Scrutinize the Environment for Solar PV Industry Development in India

Abstract

To reduce the greenhouse gas emission and to reduce the dependence on fossil fuel many countries in the world were adopting a renewable source of energy, mostly solar and wind energy. The rapidly growing Indian economy is aggressively increasing its solar installed capacity. India’s solar installed capacity was 35,739 MW as of 31 August 2020 (Solar power in India, 2020). To promote solar energy, the Indian government has made regulatory framework and policies, which is the backbone of renewable energy development in the country. With various policies and programs of the Government of India, the Renewable Energy industry is growing significantly in these recent years. India has committed to making investments in renewable energy sectors that would help to achieve a clean and green environment. So, Due to the appropriate policy and the supportive government scheme, the solar installation will grow rapidly in near future. The main observation is that the growth of Solar PV manufacturing is very less compared to the growth of solar installation. So, the dependency on the import of required elements for solar installation is increasing. In the first nine months of 2019, India imported solar cells and modules worth ₹115.7 billion ($1.6 billion), which is lower than import in 2018 but the reason is less solar capacity installed in 2019 compared to 2018 not due to the increased capacity of a solar PV manufacturing facility (Sinha, Mercom India 2020). So, we try to analyse the ecosystem for solar PV manufacturing and also see how we can make a change in current ecosystems to increase the growth of the solar PV manufacturing industry.