Photovoltaics manufacturing is growing fast in India
India – PV manufacturing capacity in growing fast, upto an incredible 2GW for both fotovoltaic cells and modules!
From India’s Ministry of New and Renewable Energy (MNRE), domestic manufacturing capacity of photovoltaic cells and modules has grown to 2 GW. It estimates India’s potential solar power per square kilometer to be 30 to 50 MW.
Since Jawaharlal Nehru National Solar Mission (JNNSM) in 2010 was lunched, which aims to install 20 GW of solar power by 2022, India’s manufacturing capacity of photovoltaic cells and modules has increased from around 200 MW to 2 GW.
Among other benefits for local manufacturers, while domestic content requirements have been stipulated under the first phase of the mission – and more stringent rules are being considered under the second – there have been complaints by some in India that imported photovoltaic goods, particularly from the U.S., for India’s manufacturers is causing problems.
In response, the government launched an anti-dumping investigation into solar cells from the U.S., China, Taiwan and Malaysia. It also, however, offers concessional customs duties to imports of finished solar products and equipment, in its bid to reduce solar power costs.
In related news, MNRE has estimated that the solar power potential per square km in most of India is between 30 and 50 MW, in shadow-free areas.
Overall, MNRE states that 27 GW of renewable energy has been installed in India. It aims to install a further 30 GW of new capacity between 2012 and 2017.
The total capacity installed, solar is said to account for just over 1 GW. At the end of 2012, Mercom Capital Group stated that around 1.1 GW of projects are due to be installed in the next six months. Meanwhile, the MNRE has allocated 1.172 GW worth of solar projects via various programs over the past three years, of which 369 MW have already been commissioned.
This year, 4.4 GW of new solar projects have been announced in India, however, Bridge to India predicts that only around 1.1 GW will be online by the end of the year. Mercom is slightly more optimistic, with forecasts of between 1.3 to 1.4 GW.
There are, however, concerns that Phase II will be “indefinitely delayed” due to a lack of funds. Despite this, it seems likely that when funds are available, a Viability Gap Funding (VGF) model will be adopted, as opposed to reverse auctions.
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