Legal

Even though postponing the duty on solar cell imports from China and Malaysia is not a long-term resolution, it will offer relief to developers with ongoing PV projects, especially for those with shipments in transit or which arrived after 30 July.

As per the court order, Shapoorji Pallonji can retrieve its solar PV panel consignment at Chennai port, which has been cleared by customs, provided it pays the safeguard duty in case the related notification is upheld.

Responding to developer requests, the state-run NTPC has deferred a 2 GW solar auction by a week, to Tuesday. Madhya Pradesh Urja Vikas Nigam Ltd is another state-owned corporation that has extended its bid submission deadline – for 33 MWp of rooftop solar – from August 9 to August 17, after similar requests.

With more than 550 rooftops identified to save installation time and costs, the scheme will be divided into 27 project groups backed by the Madhya Pradesh and federal governments. PPA agreements are already in place.

The Kolkata-based EPC company says failing to exempt SEZs from the new tariff defeats the point of the existence of such areas, which is to foster domestic manufacturing and industry.

Inspectors from solar risk management company PI Berlin visited six projects and exposed cost-cutting in installation, non-existent warranties, serious safety concerns and improbable performance figures.

The two-year period of the recommended safeguard duty is very short, discouraging any investment in setting up new solar manufacturing capacity, say analysts and companies pv magazine spoke to. At the same time, for solar project developers, the duty will impact tariffs to the tune of 12-15%, posing an immediate threat to viability of projects under execution, they add.

An Indian court has issued a nearly US$16 million arbitral award to Chinese PV company LDK Solar Hi-Tech following its dispute with Indian renewable energy company, Hindustan Clean Energy (formerly Moser Bear Clean Energy) over a solar panel supply agreement. The amount is to be paid within 30 days from the date of the award, and includes the balance of purchase price, liquidated damages and legal fees.

Despite this, at least half the companies among the top 10 – in terms of shares of projects sanctioned – changed every year between 2014 and 2017. International independent power producers (IPPs) accounted for around 45% of the sanctioned projects in solar parks. Around 35% of the park projects were awarded to IPPs registered in Mauritius, where companies benefit from preferential taxation.

Expressions of interest (EoI) for the assets of bankrupt Moser Baer Solar are likely to be invited this week, resolution professional Arvind Garg announced. The company owes over Rs 1,000 crore (around US$149.8 million) to a number of lenders.