Plans for a major financial package to support India’s domestic PV manufacturers have been cancelled by the Indian government in order to be reshaped for the current state of the industry, according to a source close to the issue.
Anything from duties to a minimum import price (MIP) on solar imports are being sought by India’s anti-dumping petitioners, but there are concerns around circumvention of an MIP if introduced, according to a person close to the issue.
Solar Energy Corporation of India (SECI) has scrapped 150MW of solar capacity that was due to be auctioned under local content rules, in what may be a sign of the WTO ruling against the DCR taking effect.
Even though monkeys were allegedly wreaking havoc on India’s solar rooftop systems last year, 2016 was remarkable for the Indian PV sector. With solar taking 1% the nation’s electricity share and India set to become the world’s third largest market in 2017 , Bloomberg New Energy Finance has proclaimed that ‘solar is king of Indian renewables’. Add the completion of the world’s largest solar plant to these accolades and you have a good indicator of the South Asian giant’s ambitions. Even India’s biggest oil, steel and mining companies are getting on board the solar rush.
India’s installed cell and module manufacturing capacity has reached 1,468MW and 5,848MW respectively as of 30 June 2016, according to figures released by the Ministry of New and Renewable Energy (MNRE).
India has initiated a dispute with the US over alleged domestic content requirements and subsidies for the renewable energy sector in eight US states, according to a statement from the World Trade Organisation (WTO).
A solar auction in the Indian state of Rajasthan has seen the lowest bids so far in the Domestic Content Requirement (DCR) category, which requires project developers to source solar equipment from local manufacturers.
The World Trade Organisation (WTO) has ruled against India's local content rules for solar equipment in its dispute with the US. Jasmeet Khurana, associate director, consulting, Bridge to India explains why the Domestic Content Requirement (DCR) has always been unsustainable and what other policies should be considered to keep Indian solar manufacturers afloat.