Union Minister for Power and New and Renewable Energy R.K Singh on Thursday emphasized the need to diversify the supply chains for an efficient energy transition.
At the curtain raiser to the Fifth Assembly of the International Solar Alliance, Singh said the government has introduced several measures including customs duty and production-linked incentives to increase the domestic manufacturing capacity of the country.
In his address, Singh remarked that India's pace of energy transition is the fastest in the world. He added that since solar is the cheapest source of energy, solar and mini-grids are the answer to universal access to energy in the world.
The minister said the price of certain solar cells and modules have jumped due to supply chain disruptions.
Singh said that currently around 90% of polysilicon is made in China and therefore the country is able to manipulate prices accordingly. If more countries start manufacturing, prices could be controlled, he added.
Singh said the solar efficiency in India has increased to 21% from 17% which would eventually lead to reduced prices and less land for installing solar panels.
The International Solar Alliance is an international organisation with 109 member and signatory countries. The 5th Assembly is expected to lead to a greater consensus among countries for the promotion of solar power.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
