Solar Energy Corporation of India (SECI) has begun the request for selection (RfS) process for selection of solar photovoltaic (PV) module manufacturers for setting up domestic manufacturing capacities for high-efficiency solar PV modules, under the Production Linked Incentive (PLI) Scheme, Tranche-II
Any bidder setting up any solar PV technology-based production facilities will be eligible for applying for the incentive assistance under this scheme if it qualifies for the Qualification Requirements, provided the manufacturing capacities it sets up achieves the minimum level of integration of cells and modules, the minimum manufacturing capacity requirements and the minimum threshold module performance parameters of module efficiency and module’s temperature coefficient of Pmax, as per the scheme guidelines.
Under this RfS, the SMM (solar PV module manufacturer) shall be required to set up manufacturing capacities in Gigawatt (GW) scale for high efficiency solar PV modules, with the primary objective to promote manufacturing of high efficiency solar PV modules in India and thus reduce dependence in the area of renewable energy, as per the provisions of the RfS. [1 GW = 1,000 mw]
According to the official documents, the bidder shall commit minimum integration across solar cells and modules. Based upon the extent of integration proposed, the bidder can opt for bidding for any one of the following three baskets:
- P + W + C + M
- W + C + M
- C + M
[P: polysilicon; W: silicon wafers; C: solar cells; M = solar modules]
The capacities will be allocated in separate categories based on the PLI fund allocation for each category. The total allocation is Rs.19,500 crore with the following category-wise breakup:
- P + W + C + M [Rs.12,000 crore]
- W + C + M [Rs.4,500 crore]
- C + M [Rs.3,000 crore]
Background
The Union Cabinet approved the Production Linked Incentive (PLI) Scheme for National Programme on High Efficiency Solar PV Modules, for achieving manufacturing capacity of Giga Watt (GW) scale in high-efficiency solar PV modules on April 7, 2021. Subsequent to the successful conclusion of Tranche-I of the PLI Scheme with a total outlay of Rs.4,500 crore, to establish a larger manufacturing base for solar PV modules, an additional allocation of Rs.19,500 crore (Tranche-II) for PLI for manufacture of high efficiency modules, with priority to fully integrated manufacturing units from polysilicon to solar PV modules, was announced in the Budget 2022-23.
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Subsequent to the above, MNRE has issued “Scheme Guidelines for Implementation of the Production Linked Incentive Scheme (Tranche II) under ‘National Programme on High Efficiency Solar PV Modules’ for achieving manufacturing capacity of Giga Watt (GW) scale in high efficiency solar PV modules.” SECI has been appointed as implementing agency for this Scheme.