American renewables major SunEdision is looking to invest up over $2 billion in the next one year in a new manufacturing facility as a boost to the Solar India programme.
The new polysilicon plant is aimed at creating material used as feedstock material in most solar energy applications and a number of locations are under consideration.
The company is also in the process of identifying an Indian partner for the proposed investment, SunEdison’s CEO and president Ahmad R. Chatila has confirmed.
Following the COP 21 summit in Paris, India indicated to bring a 33-35 per cent reduction in carbon emissions, compared to 2005 levels. It believes that by 2030, 40 per cent of its electricity generation will come from renewable forms of energy, such as wind and solar and aims to add 100 GW of renewable energy by 2022.
Costs of solar energy have declined significantly in India and SunEdison believes the downward trend will continue.
Chatila said: “Five years ago, in India, we bought a module for one dollar and 80 cents a watt. Today, a watt is less than 50 cents. Therefore, it is sustainable, based on our own math.
“Solar is a huge project, and there are no limits. This will make prices competitive. As it progresses in India, solar will compete with coal. At some point, perhaps a decade from now, solar would be cheaper than coal. In the last 30-40 years, solar costs have reduced by up to 98 per cent.”
According to the company, India will add around 20-25 per cent of its 3.3-3.7 GW of new capacity in 2016 under is Solar India mission.