India budgets $2.6 billion for 280 GW of solar industry manufacturing capacity
Post date: 02/02/2022 - 16:34
India’s Ministry of Finance on Tuesday (Feb. 1) released the summary of its budget plan for fiscal year 2022/2023 (which begins in India on April 1). Included is a five-fold increase in subsidies available over the next years for the development of the domestic solar industry, which had been announced late last year.
Through the means of Production Linked Incentive (PLI), the Indian government distributes subsidies in various industries in the form of tenders to build capacity according to specific quantity and quality specifications. The PLI budget earmarked for the solar industry has so far amounted to 4,500 crore (45 billion rupees, $602 million) and will now be increased to the equivalent of around $3.31 billion with »an additional allocation of 19,500 core« ($2.61 billion), according to a Ministry of Finance statement.
The budget is intended to achieve an annual production capacity of 280 GW by 2030 to »manufacture of high efficiency modules, with priority to fully integrated manufacturing units from polysilicon to solar PV module«.