According to the US 'Quartz Network' reported on July 31, after a few months of rapid growth, India's PV industry is facing a series of problems such as tariff escalation, policy and legal uncertainty.
According to reports, on July 30, the Modi government notified the import of solar panels to impose a 25% 'guarantee tax' for a period of two years. This tariff, usually imposed during the surge in imports, is intended to protect domestic manufacturers. About 90% of the solar panels used are made in China and Malaysia, and India is now bound to increase tariffs on solar panels.
'Quartz Net' reported that in December 2017, an organization representing the interests of Indian solar panel manufacturers tried to find ways to protect manufacturers from import damage. In January 2018, the Ministry of Finance of India was passing through After some investigations, it is recommended to impose tariffs of up to 70%. In July this year, the bureau reduced this figure to 25%. However, even so, Gurgaon-based renewable energy producer ACME Solar and other solar energy The developer still questioned this figure. Last week, the Indian High Court just passed a resolution banning the collection of such tariffs by August 20, 2018.
As a result, the Indian government may challenge the court, implying a possible legal dispute in the future.
Amit Kumar, a partner at consulting firm PricewaterhouseCoopers, said: 'This will turn into a comprehensive legal case. What people will do is go to court; some people may file a lawsuit against the protection tax. It refers to Indian companies that want to bid for the project but do not consider these additional tariffs. He said: 'This has brought uncertainty to India's entire solar energy plan.'
According to reports, India's solar industry faces problems such as insufficient domestic manufacturing capacity. There are about six solar cell and module manufacturers in India with a total capacity of about 3,000 megawatts, which is insufficient to meet the country's growing demand.
'India auctions nearly 25 GW to 30 GW per year, while domestic manufacturers have a production capacity of only 3 GW or 4 GW. In the future, at least 80% will rely on imports. 'Agawal of the Indian Rating and Research Institute ( Agarwal) said. Therefore, 'at least in the short term, we can't see domestic manufacturers replacing importers.'
