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Renew | January 2017

GoI should ensure a market for investors

Sanjeev Aggarwal, Managing Director & Chief Executive Officer, Amplus Solar

How optimistic are you about prospects of manufacturing?
Because there is demand due to GoI´s target of 100 GW, many companies are taking interest in solar. But, if manufacturers are unable to compete in terms of pricing, then it is going to become difficult. Whether this goal is achievable, I cannot say that. GoI must have announced their target after factoring in everything and as such we cannot say whether it is right or wrong, but we will do whatever we can from our side to contribute towards meeting this goal.

How viable is BOOT model in manufacturing market?
The BOOT model that we do, allows customers to access power directly from their roof-top plant. We set up the plant, invest the capital, provide the technology and ensure that the plant is maintained and operated-and we give all this at a price cheaper than what the grid-cost power is. So, I think that BOOT is able to provide good solution to the consumers using domestic and imported models.

What is your criteria for selecting modules?
The criteria is about the quality of the module manufacturing, we go through the manufacturing facility, the material being used, their production line and then decide on which are the panels that we want to go along with.

Would local manufacturing help bring down prices?
I don´t think that domestic manufacturing would have any effect. These are two separate processes. When you talk about solar manufacturing, this is mainly about the panels. So, if we say that solar plants are going to come up and this will increase the manufacturing capacity that is a different matter, but if I´m trying to decide whether hybrid makes sense, or even if solar makes sense, then it goes beyond the ambit of having any effect on the processes at all.

If we have to overcome the pricing problem, then I think that it will happen over the next 2-3 years. In that scenario, the possible reduction in gas prices, as generally across the world we can see a major change-the crude prices are coming down and generation prices are also coming down along with that. So, the government can take advantage of this and see that running the gas-based plants in the morning-evening and solar in between makes sense. So, initially it might cost Rs 6-7, but this is decreasing every year and it would be only a matter of time, before solar will be able to compliment the remaining sources of energy.

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