Buy abroad diktat doesn’t worry India’s solar sector

India has to make suitable policy changes by December this year to remove measures it had undertaken to protect its fledgling solar manufacturing sector from foreign competition, according to a recent notice issued by the Dispute Settlement Body (DSB) of the World Trade Organisation (WTO). DSB adjudicates on trade disputes between national governments.

“The United States and India have agreed that the reasonable period of time for India to implement the recommendations and rulings of the DSB in the dispute ‘India — Certain Measures Relating to Solar Cells and Solar Modules (WT/DS456)’ shall be 14 months from the October 14, 2016, date of adoption of the DSB recommendations and rulings.

Accordingly, the reasonable period of time expires on December 14, 2017,” DSB said in a communication on June 16. “We have been given time till December and have been asked to complete all on-going projects. We will not be able to keep the provision of a secure market for Indian suppliers. Even Indian projects, which are owned by the private sector, cannot have Domestic Content Requirement (DCR),” said an official in India’s Ministry of New and Renewable Energy (MNRE). “However, WTO permits us to do projects by the government. So, if the government or its public sector units are undertaking a project, they have the provision of DCR.”

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