Grew Energy, a solar module manufacturer located in Gujarat and affiliated with the Chiripal Group with a substantial $1 billion valuation, is contemplating the possibility of establishing manufacturing facilities dedicated to the production of solar glass and Ethylene Vinyl Acetate (EVA) sheets
Grew Energy is one of the dynamic and innovative companies working in the renewable energy sector. Established with a vision to sustainable solutions, Grew Energy specializes in the development, implementation, and management of cutting-edge renewable energy projects.
With a diverse portfolio spanning solar, wind, and other clean technologies, the company is dedicated to reducing carbon footprints and advancing the global transition to green energy. Grew Energy’s expertise lies in delivering reliable, efficient, and cost-effective renewable solutions, making a significant impact on the planet’s environmental well-being.
As per the reports of a leading news medium, Grew Energy has been granted a substantial incentive of Rs 567 crore from the central government for its solar equipment manufacturing facility as part of the Production Linked Incentive (PLI) scheme. The company is currently in the process of establishing an integrated project encompassing ingots, wafers, cells, and modules with a capacity of 2 Gigawatts.
This project is unfolding in three distinct phases, with the initial and second phases taking shape in Jaipur, Rajasthan. The inaugural phase, featuring 1.2 GW of module manufacturing capacity, successfully commenced operations in September 2023.
As the firm progresses into the second phase, it is actively constructing a 1.6 GW module manufacturing capacity. Upon completion of this phase, Grew Energy’s cumulative module capacity will escalate to an impressive 2.8 GW.
Grew Energy is upholding a defined Local Value Addition (LVA) factor as part of the PLI scheme. The company aims to achieve 65% domestic procurement in the total value addition by March 2026. In response to the current scenario, some local manufacturers are strategically establishing capacity for materials essential for sideways integration into module manufacturing, such as glass, aluminum frames, and EVA sheets.
Grew Energy is aligning with this trend and intends to pursue sideways integration to develop a comprehensive ecosystem in Dholera. In the event of challenges related to procurement and achieving the desired LVA factor, the company contemplates the establishment of manufacturing units for glass and EVA backsheet, which collectively contribute 20% to the cost of module manufacturing.
The forthcoming capacity for cells and wafers, which constitutes 50-60% of the total cost, reflects the significance of Grew Energy’s proactive approach to enhance domestic manufacturing capabilities. To facilitate its ambitious plans, the company has earmarked a robust capital expenditure of Rs 6,000 crore. This funding will be allocated in a 2:1 ratio, with the equity portion of approximately Rs 2,000 crore sourced from the promoter and equity partners.
In a strategic move, Grew Energy is presently engaged in discussions with prominent fund houses, targeting a substantial capital raise ranging from $75 million to $100 million. The company is specifically focusing on overseas funds and is in an advanced stage of negotiations to secure the necessary financial support.