India To Hike Import Duty On Solar Equipment In Coming Years, Says Power Minister RK Singh
India will increase import duty on solar equipment to encourage domestic industry in the coming years, Power Minister RK Singh said.
He also announced that a storage policy will be unveiled soon which would provide tax incentives, especially for solar equipment manufacturing in India.
“Right now safeguard duty is imposed on solar equipment which will be diluted in few years. We will increase tariff on solar equipment down the value chain in coming years,” the minister said.
He assured that the rise in import duty will not impact solar energy bidding process in India.
On Jammu and Kashmir, he said: “We will utilise all of India’s share of water to develop hydro projects and also push solar projects in Ladakh.”
On the recent row over tariff negotiations with Andhra Pradesh, he said, “Power Purchase Agreements are sacrosanct. No concluded agreement can be opened.”
Recently, Andhra Pradesh discom had demanded lowering of tariff on some renewable energy projects.
The Solar Energy Corporation of India and NTPC, however, have refused to lower tariff of green energy.
India had imposed safeguards duty of up to 25 percent on solar cell imports from China and Malaysia in July last year.