India poised to become a Solar Manufacturing Hub With $2.4B in Aid

In the wake of becoming self-reliant, India is working towards establishing a solar manufacturing hub that will generate ample employment opportunities and power supply in the country. India also aims to manufacture solar components and export them to different parts of the world. With the recent pandemic-induced lockdowns in China, which account for nearly 440GW of module capacity, it would be a reasonable time for India to capture the international markets and increase its global footprint.

India’s Solar Energy Corporation is looking for bids from solar manufacturers for Rs.195 billion in financial incentives. The government is seeking to expand India’s module-making capacity to ~90GW, from 15GW currently. According to SECI, preference will be given to companies/ firms for establishing fully integrated manufacturing units, right from polysilicon to modules. Prior to this Rs.45 billion in incentives were granted to India’s business behemoths like Reliance and Adani Groups and they are further invited to bid in the current round for incentives. The Adani Group is already targeting ~70% of its capital investments toward clean energy in the decade, while Reliance Industries has parked ~$80 billion in the sunshine Indian state of Gujarat.

India is making great strides in adopting alternative energy sources with the country installing a record 8.3GW of solar between Jan-June 2022. The country saved USD 4.2 billion in fuel costs and 19.4 million tonnes of coal during this period. Under PM Modi’s leadership who played a major part in delivering the Paris Agreement in 2015, the country is preparing itself to become a global player in the international solar arena. And with the upcoming G20 summit, India is positioning itself to lead the way for global energy transition because greener developing economies would go a long way toward creating a more prosperous world.

Also, read PM Modi’s latest “Mann ki Baat” features Solar Energy.