PM Modi hints at incentives for local production of solar equipment

Demand for domestic solar cells and modules will grow to around 36 giga-watt (GW) in the next three years, Prime Minister Narendra Modi said on Thursday, underscoring the need for India to be a global manufacturing hub for renewable energy. Incentives would be given for local production of these products, he said.

Currently, the country’s domestic solar-panel capacity is around 10 GW; there is also another 3 GW of cell manufacturing facilities. However, about 50% of the country’s manufacturing capacity remain unutilised as developers have preferred to import cheaper equipment, mostly from China, to build solar plants.