India’s Renewable Energy Landscape Poised for a Major Boost
Grew Energy, the renewable energy vertical of the Chiripal Group, is set to invest Rs 6,000 crore in establishing a 6 gigawatt (GW) solar module manufacturing capacity in India. The company aims to complete this ambitious project by March 2025.
In an interview with ETEnergyWorld, Grew Energy Director Vinay Thadani revealed the company’s expansion plans, stating that they had initially targeted a 4 GW solar module manufacturing capacity with backward integration, requiring an investment of Rs 5,400 crore. However, the company has now revised its target to 6 GW, driven by the growing demand for solar energy in India.
To achieve this goal, Grew Energy plans to set up a 2.8 GW module manufacturing facility at Dudu, near Jaipur in Rajasthan. Additionally, the company has announced another 3.2 GW of module manufacturing capacity, which will be located at Dholera in Gujarat.
The company’s investment strategy for this expansion includes a combination of debt and equity financing. Approximately 60-65% of the Rs 6,000 crore investment will be raised through debt, while the remaining portion will be funded by promoters and equity partners.
Grew Energy is also seeking an equity partner to invest about $100 million in the company. Discussions are currently underway with leading private investors in India.
Commenting on the policy environment in India, Thadani expressed concerns about the pre-qualification criteria set by SECI and other state bodies for tenders. These criteria, according to Thadani, disadvantage new companies and manufacturing players who are part of the Production Linked Incentive (PLI) scheme.
Thadani urged the government to relax these pre-qualification criteria for PLI players, as this would encourage new entrants and boost the growth of India’s solar manufacturing sector.
Grew Energy’s expansion plans are in line with the Indian government’s ambitious target of achieving 500 GW of renewable energy capacity by 2030. The company’s investment will significantly contribute to India’s renewable energy goals and position it as a leader in solar module manufacturing.