Solar module supplies: More local firms to gain from indigenisation policy – The Financial Express

Clipped from: https://www.financialexpress.com/industry/solar-module-supplies-more-local-firms-to-gain-from-indigenisation-policy/2346048/

The government had earlier mandated that all solar projects bid out after April 10 under Central government schemes will have to use equipment from ALMM listed entities.

The first ALMM list, released in March included major players such as Waaree (2,000 MW), Adani’s Mundra Solar (1,100 MW), Vikram Solar (970 MW), RenewSys India (750 MW), Emmvee Photovoltaic (500 MW), Goldi Solar (500 MW), Premier Energies (482 MW) and Tata Power Solar (300 MW).The first ALMM list, released in March included major players such as Waaree (2,000 MW), Adani’s Mundra Solar (1,100 MW), Vikram Solar (970 MW), RenewSys India (750 MW), Emmvee Photovoltaic (500 MW), Goldi Solar (500 MW), Premier Energies (482 MW) and Tata Power Solar (300 MW). (Representative image)

The Union ministry of new and renewable energy (MNRE) has updated the approved list of models and domestic manufacturers (ALMM) to include an additional 505 mega-watt (MW) of module capacity.

The government had earlier mandated that all solar projects bid out after April 10 under Central government schemes will have to use equipment from ALMM listed entities. The list currently includes only names of module-makers with manufacturing base in the country. With the latest addition, the total ALMM module making capacity currently stands at 8,872 MW.

Companies which were included in the latest update include Gautam Solar (110 MW), Insolation Energy (100 MW) and Pennar Industries (75 MW). The ALMM was also updated in August to enlist Jakson Engineers (80 MW), Patanjali Renewable Energy (70 MW) and Central Electronics (35 MW). The aim of ALMM is to promote domestic manufacturing and reduce import dependency of the sector.

The first ALMM list, released in March included major players such as Waaree (2,000 MW), Adani’s Mundra Solar (1,100 MW), Vikram Solar (970 MW), RenewSys India (750 MW), Emmvee Photovoltaic (500 MW), Goldi Solar (500 MW), Premier Energies (482 MW) and Tata Power Solar (300 MW).

The Centre has already floated a Rs 4,500 crore production-linked incentive scheme for solar module and cell manufacturing, which aims to add 10,000 MW capacity of integrated solar manufacturing plants. Sources said that the government has received applications for setting up 54,809 MW manufacturing capacity under the scheme from 19 companies including Reliance Industries, Adani, ReNew Power, L&T, Tata Power, Acme Solar, Vikram Solar and state-run Coal India.

From the beginning of FY23, solar module and cell imports will attract a BCD of 40% and 25%, respectively. Module costs comprise about 60% of the total project expenditure for solar plants, and owing to cheaper rates of imported modules, solar capacity addition has majorly been done through foreign products, especially Chinese. To discourage imports, a 25% safeguard duty on solar equipment import from China, Malaysia and other developed countries was imposed in July 2018. The duty, as per the plan, gradually came down to 15% till the end of its regime on July 31.mail logo

Subscribe to Financial Express’ weekly SME newsletter for latest and all-round coverage from the world of the biggest business in India – the Micro, Small and Medium Business.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s