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Finance Minister Nirmala Sitharaman has assured that BCD (Basic Custom Duty) on solar modules will be implemented from the scheduled date of April 1, 2022, a move that will save domestic players from stiff price competition from imported modules, according to industry body NIMMA.
A delegation comprising officials from NIMMA, Indian Solar Manufacturers Association, and All India Solar Industries Association met Sitharaman on Thursday and flagged concerns regarding manufacturing units that are on the verge of closing owing to the current duty-free window on solar panels and cells from China and other countries.
The finance minister assured them that the BCD will be implemented as per schedule from April 1, 2022, a NIMMA statement said.
The delegation also appealed to her to exempt the module and cell line plant and machinery from import duty, it stated.
“The meeting with the minister was promising as she recognised that the industry will require policy assistance to grow and achieve its full potential.
“Implementation of BCD will bring relief to the domestic manufacturing industry. We hope that additional measures to address supply-chain gaps will be considered. Further, this is the peak time for developers to purchase modules, and I request them to promote the government’s Atmanirbhar Bharat initiative and install Indian modules,” Manish Gupta – President, North India Module Manufacturers Association (NIMMA), said.
Bharat Bhut – Cofounder & Director, Goldi Solar, a solar manufacturer, said the decision is a boon for Indian module manufacturers who have been facing stiff price competition from imported modules.
Goldi Solar has also increased its module manufacturing capacity to 2.5 GW and plans to expand to 5 GW to align with the government’s vision of becoming energy-independent with Made in India modules.
In the delegation, Manish Gupta, Vineet Mittal, Arpit Agarwal, Manish Agarwal and Sandeep Gupta were present on behalf of the solar associations.