Recently I had written a blog article on how not only solar manufacturing companies but also conventional power manufacturers in India are lobbying to protect Indian manufacturing from imports.
The government, looks like, has taken note of the situation and has asked all state owned power generation utilities to source boilers and turbine-generators from companies that have a manufacturing base in India. This is valid for 2 years; till October 2015.
The most prominent power equipment players today in the Indian market are the Chinese companies exporting to India.
But this step from the government will create more advantage for manufacturing companies in India; such as L&T-Mitsubishi, Toshiba-JSW, etc.
Ofcourse the private companies will be free to choose their vendors and suppliers.
Will the government be able to do something similar for India’s Solar Manufacturers? Can the government direct state-owned power generating companies to set up solar power plants using only Indian made modules?
Maybe this can also be extended to RPOs as well in terms of more credit if solar power is purchased from a solar plant using Indian made modules.
These ideas don’t seem far fetched now with it being implemented in India’s conventional power sector.
This can also help balance India’s growing current account deficit.