IS CHINA DRIVING INDIA'S SOLAR GROWTH?
Chinese solar panel
manufacturers are dominating players in the Indian solar power market, recently
released data by the Indian government show.
According to the
Ministry of New and Renewable Energy, India imported 161.5 million solar panels in financial year
2014–15. Of these, 113.5 million panels, or 70%, were imported from China.
This marked a
significant increase from the 65% share of Chinese modules in financial year
2013–14. Of the total 154.1 million panels imported that year, 100.4 million
came from China.
The share of Chinese
modules in India was possibly the highest in most major solar power markets.
India is among the few large solar markets that does not impose import duties
on Chinese modules.
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| SOLAR MODULE TESTING AT ITS BEST |
China is expected to
be among the leading suppliers of modules to India in the coming years as well.
The Indian government has set a target to have an installed solar power
capacity of 100 GW by 2022, and most of this capacity will be in the form of
solar PV projects.
Last year, India announced that it would not impose import duties on
imported solar panels despite repeated pleas by the Indian module manufacturers
that had seen significant erosion of market share.
India has now
significantly diluted the mandatory requirement for use of Indian-made solar
panels. Only government-owned companies will be required to use Indian-made
panels as per a minimum supply requirement. While the first phase of the
National Solar Mission required use of a higher percentage of Indian-made solar
PV modules, solar power policies enacted by most states did not have such
restrictions.
The Gujarat Solar Power
Policy of 2009 had no such requirements and it helped in adding around 800 MW
of solar power capacity. Recent auctions under the policies of Andhra Pradesh,
Telangana, Tamil Nadu, Madhya Pradesh, Rajasthan, Karnataka, and Odisha had
little to no restrictions on the use of imported modules
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