The Union Cabinet on Wednesday permitted a Rs 4,500 crore production-linked incentive (PLI) scheme to boost home manufacturing capability of solar PV modules.
The PLI scheme is aimed toward including 10,000 MW manufacturing capability of built-in solar PV modules entailing direct funding of Rs 17,200 crore.
The PLI scheme is probably going to create direct employment of round 30,000 and oblique employment of 1.2 lakh, in accordance to the federal government.
The Cabinet, headed by Prime Minister Narendra Modi, has permitted the Ministry of New & Renewable Energy’s proposal for implementation of the PLI scheme ‘National Programme on High Efficiency Solar PV (Photo Voltic) Modules’ for reaching manufacturing capability of Giga Watt (GW) scale in excessive effectivity solar PV modules with an outlay of Rs 4,500 crore, an official assertion mentioned.
Solar vitality capability addition presently relies upon largely upon imported solar PV cells and modules because the home manufacturing business has restricted operational capacities of solar PV cells and modules, it added.
The National Programme on High Efficiency Solar PV Modules will cut back import dependence in a strategic sector like electrical energy, the assertion mentioned including it is going to additionally help the Aatmanirbhar Bharat initiative.
Solar PV producers can be chosen by means of a clear aggressive bidding course of.
The PLI can be disbursed for five years publish commissioning of solar PV manufacturing vegetation, on gross sales of excessive effectivity solar PV modules.
Manufacturers can be rewarded for larger efficiencies of solar PV modules and likewise for sourcing their materials from the home market. Thus, the PLI quantity will enhance with elevated module effectivity and elevated native worth addition.
The authorities mentioned the scheme is aimed toward further 10,000 MW capability of built-in solar PV manufacturing vegetation.
This PLI scheme will see a direct funding of round Rs 17,200 crore in solar PV manufacturing tasks and demand of Rs 17,500 crore over 5 years for “Balance of Materials”, the assertion mentioned.
It may even assist generate direct employment of about 30,000 and oblique employment for about 1,20,000 individuals.
Besides, the scheme may even assist in import substitution of round Rs 17,500 crore each year, and can give impetus to R&D to obtain larger effectivity in solar PV modules, the federal government mentioned.