Indian solar industry divided on US’ WTO complaint

wto solar industryTuesday, February 18, 2014: The recent case by the US government in WTO against the Jawaharlal Nehru National Solar Mission (JNNSM) has created much furore among the Indian solar industry. The solar cell manufacturers have reportedly given their consent to government’s decision to back the industry, but the power project developers have voiced their support for the foreign cells makers.

The developers cite the decreasing cost of solar power as the main reason to import cheap cells. “The case is not justified as this is a government procurement programme and WTO guidelines don’t cover that. Apart from that, more than 80 per cent of the projected demand is there for imported content,” said Ajay Goel, the chief executive officer of Tata Power Solar, in an ET report.

The US government filed a case in the World Trade Organisation for the second time against JNNSM, on last Monday. US argued that the mission underlines compulsion for the power developers to use locally (Indian) made equipments.

“US is pushing its agenda to protect its domestic industry. Government of India is doing the same and is absolutely right in doing so. We do not think it will have any impact whatsoever,” said Vivek Chaturvedi, chief marketing officer, Moser Baer in the same report. The domestic content requirements restrict entitlement in the JNNSM Phase 2 creating a 50 per cent restriction of the specific demand that was originally intended from this programme.

The issue began as US filed a case in 2012 against the domestic content requirement guidelines of the first phase of the National Solar Mission. According to the guidelines, solar power project developers are to source 30 per cent of the required equipment from domestic manufacturers. After the US and some Indian project developers unsupported, the government of India gave equal projects under the second phase for development from domestic and foreign content.

- Advertisement -

Despite the open category at their disposal, the US solar industry and government have alleged that it will hurt their export market. “The domestic content requirements restrict our entitlement and in the specific example of the JNNSM- Phase 2 this creates a 50 per cent restriction of the specific demand that was originally intended from this programme,” said spokesperson of First Solar, US major manufacturer of solar cells and the exporter to India.

- Advertisement -
Loading form…

Industry's Buzz

thyssenkrupp

Thyssenkrupp Automotive Launches Pune GCC

0
The German mobility giant expands its Indian engineering footprint with a new hub dedicated to software-defined vehicles and advanced chassis systems. Thyssenkrupp Automotive Technology has...

Micron Introduces Global Profit-Linked Bonus Scheme from FY27

0
The US memory-chip giant acts following trade union pressure in Taiwan to share record gains from the artificial intelligence boom.  US memory-chip manufacturer Micron Technology...
FICCI

FICCI Identifies Electronics as a Priority for India–Germany Cooperation

0
FICCI identifies electronics and advanced manufacturing as key areas for German investment in India, with potential for stronger manufacturing partnerships and integrated supply chains...
APT Electronics

APT Electronics Outsources Two Automotive Vision Operations to Geely

0
APT Electronics plans to extend its automotive vision supply agreements with Geely through 2029 and outsource operations at two subsidiaries to improve efficiency, product...

US Allocates $389M in R&D Grants for Power Semiconductors

0
Federal funding targets four technology firms to advance next-generation semiconductor materials and fusion power applications. The US Commerce Department has announced plans to award $389...

Learn From Leaders

Pravin Patel, Founder and Chairman, Brio Agri, India

“Our goal is not to replace farmers, but to empower them with better tools,...

0
In an exclusive interaction with EFY's Saba Aafreen, Pravin Patel, Founder and Chairman of Brio Agri, discusses building hydroponics and controlled-environment agriculture in India,...

Does India’s Chip Packaging Growth Need Local Materials At Scale?

0
What will it take for specialised semiconductor materials manufacturing to grow in India? Packaging volumes will be a key factor as OSAT facilities move...
Ronak Kumar Samantray, Founder, TM2Space Technologies Pvt Ltd.

“Our goal is to build data centres in space.” – Ronak Kumar Samantray, TM2Space

0
A space startup aims to build orbital data centres, letting users run AI models and store data on satellites while also supplying satellite hardware...

India’s Photonics Puzzle Is Finally Coming Together 

0
Can India turn its scattered photonics capabilities into a stronger industry? A new association aims to connect the ecosystem and strengthen the domestic value...
Jin Bains, CEO, Mini-Circuits

Mini-Circuits CEO Jin Bains on Navigating High-Frequency Component SWaP-C Constraints, Emerging Markets, and Career...

0
In this exclusive, Jin Bains, Chief Executive Officer (CEO) of Mini-Circuits, explains in a conversation with Dilin Anand of EFY about areas of emerging...

Startups

Pranay Rebala, Vice President of Product, BluJ Aerospace

“Rather Than Waiting For The Technology To Mature, We Are Ready For The Next...

0
Can battery-electric and hydrogen propulsion coexist in future VTOL aircraft? BluJ Aerospace sees complementary roles for both, with batteries powering shorter-range flights and hydrogen...

UST Selects 19 Startups for D3 Startup Challenge 2026 in Bengaluru

0
The programme is designed to identify technologies that address business challenges, assess their practical applications and determine their potential to scale UST, an AI and...

Compcarta Reduces The Cost And Complexity Of End-To-End Chip Design

0
Building a chip should not require assembling an entire design ecosystem. A Noida-based startup is developing a browser-based EDA platform that aims to reduce...

Aquaexchange Brings Monitoring And Automation To Shrimp Farming

0
The startup has developed an AI- and IoT-enabled platform that helps shrimp farmers manage farms, access financing, monitor operations, and connect with markets. The startup...

Drone-Like Aircraft For Logistics From BluJ Aerospace

0
Hyderabad-based BluJ Aerospace is developing indigenous electric and hydrogen-powered vertical take-off and landing (VTOL) aircraft for remote cargo transport. BluJ Aerospace, a Hyderabad-based aerospace startup...