Reliance, Tata Power, JSW are among 11 companies selected under the Production Linked Incentive (PLI) scheme for solar photovoltaic (PV) module manufacturers. The Solar Energy Corporation of India (SECI), the nodal agency for the scheme, announced the winners on March 28. The list of companies includes, Reliance New Solar Energy Ltd, JSW Renewable Technologies Ltd, Tata Power Solar Ltd, Indosol Solar Private Ltd, ReNew Solar (Shakti Four) Private Ltd among others.
The Solar Energy Corporation of India (SECI) also said that the winners who would receive a total of Rs 13,937.575 crore for setting up 39.6 gigawatts (GW) under the second tranche of the PLI scheme.
The PLI scheme is seen as an effort to boost domestic manufacturing and curb panel imports from dominant producer China. In September 2022, the Cabinet approved a Rs 19,500-crore production-linked incentive scheme on a 'national programme on high-efficiency solar PV modules' with an aim to attract Rs 94,000 crore investment in the sector.
In a press release on Tuesday, the power ministry said, "The government has allocated a total capacity of 39,600 Mw of domestic Solar PV module manufacturing capacity to 11 companies, with a total outlay of Rs 14,007 crores under the Production Linked Incentive Scheme for High Efficiency Solar PV Modules (Tranche-II).”
According to the ministry, manufacturing capacity totaling 7400 Mw is expected to become operational by October 2024, 16,800 Mw capacity by April 2025 and the balance 15,400 Mw capacity by April 2026.
It is expected to bring in an investment of Rs. 93,041 crore. It will also generate a total of 1,01,487 jobs with 35,010 getting direct employment and 66,477 being indirectly employed, the ministry said.
Speaking on the success of the PLI scheme, R K Singh, Union Minister for Power said that India was well on its way to climb up the value chain in production of the high technology Solar PV Modules and this capacity addition is a major step towards making India Aatmanirbhar in solar manufacturing sector.
"The PLI Scheme has proved to be a watershed event in India's Renewable landscape resulting in around 48 Gw domestic module manufacturing capacity within the next 3 years. Scheme has boosted Government's efforts to reduce not only the impact of global supply chain shocks but also our import dependence adhering to the Hon'ble Prime Minister's vision of an Aatmanirbhar Bharat," Singh said.
In November-December 2022, a total integrated capacity of 8,737 Mw was allocated under Tranche-I of the scheme. Considering the two tranches together, the total domestic solar PV module manufacturing capacity allocated under the PLI scheme is 48,337 Mw, with a cumulative support of more than Rs 18,500 crore by the government, the ministry said.
The bids for the selection of solar PV module manufacturers was invited under three baskets. Polysilicon ingots wafers cells modules (PWCM), ingots wafers cells module (WCM), and cells modules (CM).
In the PWCM basket, Indosol Solar Private Limited (Rs 3,300 crore), Reliance New Solar Energy Limited (Rs 3098.04 crore), and India Solar Ventures Private Limited (Rs 1,177.573) will receive a total of Rs 7575.613 crore.
In the WCM basket, the PLI amount will be allocated to Waaree Energies Limited (Rs 1923.24 crore), Avaada Ventures Private Limited (Rs 961.62 crore), ReNew Solar (Shakti Four) Private Limited (Rs 1538.592 crore), JSW Renewable Technologies Limited (Rs 320.54 crore) and Grew Energy Private Ltd (Rs 566.71 crore.
In the CM basket, the PLI amount will be allocated to Vikram Solar Limited (Rs 528.54 crore), AMPIN Solar One Private Limited (Rs 139.72 crore), and Tata Power Solar Limited (Rs 383 crore).