Bids under the Production Linked Incentive (PLI) scheme for the manufacture of solar PV modules are likely to open soon, a reliable media report has stated.
The Union Cabinet in April this year approved the PLI scheme for the manufacture of high-efficiency solar photovoltaic (PV) modules, with an estimated outlay of Rs.4,500 crore.
It is learnt that around 18 bids have been submitted, envisaging a total manufacturing capacity of nearly 40 GW. This is almost four times the 10 GW capacity envisaged in the scheme.
Those submitting bids are likely to include companies like Reliance Industries, Tata Power, Adani Solar, Acme Solar and Vikram Solar, it is learnt.
Several companies have proposed to set up the entire value chain right from polysilicon to solar PV modules. The government had expected that bidders would largely start from solar wafers, moving on to modules.
Generally speaking, the manufacturing process involves the following:
Polysilicon -> Ingot -> Wafer -> Cell -> Module -> Panel
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PLI Scheme
The Cabinet, chaired by Prime Minister Narendra Modi, in April 2021 approved the Ministry of New & Renewable Energy’s proposal for implementing a production linked incentive (PLI) scheme for high-efficiency solar photovoltaic modules.
Called “National Programme on High Efficiency Solar Photovoltaic Modules”, the programme will have an outlay of Rs.4,500 crore. The aim of the scheme is to achieve manufacturing capacity of gigawatt scale in high-efficiency solar PV modules.
A government release observed that solar capacity addition currently depends largely upon imported solar PV cells and modules as the domestic manufacturing industry has limited operational capacities of solar PV cells and modules. The National Programme on High Efficiency Solar PV Modules will reduce import dependence in a strategic sector like electricity. It will also support the Atmanirbhar Bharat initiative, the release added.
Solar PV manufacturers will be selected through a transparent competitive bidding process. PLI will be disbursed for five years post commissioning of solar PV manufacturing plants, on sales of high efficiency solar PV modules. Manufacturers will be rewarded for higher efficiencies of solar PV modules and also for sourcing their material from the domestic market.
(Featured photograph (source: benreuters.com) is for illustration only)
