India is firmly moving towards building a complete "swadeshi" (domestic) solar value chain, with the target of achieving indigenous solar cell manufacturing by 2028, Union Minister for New and Renewable Energy Pralhad Joshi said on September 11.
"The country is now advancing beyond modules to develop domestic capacity for wafers and ingots as well, ensuring that the entire solar manufacturing ecosystem is established within India. This will not only reduce import dependence but also generate employment, boost investment, and strengthen India’s position as a global leader in clean energy manufacturing," Joshi told reporters.
He added that so far about, Rs 50,000 crore has been invested in the country's solar equipment manufacturing sector.
The announcement comes nearly a month after India's government empaneled solar photovoltaic (PV) module manufacturing capacity hit the 100 gigawatt (GW) mark. However, India's capacity to manufacture solar cells which go into the modules is just 27 GW. Besides, the production capacity of ingots and wafers, with which solar cells are made, is even lower at 2.2 GW.
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Domestic manufacturing of solar modules and cells has picked up through various government interventions. But backward integration of these factories with the production of ingots and wafers from polysilicon, essential materials for the solar industry, remains negligible, forcing companies to resort to cheap Chinese imports.
"Planning has already started for indigenous wafers, ingots and indigenous polysilicon too. Trajectory for wafers and ingots has already been prepared and is being finalized," Joshi said while adding that the government will set a trajectory for polysilicon too.
The statement comes at a time when the industry is gearing up for the implementation of the Approved List of Models and Manufacturers (ALMM) for cells starting June next year. With its implementation, all module makers in the country supplying to government-backed projects will have to use only locally-made cells, which are mentioned in the list.
Joshi further said India’s 2030 vision of achieving 500 GW non-fossil electricity generation capacity is already more than halfway achieved, with the country crossing 251.5 GW of such capacity.
On PM Surya Ghar Muft Bijli Yojana, the minister said nearly 20 lakh households have already benefitted under the scheme. He urged states and discoms to ensure strict quality compliance, finalise agreements without delay, and offer the best possible tariff credits to consumers.
On PM-KUSUM, Joshi noted that after initial reluctance, the scheme has now gained strong momentum across states, with demand for additional allocations from chief ministers. He announced that the second phase of PM-KUSUM will be launched after the present phase ends in March 2026.
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