The Ministry of New and Renewable Energy (MNRE) on Thursday released guidelines for the production-linked incentive (PLI) scheme to promote manufacturing of high efficiency solar PV modules in India.
For this, the Cabinet on 11 November, 2020, had approved and allocated an amount of Rs 4,500 crore to be spent over a period of five years.
According to the official guidelines, the PLI scheme will be implemented by MNRE through Indian Renewable Energy Development Agency (IREDA) as Implementing Agency. While, beneficiaries would be selected through a transparent bidding process.
“Preference will be given to manufacturers who set up higher capacity plants. However, in order to qualify for the bid, the applicant manufacturer will have to undertake to set up a manufacturing plant of minimum 1,000 MW capacity,” the ministry said.
The scheme is also aimed at promoting the setting up of integrated plants for better quality control and competitiveness, to develop an ecosystem for sourcing of local material in solar manufacturing, generate employment, and reducing import dependence.
The guidelines further said that greenfield new solar PV module manufacturing units would be eligible for PLI and brownfield projects will also be allowed to participate under the eligibility criteria.
It added that though a manufacturer can bid for any megawatt capacity, the maximum capacity that can be awarded to one bidder under the PLI scheme remains 50 per cent of the bid capacity or 2,000 MW, whichever is less, to accommodate at least three manufacturers under the overall envelope of Rs 4,500 crore.
Regarding disbursement under the scheme, the guidelines added that the manufacturing units sanctioned under the programme would be eligible for getting PLI on the annual basis on sales of high efficiency solar PV modules for five years from commissioning or five years from scheduled commissioning date.
