1 hr ago
India Weighs Domestic Content Rules for Next Rooftop Solar Scheme
India is planning another rooftop solar program after Surya Ghar.
Officials have not decided its final rules yet.
One idea is to require solar inverters to be made in India.
Another is to require batteries to use parts made domestically.
India currently imports many battery materials, including lithium, cathodes and anodes.
Government programs are intended to help companies make more batteries in India.
The country has also used import duties on solar cells and panels to encourage local manufacturing.
India is considering locally made inverters and domestic battery components for the next rooftop solar scheme.
The follow-up to the Surya Ghar scheme has not yet been finalized, Sarangi said.
Proposals could include mandatory domestic manufacturing of solar inverters and domestic content requirements for batteries.
India remains a net importer of batteries and relies heavily on imported lithium, cathodes and anodes.
India’s 20% duty on imported solar cells and 40% duty on solar modules took effect on April 1, 2022.
- Who
- Indian officials, including Sarangi, are discussing possible rules for a follow-up rooftop solar scheme.
- What
- The proposed scheme may require locally manufactured solar inverters and domestic battery components.
- Where
- India
- When
- The follow-up scheme is under consideration; its contours have not been finalized.
- Why
- The proposals aim to ensure domestic manufacturing and reduce reliance on imported battery and solar products.
Domestic manufacturing
Import reliance
Potential local-content requirements
Domestic manufacturing
Supporters of the proposals emphasize ensuring domestic manufacturing of inverters and battery components.
Import reliance
The article notes that India remains dependent on imported battery materials such as lithium, cathodes and anodes; it does not report a specific opposing position on the proposed requirements.
Key facts
- Scheme status
- The follow-up to Surya Ghar has not been finalized.
- Possible inverter rule
- Domestic manufacturing of solar inverters may be required.
- Possible battery rule
- Mandatory domestic content for batteries may be considered.
- Battery imports
- India is a net importer of batteries and imports materials including lithium, cathodes and anodes.
- Solar cell duty
- A 20% Basic Customs Duty on solar cells began April 1, 2022.
- Solar module duty
- A 40% Basic Customs Duty on solar modules began April 1, 2022.
- Earlier safeguard duty
- The safeguard duty on solar cells and modules imported from China and Malaysia expired July 29, 2021.
Quotes
Sarangi
A person quoted discussing the proposed follow-up scheme; the article does not provide a first name or role.
“Domestic manufacturing needs to be ensured, domestic manufacturing of solar inverters, mandatory use of battery and DCR (domestic content requirement) for batteries may have to be enforced. We have got several ideas and recommendations.”
livemint.com
“The contours of Surya Ghar’s follow-up scheme are yet to be finalized.”
livemint.com
Sources
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