India to unveil ‘Solar Zones’ policy soon

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The government of India is working on coming up with a solar policy that would encourage promotion of solar energy and solar equipment manufacturing in the country. The Ministry of New and Renewable Energy (MNRE) is working on launching a policy that would enable firms to set up solar power generation and equipment manufacturing facilities inside ‘solar zones.’

These zones are expected to be in similar lines like the Special Economic Zones (SEZs) already operational in the country. These zones come with several incentives for the investors including tax holidays and infrastructure support. The Indian government has been promoting the use of renewable energy in the country since last one year.

According to industry sources these solar zones will house solar power projects as well as equipment manufacturing units. Under the National Solar Mission, India has set a target of achieving 100 GW of solar energy by 2022 and to achieve this ambitious target the government is trying to woo as many investors as they can in this domain.

The idea is to also encourage local manufacturers to come and invest in solar power which is mostly dominated by foreign players. This policy is expected to make local players come and invest in the solar energy segment.

By Atanu Kumar Das