Sunkind to Launch Solar Module Manufacturing with Rs 1,500-Cr Cell Procurement Agreement

Key Takeaways

Sunkind India is launching a solar module manufacturing line with a Rs 1,200-1,500 crore investment.
The manufacturing facility, located near Jaipur, is expected to begin operations next month.
The company has secured a sourcing agreement for domestic solar cells to comply with the government’s ALMM-II mandate.

Manufacturing Expansion Plans

Sunkind India, a renewable energy solutions provider, is set to expand its operations by entering the solar module manufacturing sector. The company has placed a significant order worth Rs 1,200-1,500 crore to procure solar cells, establishing a 1 GW manufacturing line near Jaipur, Rajasthan. This facility aims to commence commercial operations by next month.

The company currently focuses on solar EPC (engineering, procurement, and construction) projects and independent power producer (IPP) initiatives within the commercial and industrial segments. By producing solar modules in-house, Sunkind aims to enhance its capabilities in executing its EPC and IPP projects more effectively.

During an interaction, the company’s Managing Director, Hanish Gupta, shared insights on this new venture, emphasizing that the manufacturing project is currently undergoing trials and is on track for commercial launch in June. To maintain a steady supply of modules, Sunkind has also signed an agreement with a domestic solar cell manufacturer for sourcing 1 gigawatt of DCR (domestic content requirement) solar cells, which is crucial for supporting this new business vertical.

Gupta underlined the importance of this sourcing agreement in ensuring access to cells mandated by the government’s ALMM-II regulation. This policy, which becomes effective on June 1, stipulates that only domestically manufactured solar cells can be utilized in renewable energy projects, aimed at bolstering the local industry.

While Gupta refrained from disclosing the identity of the partnering domestic manufacturer due to a non-disclosure agreement, he affirmed that securing local suppliers is essential for Sunkind’s future operations and compliance with government regulations. This strategic move not only supports India’s renewable energy goals but also positions Sunkind as a key player in the domestic solar market.

The decision to establish a solar module manufacturing line aligns with the increasing demand for renewable energy sources in India, reflecting a growing trend towards sustainable practices. As the country strives to enhance its energy independence, initiatives like Sunkind’s manufacturing project are pivotal in tapping into the vast potential of solar energy.

As Sunkind India prepares for the rollout of its manufacturing line, the focus will also be on the quality and efficiency of solar modules produced, ensuring they meet both domestic and international standards. This venture is expected to contribute significantly to the company’s growth trajectory and the broader industry, fostering developments in renewable technologies.

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