US has complained against the Domestic Content Requirement(DCR) provisions of the JNNSM, India’s flagship solar policy(Read the news here). It must be noted that First Solar, a US based PV manufacturer, has one of the highest market shares (more than 200 MW of installations) of the 1000 + MW of projects commissioned in India till date.
This complaint by US comes on the heels of the Anti-dumping investigation being carried out by the Indian Ministry of Commerce against PV modules manufacturers from countries including US and China.(Our full story on the investigations is here).
While the Anti-dumping duty will certainly help the Indian PV manufacturers who are suffering badly due to the global excess production capacity, the project developers and investors, under the banner of Solar Independent Power Producers Association (SIPPA), have petitioned the government against any imposition of anti-dumping duties(Read more here). They argue that for the mainstreaming of PV, it is important that India should be able to leverage the low cost of components from anywhere in the world and not lead to higher cost of PV due to protectionism.
It will be interesting to see what the impact of this complaint will be, on the JNNSM Phase 2.
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