Solar power developers may defer module imports; flat year ahead for firms

India added 6.5 Gw of solar power in the last financial year

After sluggish growth in 2018-19, the current fiscal is set to be another flat year in solar power addition as developers are likely to hold back purchase of solar modules due to the steep duty levied on imports.

India added 6.5 gigawatts (GW) of solar power in last financial year as developers deferred module imports on the lingering uncertainty over imposition of 25 per cent trade duties on imported solar modules. Apart from that, lack of clarity on the taxation classification for solar modules, inverters and construction contracts amidst the newly rolled out Goods & Services Tax (GST) throttled growth