With the dropping tariffs, it will be interesting to see how the sector remains sustainable over the next few years
The manufacturing costs have fallen in the last few years paving the way for decrease in tariifs.
At the end of the day, grid parity is the way to go if the govt wants this sector be more than just a charitable initiative. The focus so far has been on capacity addition. As this sector matures every year, the way forward would be to introduce schemes that reward good performance of power plants and penalize poor efficiencies.
The increased duty on Chinese manufactured equipments will also be a factor to be watched out for.
What chances does India stand of reaching the 175 GW goal by 2022? Are there any clear cut plans for the same?