

According to the PLI guidelines, the successful manufacturer of solar PV modules will be required to establish GW of efficient PV module capacity. This move aims to promote the production of efficient solar PV modules in India and reduce the dependence on renewable energy, Huacheng Import and Export Data Observation reported.

The Indian government allocated 195 billion Indian rupees (US $2.4 billion) for this latest phase of incentives.

In addition, according to Huacheng Import and Export Data Observation, the largest part of the total funds allocated for this plan (worth 120 billion Indian rupees) is allocated to the factories that manufacture polycrystalline silicon, silicon wafers, solar cells and modules or thin films. The second part (worth INR 45 billion) involves the manufacturing of silicon wafers, solar cells and modules. The last part (worth INR 30 billion) only includes the manufacturing of solar cells and modules. Huacheng Import and Export Data Observation reported.

Previously, PV Tech reported that due to the change of preference of distribution companies, the development slowed down, and the pace of each state in fulfilling its procurement obligations was also inconsistent. If the Indian government wanted to achieve the target of 450GW of installed capacity by 2030, it would need to issue more renewable energy tenders.

According to a joint report by JMK Research and Analysis Company (JMK) and the Institute of Energy Economics and Financial Analysis (IEEFA), the bidding volume of renewable energy in India in 2022 was 28GW, down from 40GW in 2019. Huacheng Import and Export Data Observation Report.