Reliance, Tata bid for $2.4bn solar incentives

Solar module makers, including Reliance Industries and Tata Power, are among bidders for Rs 19,500 crore ($2.4 billion) in financial incentives that India is offering to expand domestic manufacturing and curb panel imports from dominant producer China.

Others showing interest include US firm First Solar Inc and Indian companies JSW Energy. Avaada Group and Renew Energy Global, according to the renewable energy ministry. It said a total of 11 companies entered the bidding, though the embattled Adani Group, one of the country's largest solar panel makers, did not join in.

The financial assistance is part of Prime Minister Narendra Modi's aim to turn the nation into a manufacturing powerhouse, creating more jobs in the economy and reducing imports that can drain foreign exchange. His "Make in India" campaign is an effort to showcase the country as an alternative to China amid a global push to diversify supply chains in the wake of the pandemic.

The government is offering grants to take the country's module-making capacity to as much as 90 gigawatts by fiscal 2026, enough to meet its own requirements and serve export markets. Still, the bids come amid concerns that the focus. on domestic manufacturing is slowing down renewable power projects. Spokesmen at Reliance, Avaada Group and JSW Energy declined to comment. Adani, Tata Power, Renew and First Solar didn't immediately respond to emailed requests for comment.