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India to Spend $2.6 Billion on Solar to Curb Reliance on China

  • Move to boost domestic manufacturing of solar components
  • India finance minister Sitharaman presents annual budget
The new policy will help boost India’s self-sufficiency in solar modules and open up export opportunities

The new policy will help boost India’s self-sufficiency in solar modules and open up export opportunities

Photographer: Jeremy Suyker/Bloomberg

India outlined plans to spend an additional 195 billion rupees ($2.6 billion) to boost local manufacturing of solar modules, stepping up a campaign to cut imports from China. 

The country, which has an ambitious plan of generating 280 gigawatts of sun-fired electricity by 2030, imports nearly 80% of the components for solar power from China. New funding adds to an earlier package of 45 billion rupees in incentives, which helped lure companies, including Reliance Industries Ltd. and Adani Group, to the sector.