Page 12 - Edelweiss India Conference 2022 FLIPBOOK

THE NEW EDGE

India is the third largest silicon producer, a key ingredient for PV modules

Notably, India is already the third largest silicon (from sand) producer, which is the second-
most abundant element (26% of earth’s crust versus 0.002% for lithium).

India stands third among the list of silicon-producing countries

4500

3600

2700
TMT/year 1800

900

0
China Russia India US Brazil Malaysia France Bhutan Iceland Spain

Source: Edelweiss Research, United States Geological Survey, 2019

ii) India lowest-cost PV module producer globally

According to IRENA, India is already the lowest-cost producer of PV modules as well as solar
energy. India’s cost of solar PV total installed cost at USD596/kW (2020) is 8% lower than
The Indian
even that of China. Similarly, India’s cost of solar power generation at USD596/kW is the
government’s PLI
lowest in the world.
scheme encourages to
build among the world’s When compared to the Middle East, India sits in a similar low-cost geographic zone for
largest PV capacities hydrogen generation from hybrid solar PV and onshore wind systems. As a case study,
we believe the upcoming project in Saudi Arabia suggests that an integrated operation
of hydrogen production from solar and wind could cost as little as USD1.26/kg versus
USD1.74/kg currently.

Some of India’s leading companies target to produce green hydrogen at a cost of less than
USD1/kg, which is about one–fourth of the current global levels.

iii) World-leading scale

India has 42GW of PV solar generation capacity (832GW globally) and 103GW of renewable
energy (RE) capacity. To achieve the 2030 RE target of 500GW, huge production capacities
must be set up. Such a mammoth size would provide huge economies of scale as well as

COP26 net-zero emissions target by 2070.

10 Edelweiss Securities Limited