Page 9 - AsiaElec Week 08 2023

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India’s import ban on Chinese

solar modules could be lifted

Local makers unhappy at move intended to satisfy installation demand

INDIA ENERGY authorities in India have tabled a plan to local Indian suppliers, largely failed to stem
to relax the nation’s current ban on imports of the tide before the national government shut the
Chinese-made solar cells and modules, at least door on Chinese imports.
temporarily.. With Prime Minister Narendra Modi’s
The move is being considered in part to help goals of increasing renewable energy use
appease domestic developers, with producers of alongside the domestic manufacturing sector
solar materials across the sub-continent strug- still visible across India in the PM’s “Make in
gling to produce enough to satisfy demand. India” campaign, local industry giants such
Critics, however, have said that any lifting of as RenewSys India are pushing for govern-
the current ban, even with solar imports from ment explanations according to sources in New Delhi
ASEAN nations amounting to 15 GW per the country.
annum, will hurt domestic manufacturers, and Coming two just weeks after India was said still plans to
could push costs so low as to force some out of to be committed to producing 95 GW of solar
business. capacity by 2025, chief executive officer Avinash install 280
“Such volatile changes in government pol- Hiranandani at RenewSys India has already
icy show that businesses can’t be dependent on hinted at a reduction in output, according to GW of solar
policy support,” managing director of Bridge to analysts. by the end of
India Vinay Rustagi said in response to the news. Nationwide, New Delhi still plans to install
“It’s a dampener for domestic manufactur- 280 GW of solar capacity by the end of the this decade.
ing prospects” the renewable energy consultant decade.
added. At present the amount of installed capac-
The ban on imports of Chinese made PV ity stands at just over 64 GW, although with
items first made headlines in mid-2021, with the increased domestic module capacity it is hoped
world’s then third-largest solar market looking to this number will climb rapidly.
limit its dependence on Chinese made products. Yet with around 27 GW of solar capacity
At the time, New Delhi was reliant on Beijing still needing to be installed each year for the
for around 80% of all its solar modules and cells. next seven years to meet the Modi government
Increased tariffs, in some cases of up to 40%, goal, module and cell supplies are needed on the
in the years leading up to the ban, and subsidies ground sooner rather than later.™

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