The manufacture of photovoltaic cells in India is expected to boom with the Union ministry of new and renewable energy (MNRE) declaring a preferential tariff for grid-interactive solar power projects last week.
While companies like Reliance Industries Ltd and Astonfield Renewables Ltd are gearing up to set up solar power projects, the business of cell manufacture is attracting even information technology (IT) players.
Jupiter International Ltd, which makes the Frontech brand of personal computer monitors, cabinets and accessories, has roped in Centrotherm GmbH of Germany to give it a turnkey project for making enough cells annually to generate 300mw.
At present, India produces around 140mw of PV cells, with over 95% being exported.
Dhruv Sharma, chief executive officer for manufacturing at Jupiter, said the industry would be boosted by generation-based incentive of up to Rs 12 per kw of solar power being fed to the grid by projects of a maximum 50mw.
While grid application of solar power would be the main driver of the growth, stand-alone application would also expand very fast, he said.
India’s market for PV cells is estimated to be in excess of 100mw at present. Although the growth potential has not been quantified, global trends are expected to have an influence.
The global market for PV cells, which was $16 billion last year, is growing at 42% a year.
The US, Japan and Germany are the main drivers of this growth, having adopted self-sufficiency in power at the household level, Sharma said.
Jupiter International has formed a special purpose vehicle, Jupiter Solar Power Ltd, to set up the plants to make PV cells, one each in Himachal Pradesh and West Bengal, at a total investment of Rs 1000 crore in three phases.
Aloke Garodia, Jupiter International’s managing director, said that the first phase, with a capacity of 8.4 million PV cells a year or 30mw, would be at Baddi in HP. This plant will be ready in November.
The next two phases would come up here with the capacity of up to 180mw for cells and 120mw for PV modules, entailing investments of over Rs 850 crore. The company will house these plants at the special economic zone for IT proposed by it, Garodia said
