Amp Energy India to Form JV with Websol Energy to Make 1.2 GW of Solar Cells and Modules

With an aim to get better control over the supply chain for critical components, Amp Energy India has entered into a joint venture (JV) partnership with Websol Energy Systems Ltd for the manufacturing of up to 1.2 GW capacity of monocrystalline PERC solar cells and modules.
 
In this regard, the two companies have entered into a term sheet agreement for the establishment of a JV for producing monocrystalline PERC solar cells and modules in two phases of 600 MW each at Websol’s existing unit at Falta in West Bengal.
 
It is proposed to set up the unit in a JV company in which Websol will hold 51 per cent and Amp Energy will hold the 49 per cent stake.
 
Furthermore, the project would be financed in the form of both Debt and Equity and would be having an off-take agreement with Amp Energy India for up to 50 per cent of the production. However, the rest of the production would be sold in the market, which is likely to help in filling the demand-supply gap for cells and modules in the Indian market. 
 
Commenting on the partnership, Pinaki Bhattacharyya, MD and CEO of Amp Energy India, said that “this partnership with Websol Energy will go in a long way to ramp up India’s solar module manufacturing capacity in the coming years. There is an extremely strong demand for India manufactured solar cells and with favourable policies in place, the costs of manufacturing will also go down as industry scales and become more competitive. We believe that our entry into manufacturing would not help in backward integration but also help us have better control over supply chain of critical components. We have always supported the government’s Atmanirbhar Bharat initiative by generating renewable energy in India and this natural progression into manufacturing is also an extension of our support.” 
 
Meanwhile, the term sheet is subject to both parties agreeing on certain commercial terms and DD, definitive agreements.