Indian solar power maker Premier Energies has secured an INR 2 billion (US $ 27 million) investment from private equity firm GEF Capital Partners to support its planned increases in cell and module production.
Hyderabad-based Premier will use the funds to add an additional 2 GW of manufacturing capacity for cells and modules based on mono PERC technology. The company said it also plans to invest more than INR 12 billion (US $ 162 million) over the next two years to further expand its operations.
âWe are delighted to have a credible partner like GEF Capital on board and the timing of the investment is critical for us to capitalize on the enormous growth potential presented by the industry,â said Surender Pal Singh, President of Premier Energies.
The funding increase comes two months after Premier Energies opened a 1.5 GW integrated photovoltaic manufacturing plant in Hyderabad, which allowed the company to triple its production capacity.
Thanks in part to government measures to support domestic solar power manufacturers – including a basic tariff on modules that goes into effect next year, a national content requirement and the incentive program linked to production (PLI) – Premier Energies said India’s solar cell manufacturing sector has “recently seen unprecedented interest” from investors.
âWe are extremely optimistic about the gradual policy changes brought by the GOI [government of India] in this sector, âsaid Chiranjeev Saluja, founder and CEO of Premier Energies.
According to consulting firm JMK Research & Analytics, Premier Energies is one of 18 companies that have bid for government support to set up solar power manufacturing plants under the PLI program. The policy will allocate approximately US $ 603 million over five years to support the addition of 10 GW of integrated solar PV panel manufacturing plants in India.