Category: Industry Overview
India’s Rs 4,800-crore solar power industry, which exports around 60 to 70 per cent of its wares to Europe, North America and China is bringing its focus on domestic market.
India, where most regions enjoy nearly 300 sunny days a year, is an ideal market for solar power companies. However, the high cost of light-to-electricity conversion prohibits many. It costs around — at Rs 12 to Rs 20 per kWh (kilowatt-hour).
Currently, India has around 60 companies assembling and supplying solar photovoltaic systems, nine companies manufacturing solar cells and 19 companies manufacturing photovoltaic modules or panels.
Central Govt also has recently approved 12 proposals under the Special Incentives Package Scheme (SIPS). Under this scheme, the government provides an incentive of 20 per cent of the capital expenditure during the first 10 years to a unit located in a special economic zone (SEZ). Units based outside get a 25 per cent incentive. Incentives could be in the form of capital subsidy or equity participation.