Lok Sabha Question No. 717 (UNSTARRED), answered on 2023-12-07
Subject: Import of Solar Panel
Ministry: NEW AND RENEWABLE ENERGY
Asked by: Omprakash Bhupalsinh alias Pawan Rajenimbalkar, Vinayak Bhaurao Raut, Sanjay Haribhau Jadhav

## GOVERNMENT OF INDIA MINISTRY OF NEW AND RENEWABLE ENERGY

## LOK SABHA UNSTARRED QUESTION NO. 717

ANSWERED ON 07/12/2023

## IMPORT OF SOLAR PANEL

717. SHRI OMPRAKASH BHUPALSINH ALIAS PAWAN RAJENIMBALKAR SHRI SANJAY JADHAV SHRI VINAYAK RAUT

Will the Minister of NEW AND RENEWABLE ENERGY be pleased to state:

- (a) whether the solar panels/equipment used in solar energy generation are being imported;
- (b) if so, the details thereof;
- (c) the number of solar panels imported and the funds spent thereon during each of the last five years including the current year;
- (d) the details of the countries manufacturing solar panels and equipment;
- (e) the details of the countries from which solar panels and equipment are being imported;
- (f) whether the Government proposes to manufacture solar panels and equipment in the country;
- (g) if so, the details thereof; and
- (h) the incentives being provided to the manufacturers for the said purposes?

## ANSWER THE MINISTER OF NEW & RENEWABLE ENERGY AND POWER

## (SHRI R.K. SINGH)

- (a) to (c) Solar panels are manufactured in India as well as imported from various countries. The details of solar panels imported in the country during last five years including the current year, country-wise,  as  per  the  website  pertaining  to  Export-Import  Data  Bank  of  Department  of Commerce, are at Annexure-I.
- (d) Some of the major countries which manufacture solar panels include China, Vietnam, Malaysia, India, etc.
- (e) The details of countries from which solar panels are being imported in India, are mentioned in Annexure-I.
- (f)  to  (h)  The  Ministry of New & Renewable Energy (MNRE), Government of India, has been consistently  bringing  out  policies  to  increase  the  manufacturing  of  solar  panels  and  associated equipment in the country. Some of the initiatives, inter-alia, include those mentioned at AnnexureII.

*****

## Annexure referred to in reply of parts (a) to (c) of the Lok Sabha Unstarred Question No. 717 for 07.12.2023 regarding 'Import of Solar Panel'

| Country        | Value of Imports in USD million                        | Value of Imports in USD million                        | Value of Imports in USD million                | Value of Imports in USD million                | Value of Imports in USD million                                  |
|----------------|--------------------------------------------------------|--------------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------------------------|
| Country        | 2019-20* (HS Code 85414011) (Solar PV Cells & Modules) | 2020-21* (HS Code 85414011) (Solar PV Cells & Modules) | 2021-22* (HS Code 85414012) (Solar PV Modules) | 2022-23* (HS Code 85414300) (Solar PV Modules) | 2023-24* (till Sep., 2023) (HS Code 85414300) (Solar PV Modules) |
| Anguilla       |                                                        |                                                        |                                                |                                                |                                                                  |
| Australia      |                                                        |                                                        | 0.22                                           |                                                |                                                                  |
| Austria        |                                                        |                                                        |                                                |                                                |                                                                  |
| Bangladesh PR  |                                                        |                                                        |                                                |                                                |                                                                  |
| Belgium        |                                                        |                                                        |                                                |                                                |                                                                  |
| Cambodia       | 5.97                                                   | 6.69                                                   |                                                |                                                | 0.02                                                             |
| Canada         | 7.92                                                   | 0.8                                                    |                                                |                                                |                                                                  |
| Chad           |                                                        | 0.24                                                   |                                                |                                                |                                                                  |
| Chile          |                                                        |                                                        |                                                |                                                | 0.2                                                              |
| Taiwan         | 20.97                                                  | 11.28                                                  | 0.13                                           |                                                |                                                                  |
| China PRP      | 1307.03                                                | 494.87                                                 | 3075.32                                        | 874.89                                         | 501.9                                                            |
| Czech Republic |                                                        |                                                        |                                                |                                                |                                                                  |
| Denmark        |                                                        |                                                        |                                                |                                                |                                                                  |
| Egypt ARP      |                                                        |                                                        |                                                |                                                |                                                                  |
| Finland        |                                                        |                                                        |                                                |                                                |                                                                  |
| France         |                                                        | 0.06                                                   |                                                |                                                |                                                                  |
| Germany        | 3.73                                                   | 0.03                                                   | 0.21                                           | 0.13                                           | 0.02                                                             |
| Greece         |                                                        |                                                        |                                                |                                                |                                                                  |
| Hong Kong      | 31.3                                                   | 3.22                                                   | 229.12                                         | 3.04                                           | 121.82                                                           |
| Hungary        |                                                        |                                                        |                                                |                                                |                                                                  |
| Indonesia      | 0.11                                                   | 0.01                                                   |                                                |                                                |                                                                  |
| Israel         |                                                        |                                                        |                                                |                                                | 0.06                                                             |
| Italy          | 0.27                                                   | 0.16                                                   |                                                |                                                |                                                                  |
| Jordan         |                                                        |                                                        |                                                |                                                |                                                                  |
| Japan          | 3.41                                                   | 0.15                                                   |                                                |                                                | 0.01                                                             |
| Kenya          |                                                        |                                                        |                                                |                                                |                                                                  |
| Korea DP RP    |                                                        |                                                        |                                                |                                                |                                                                  |
| Korea RP       | 1.72                                                   | 0.16                                                   |                                                |                                                |                                                                  |
| Lithuania      |                                                        |                                                        |                                                |                                                |                                                                  |
| Luxembourg     |                                                        |                                                        | 0.01                                           |                                                |                                                                  |
| Malaysia       | 3.91                                                   | 7.46                                                   | 31.43                                          | 1.24                                           | 43.08                                                            |
| Mexico         |                                                        |                                                        |                                                |                                                |                                                                  |
| Myanmar        | 0.98                                                   | 5.78                                                   |                                                |                                                |                                                                  |

| Country             | Value of Imports in USD million                        | Value of Imports in USD million                        | Value of Imports in USD million                | Value of Imports in USD million                | Value of Imports in USD million                                  |
|---------------------|--------------------------------------------------------|--------------------------------------------------------|------------------------------------------------|------------------------------------------------|------------------------------------------------------------------|
| Country             | 2019-20* (HS Code 85414011) (Solar PV Cells & Modules) | 2020-21* (HS Code 85414011) (Solar PV Cells & Modules) | 2021-22* (HS Code 85414012) (Solar PV Modules) | 2022-23* (HS Code 85414300) (Solar PV Modules) | 2023-24* (till Sep., 2023) (HS Code 85414300) (Solar PV Modules) |
| Norway              |                                                        |                                                        |                                                |                                                |                                                                  |
| Oman                |                                                        |                                                        |                                                |                                                |                                                                  |
| Philippines         | 0.04                                                   |                                                        |                                                | 0.01                                           |                                                                  |
| Poland              |                                                        |                                                        |                                                |                                                |                                                                  |
| Portugal            |                                                        |                                                        |                                                |                                                |                                                                  |
| Qatar               |                                                        |                                                        |                                                |                                                |                                                                  |
| Russia              | 0.02                                                   | 0.04                                                   |                                                |                                                |                                                                  |
| Saudi Arab          |                                                        | 0.01                                                   |                                                |                                                |                                                                  |
| Singapore           | 31.32                                                  | 6.69                                                   | 22.76                                          | 24.09                                          | 12.65                                                            |
| Slovak Rep          |                                                        |                                                        |                                                |                                                |                                                                  |
| Spain               | 0.18                                                   | 0.1                                                    | 0.13                                           | 0.33                                           |                                                                  |
| Sri Lanka DSR       | 1.28                                                   |                                                        |                                                |                                                |                                                                  |
| St. Helena          |                                                        |                                                        |                                                |                                                |                                                                  |
| Swaziland           |                                                        |                                                        | 0.08                                           |                                                |                                                                  |
| Sweden              |                                                        |                                                        |                                                |                                                |                                                                  |
| Switzerland         |                                                        | 0.01                                                   | 3.78                                           |                                                | 0.08                                                             |
| Thailand            | 120.47                                                 | 18.76                                                  | 0.01                                           | 0.01                                           | 0.01                                                             |
| Tunisia             | 0.01                                                   |                                                        |                                                |                                                |                                                                  |
| Turkey              |                                                        |                                                        |                                                |                                                |                                                                  |
| U.A.E.              | 0.43                                                   |                                                        |                                                | 0.13                                           |                                                                  |
| U.K.                | 0.02                                                   | 0.06                                                   |                                                |                                                |                                                                  |
| U.S.A.              | 2.57                                                   | 0.03                                                   |                                                | 0.03                                           | 0.63                                                             |
| Vietnam Soc Rep     | 140.63                                                 | 14.97                                                  |                                                | 39.63                                          | 455.8                                                            |
| Zambia              |                                                        |                                                        |                                                |                                                |                                                                  |
| Unspecified         |                                                        | 0.07                                                   |                                                |                                                |                                                                  |
| TOTAL (USD million) | 1684.29                                                | 571.65                                                 | 3363.20                                        | 943.53                                         | 1136.28                                                          |

*Till FY 2020-21, Solar Cells, whether or not assembled in modules were classified under HS Code 85414011.

In FY 2021-22, the HS Code 85414011 was retained for Solar PV Cells and new HS Code 85414012 was brought in for Solar PV Modules.

Subsequently, from FY 2022-23, the Solar PV Cells and Solar PV Modules (other than those exclusively used with ITA-1 items) are put under HS Codes 85414200 and 85414300 respectively.

## Annexure referred to in reply of parts (f) to (h) of the Lok Sabha Unstarred Question No. 717 for 07.12.2023 regarding 'Import of Solar Panel'

Initiatives taken to increase the manufacturing of solar panels and equipment in the country, inter-alia, include:

(i) Production Linked Incentive Scheme: The Government of India is implementing the Production Linked Incentive (PLI) Scheme under National Programme on High Efficiency Solar PV Modules, for achieving  domestic  manufacturing  capacity  of  Giga  Watt  (GW)  scale  in  High  Efficiency  Solar  PV modules, with  an  outlay  of  Rs.  24,000  crore.  The  Scheme  is  being  implemented  in  two  tranches. Tranche-I has an outlay of Rs. 4,500 crore, under which Letters of Award have been issued for setting up of 8,737 MW of fully integrated solar PV module manufacturing units. For Tranche-II with an outlay of Rs. 19,500 crore, Letters of Award have been issued for setting up of 39,600 MW of fully/ partially integrated solar PV module manufacturing units.

(ii) Domestic Content Requirement (DCR): Under some of the current schemes of the MNRE, namely CPSU Scheme Phase-II, PM-KUSUM Component B and Grid-connected Rooftop Solar Programme Phase-II, wherein government subsidy is given, it has been mandated to source solar PV cells and modules from domestic sources.

(iii)  Preference  to  'Make  in  India'  in  Public  Procurement: Through  implementation  of  'Public Procurement (Preference to Make in India) Order', procurement and use of domestically manufactured solar PV modules and solar inverters have been mandated for Government/ Government entities.

(iv) Imposition of Basic Customs Duty on import of solar PV cells & modules: The Government has imposed Basic Customs Duty (BCD) on import of solar PV cells and modules, with effect from 01.04.2022.

(v) Discontinuation of Customs Duty Concessions: MNRE has discontinued issuance of Customs Duty Concession Certificates for import of material /equipment for initial setting up of solar PV power projects with effect from 02.02.2021.