India is on track to install an additional 4,580MW of solar capacity in the second half of 2021 after seeing deployment marginally increase in Q2, according to Bridge to India.
India installed just over 2GW of solar in Q1 2021 as the country rebounded from COVID-19 related delays, however full-year installs could fall to well below previous estimates, one forecast suggests.
Solar manufacturers that plan on setting up integrated, higher capacity plants in India will be given preference in the country’s new production-linked incentive (PLI) programme.
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.
India will introduce a 40% basic customs duty on solar modules and 25% duty on cells as of April 2022 to cut the reliance on imports and expand the country’s PV manufacturing base.
India’s government has increased basic customs duty (BCD) on solar inverters as part of efforts to bolster domestic manufacturing but has excluded modules from any changes.
Solar tariffs in India hit a record low of INR2/kWh (US$0.0270/kWh) following an auction this week for 1,070MW of PV projects that are set to be developed in the state of Rajasthan.
Despite an uptick in activity in June, India added just 351MW of solar generation capacity in Q2 2020, down 64% on the previous quarter, as the industry was hit by COVID-related constraints.
