The Indian market has taken huge strides to encourage the inland manufacturing of solar equipment. That said, the country will continue to be reliant on China when it comes to renewable energy supply, even though imports remain restricted from the Chinese market so as to encourage domestic manufacturing of the equipment, as reported by Fitch Solutions.
India has gone on to implement policies that levy duties on imported solar cells and modules and also put in place an approved model and manufacturer list.
All this has indeed gone on to encourage companies such as Reliance Industries, Adani Solar, and ReNew Power to come up with solar equipment. That said, Fitch reported that the Indian market will continue to remain dependent on China when it comes to wafer as well as polysilicon supply.
According to the report, all this is underpinned by the fact that one of the solar equipment manufacturers in India began construction on its first large-scale polysilicon manufacturing facility of 30,000 metric tons only in December last year.
Besides this, China also has plans to tighten up the manufacturing technologies concerning wafers as well as polysilicon exports. This will indeed go on to hinder India’s capacity to tap into manufacturing technologies that are currently available so as to build facilities. Because of a scenario such as this, India will not be able to completely dissociate itself from China when it comes to its own solar power sector growth.