In Short : The Ministry of New & Renewable Energy (MNRE), Government of India, has been consistently bringing out policies to increase the manufacturing of solar panels and associated equipment in the country. Initiatives taken to increase the manufacturing of solar panels and equipment in the country, inter-alia.
In Detail : The Union Minister for New & Renewable Energy and Power has informed that solar panels are manufactured in India as well as imported from various countries. The details of solar panels imported in the country during last five years including the current year, country-wise, as per the website pertaining to Export-Import Data Bank of Department of Commerce, are given below.
| Country | Value of Imports in USD million | ||||
| 2019-20*
(HS Code 85414011) (Solar PV Cells & Modules) |
2020-21*
(HS Code 85414011) (Solar PV Cells & Modules) |
2021-22*
(HS Code 85414012) (Solar PV Modules) |
2022-23*
(HS Code 85414300) (Solar PV Modules) |
2023-24*
(till Sep., 2023) (HS Code 85414300) (Solar PV Modules) |
|
| Anguilla | |||||
| Australia | 0.22 | ||||
| Austria | |||||
| Bangladesh PR | |||||
| Belgium | |||||
| Cambodia | 5.97 | 6.69 | 0.02 | ||
| Canada | 7.92 | 0.8 | |||
| Chad | 0.24 | ||||
| Chile | 0.2 | ||||
| Taiwan | 20.97 | 11.28 | 0.13 | ||
| China PRP | 1307.03 | 494.87 | 3075.32 | 874.89 | 501.9 |
| Czech Republic | |||||
| Denmark | |||||
| Egypt ARP | |||||
| Finland | |||||
| France | 0.06 | ||||
| Germany | 3.73 | 0.03 | 0.21 | 0.13 | 0.02 |
| Greece | |||||
| Hong Kong | 31.3 | 3.22 | 229.12 | 3.04 | 121.82 |
| Hungary | |||||
| Indonesia | 0.11 | 0.01 | |||
| Israel | 0.06 | ||||
| Italy | 0.27 | 0.16 | |||
| Jordan | |||||
| Japan | 3.41 | 0.15 | 0.01 | ||
| Kenya | |||||
| Korea DP RP | |||||
| Korea RP | 1.72 | 0.16 | |||
| Lithuania | |||||
| Luxembourg | 0.01 | ||||
| Malaysia | 3.91 | 7.46 | 31.43 | 1.24 | 43.08 |
| Mexico | |||||
| Myanmar | 0.98 | 5.78 | |||
| Netherland | |||||
| Norway | |||||
| Oman | |||||
| Philippines | 0.04 | 0.01 | |||
| Poland | |||||
| Portugal | |||||
| Qatar | |||||
| Russia | 0.02 | 0.04 | |||
| Saudi Arab | 0.01 | ||||
| Singapore | 31.32 | 6.69 | 22.76 | 24.09 | 12.65 |
| Slovak Rep | |||||
| Spain | 0.18 | 0.1 | 0.13 | 0.33 | |
| Sri Lanka DSR | 1.28 | ||||
| St. Helena | |||||
| Swaziland | 0.08 | ||||
| Sweden | |||||
| Switzerland | 0.01 | 3.78 | 0.08 | ||
| Thailand | 120.47 | 18.76 | 0.01 | 0.01 | 0.01 |
| Tunisia | 0.01 | ||||
| Turkey | |||||
| U.A.E. | 0.43 | 0.13 | |||
| U.K. | 0.02 | 0.06 | |||
| U.S.A. | 2.57 | 0.03 | 0.03 | 0.63 | |
| Vietnam Soc Rep | 140.63 | 14.97 | 39.63 | 455.8 | |
| Zambia | |||||
| Unspecified | 0.07 | ||||
| TOTAL
(USD million) |
1684.29 | 571.65 | 3363.20 | ||
*Till FY 2020-21, Solar Cells, whether or not assembled in modules were classified under HS Code 85414011.
In FY 2021-22, the HS Code 85414011 was retained for Solar PV Cells and new HS Code 85414012 was brought in for Solar PV Modules.
Subsequently, from FY 2022-23, the Solar PV Cells and Solar PV Modules (other than those exclusively used with ITA-1 items) are put under HS Codes 85414200 and 85414300 respectively.
Some of the major countries which manufacture solar panels include China, Vietnam, Malaysia, India, etc. The details of countries from which solar panels are being imported in India, are mentioned in the above table.
(i) Production Linked Incentive Scheme: The Government of India is implementing the Production Linked Incentive (PLI) Scheme under National Programme on High Efficiency Solar PV Modules, for achieving domestic manufacturing capacity of Giga Watt (GW) scale in High Efficiency Solar PV modules, with an outlay of Rs. 24,000 crore. The Scheme is being implemented in two tranches. Tranche-I has an outlay of Rs. 4,500 crore, under which Letters of Award have been issued for setting up of 8,737 MW of fully integrated solar PV module manufacturing units. For Tranche-II with an outlay of Rs. 19,500 crore, Letters of Award have been issued for setting up of 39,600 MW of fully/ partially integrated solar PV module manufacturing units.
(ii) Domestic Content Requirement (DCR): Under some of the current schemes of the MNRE, namely CPSU Scheme Phase-II, PM-KUSUM Component B and Grid-connected Rooftop Solar Programme Phase-II, wherein government subsidy is given, it has been mandated to source solar PV cells and modules from domestic sources.
(iii) Preference to ‘Make in India’ in Public Procurement: Through implementation of ‘Public Procurement (Preference to Make in India) Order’, procurement and use of domestically manufactured solar PV modules and solar inverters have been mandated for Government/ Government entities.
(iv) Imposition of Basic Customs Duty on import of solar PV cells & modules: The Government has imposed Basic Customs Duty (BCD) on import of solar PV cells and modules, with effect from 01.04.2022.
(v) Discontinuation of Customs Duty Concessions: MNRE has discontinued issuance of Customs Duty Concession Certificates for import of material /equipment for initial setting up of solar PV power projects with effect from 02.02.2021.
This information has been given by the Union Minister for New & Renewable Energy and Power Shri R. K. Singh, in a written reply to a question, in Lok Sabha on December 7, 2023.
