Govt Issues Guidelines for PLI Scheme for High Efficiency Solar Modules

The Ministry of New & Renewable Energy (MNRE) has issued guidelines for the implementation of the Production Linked Incentive (PLI) scheme of Rs 4,500 crore for high-efficiency solar photovoltaic (PV) modules.

April 30, 2021. By Manu Tayal

The Ministry of New & Renewable Energy (MNRE) has issued guidelines for the implementation of the Production Linked Incentive (PLI) scheme of Rs 4,500 crore for high-efficiency solar photovoltaic (PV) modules.

The objective of the scheme is to promote manufacturing of high efficiency solar PV modules in India and thus reduce import dependence in the area of renewable energy.

As per the guidelines, the PLI scheme would be implemented by MNRE through Indian Renewable Energy Development Agency (IREDA) as Implementing Agency, which will be responsible for providing secretarial, managerial and implementation support etc.

The government has cleared that the beneficiaries of the scheme would be selected through a transparent bidding process.

Preference will be given to manufacturers who propose to set up a fully integrated solar PV manufacturing plant using silicon based technology (starting from the manufacturing of polysilicon, to Ingot/Wafer to Solar Cell and Module) or fully integrated Thin Film technology or any other technology.

However, in order to qualify for the bid, the applicant manufacturer would promise for the minimum integration across solar cells and modules.

Besides, manufacturers who set up higher capacity plants will also get preference. However, to qualify, the manufacturer will have to undertake to set up a manufacturing plant of minimum 1 GW capacity i.e. 1 GW each for all individual stages included in the manufacturer’s proposal.

For PLI scheme, greenfield new solar PV module manufacturing units would be eligible, while those brownfield projects would be allowed to participate fulfilling the prescribed eligibility criteria for greenfield projects.

Brownfield projects refer to all such new solar PV manufacturing capacities set up by the existing manufacturers which share some common infrastructure facilities with the pre-existing capacities or addition of new manufacturing lines in the existing facilities.

Meanwhile, PLI will be given on actual production and sales of high efficiency module by the selected units. In case, the annual sales of a unit is more than the capacity awarded to it, PLI would be limited to the sales equal to the capacity awarded under the PLI scheme.

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