At the Reconnect Summit-25 (held on August 6, 2025, in New Delhi), experts highlighted India's flourishing solar module manufacturing sector, with capacity exceeding 90GW. However, cell production continues to lag at approximately 25GW (actual operational capacity: 27-28GW), sustaining dependence on imports. This gap threatens India's self-sufficiency goals despite strong policy support and rising private investment. Policy delays, such as the ALMM (Approved List of Models and Manufacturers) and ALCM (Approved List of Component Manufacturers) schemes—announced in 2020 but postponed to 2024—have severely undermined investor confidence.

Industry giants like Adani and Reliance are entering cell manufacturing, with capacity potentially aligning by March 2026. Meanwhile, the MNRE (Ministry of New and Renewable Energy) has received commitment letters for nearly 100GW of cell capacity, though accelerated implementation is crucial. Technologically, upstream wafer production shows limited progress, with setup costs 3-4 times higher than modules. While the PLI (Production Linked Incentive) has triggered an investment wave, policy uncertainty hampers progress, with non-PLI players investing significantly beyond incentive amounts. Constraints include India's inability to compete with Chinese module prices internationally and a lack of policy clarity for upstream components like glass and EVA.

Industry feedback calls for policy consistency and R&D support. Geographically, domestic demand is projected at 50GW annually, reaching 125GW by 2030, supported by state-level green corridors (e.g., Gujarat) and FDI policies attracting foreign capital. However, R&D expenditure remains only one-third of global peers, with a stark patent gap (India: <900 vs. China: 38,000). Effective mechanisms require financing solutions like priority sector lending. Experts predict full self-sufficiency by 2030 as technologies mature, but emphasize strengthening recycling and demand-side programs like PM-KUSUM.
url:https://www.energetica-india.net/news/bridging-the-solar-gap-industry-experts-push-for-cell-module-capacity-alignment