Performance-linked incentives fail to excite solar manufacturing firms

The Rs 4,500-crore performance-linked incentive (PLI) for solar manufacturing has not met industry expectations. This is because domestic manufacturers could end up getting barely 3-5 per cent of the sale value of their solar cells and modules as incentives through this scheme.
 
With the Centre claiming record clean energy capacity of 450 Gw by 2030, the scheme aims to support end-to-end indigenous solar power capacity in the country.
 
“Industry calculations indicate that in terms of capital expenditure, PLI would be in the range of 15-25 per cent. The incentive on capex will come after five years. The incentive