Govt approves additional Rs 19,500 cr for PLI scheme for solar PV modules

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Govt approves additional Rs 19,500 cr for PLI scheme for solar PV modules

Govt approves additional Rs 19,500 cr for PLI scheme for solar PV modules

Industry News
Sep 22,22

The Government expects the scheme to bring direct investment of around Rs 94,000 crore and help in import substitution of approximately Rs 1.37 trillion.

Govt approves additional Rs 19,500 cr for PLI scheme for solar PV modules

New Delhi

The Union Cabinet has approved the Ministry of New & Renewable Energy’s (MNRE) proposal for implementation of second tranche of the Production Linked Incentive Scheme (Tranche II) on ‘National Programme on High Efficiency Solar PV Modules’, with an outlay of Rs 19,500 crore for achieving manufacturing capacity of Giga Watt (GW) scale in high efficiency solar PV modules. The Government expects the scheme to bring direct investment of around Rs 94,000 crore and help in import substitution of approximately Rs 1.37 trillion.

The National Programme on High Efficiency Solar PV Modules aims to build an ecosystem for manufacturing of high efficiency solar PV modules in India, and thus reduce import dependence in the area of Renewable Energy. It will strengthen the Atamnirbhar Bharat initiative and generate employment.

Solar PV manufacturers will be selected through a transparent selection process. PLI will be disbursed for 5 years post commissioning of solar PV manufacturing plants on sales of high efficiency solar PV modules from the domestic market will be incentivised.

The scheme is expected to create manufacturing capacity for balance of materials (BoM) like EVA, solar glass, backsheet, etc, and also provide direct employment of about 1,95,000 and indirect employment of around 7,80,000 persons. It is estimated that about 65,000 MW per annum manufacturing capacity of fully and partially integrated, solar PV modules would be installed because of the scheme. The scheme will give impetus to research and development (R&D) to achieve higher efficiencies in solar PV modules.