Solar Philippines seeks to bring Indian PV competitiveness back to Southeast Asia

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
Leandro Leviste, CEO of Solar Philippines, noted that his company is willing to accept initially lower returns since it believes in India's massive long-term potential. Credit: Solar Philippines

PV developer and manufacturer Solar Philippines plans to enter the Indian solar market, but then use that experience to become even more competitive in Southeast Asia.

Remarking on what attracts the company to India, Leandro Leviste, CEO of Solar Philippines, told PV Tech: “There's the obvious reason: India's solar industry is 10 times the size of the entire of Southeast Asia's, and after years of getting by with smaller volumes in the Philippines, we felt it was time to participate in India, the most exciting market in the world. A less obvious reason is we hope being in India will train us to bring the same competitiveness back to Southeast Asia, where we see rates of US$0.04-0.06/kWh soon becoming the norm.”

Leviste added that his company’s latest tariff in the Philippines stands at US$0.044/kWh (with escalation) – under a 50MW tender held by Filipino utility Meralco – with much higher land and development costs and lower irradiance compared to India. Describing his overall entrance strategy, Leviste noted that his company is willing to accept initially lower returns since it believes in India's massive long-term potential.

India recently imposed a safeguard duty of 25% on imports of cells and modules from developed countries as well as China and Malaysia, which is under dispute in various ongoing legal battles at present. Leviste said he saw the duty as a “short-term consideration” that should not deter companies who see the bigger picture, which is of an Indian government that has a long-term vision for solar energy.

When asked whether his firm would participate in India’s new tendering plans to link PV manufacturing with downstream deployment, given Solar Philippines capabilities in both areas, Leviste said: “We would love to explore these opportunities, after we've completed our initial projects in the market, and hope to support the government's ‘Make In India’ programme over the long-term.”

He also indicated a target of 500MW of power purchase agreements (PPAs) within the year in India. Solar Philippines will focus mainly on utility-scale projects but is open to all opportunities and in the long-term is interested in having an increasingly large proportion of its portfolio in mini-grids, as it believes rural India will benefit from solar-plus-storage at competitive rates.”

Read Next

PV Tech Premium
April 8, 2021
After a challenging year, India’s solar sector stands primed for something of a rebound. But a host of familiar issues, from the perilous state of DISCOMs to regulatory uncertainty, run the risk of stymying future growth. Vinay Rustagi, managing director at consultancy Bridge to India, talks to PV Tech about the future prospects for Indian solar.
April 8, 2021
Tata Power Solar has expanded its PV manufacturing facility in Bengaluru, India, taking the total production capacity of modules and cells to 1.1GW.
April 1, 2021
Norwegian independent power producer Scatec is looking to collaborate with project developers in India as part of efforts to gain a foothold in the country’s burgeoning solar sector.
PV Tech Premium
March 26, 2021
Solar developers have welcomed clarification on India’s new import duties for modules and cells that will come into effect next year, but questions have been raised about the ability of domestic manufacturers to ramp up production to meet rising demand.
March 23, 2021
Scatec has unveiled a NOK 100 billion (US$11.7 billion) plan that will see the company expand its renewables portfolio to 15GW over the next four years.
March 19, 2021
Indian PV developer Adani Green Energy has raised a US$1.35 billion debt package to initially support the construction of a 1.69GW hybrid portfolio of solar and wind projects in the state of Rajasthan.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
April 20, 2021
Upcoming Webinars
April 28, 2021
4:00 - 4:30 PM CET
Solar Media Events
May 11, 2021