The U.S. Department of Commerce has announced a preliminary determination that aluminum extrusions from India, used in racking, trackers, and mounting frames for solar panels, are being sold in the U.S. at unfairly low prices, allowing them to be subject to anti-dumping duties.

Producers and exporters of aluminum extrusions from China, Colombia, Ecuador, Indonesia, Italy, Korea, Malaysia, Mexico, Taiwan, Thailand, Turkey, the United Arab Emirates, and Vietnam are also under the scanner.

The period of investigation was October 1, 2022, through September 30, 2023. The preliminary determinations follow the initiation of the anti-dumping duty investigations on October 31, 2023, based on petitions filed by U.S. aluminum extruders alleging the dumping of aluminum extrusion imports.

The Commerce Department assigned a preliminary dumping margin of 3.44% to Maan Aluminium, Alom Extrusions, and Hindalco Industries while assigning higher margins of 39.05% to Aluka Extrusions, Banco Aluminium, Bhoruka Aluminium, Century Extrusions, Jindal Aluminium, KMV Aluminium, Mittal Extrusions, Sudal Industries and Superfine Group of Industries based on adverse facts available.

An estimated weighted average dumping margin of 3.44% was calculated for all other Indian producers.

These determinations, however, are preliminary, and the Department will keep gathering information and welcoming comments from relevant parties as the investigation progresses.

The U.S. International Trade Commission will make the final determination of injury to the domestic industry if the final Commerce determinations are affirmative.

The Commerce Department also said nine potential exporters of aluminum extrusions from India did not respond to its quantity and value questionnaire.

As a result, it instructed U.S. Customs and Border Protection to collect cash deposits equal to the assigned dumping margins on future imports of aluminum extrusions from India and suspend liquidation of imports of aluminum extrusions already in the country.

Last month, the U.S. also entertained petitions from domestic manufacturers to impose anti-dumping and countervailing duties on solar module imports from Southeast Asian countries like Malaysia, Vietnam, Thailand, and Cambodia.

Last year, India’s Ministry of Commerce announced an anti-dumping investigation by the Directorate General of Trade Remedies into the imported aluminum solar module frames from China.

Relux Electric, an India-based electric vehicle (EV) charging infrastructure firm, has secured ₹2.5 billion (~$29.93 million) in project financing from a group of real estate and infrastructure investors. The company plans to use the funds to expand its hyper charging station network across the highways in South India.

Relux Electric plans to install 20 new hyper EV charging stations in the next eight months. The company is in the process of procuring identified land parcels on busy highways like NH 44, NH 45, and NH 556. Each charging station is expected to occupy an area of 1 to 1.5 acres with a minimum capacity of 1 MW each.

The hyper charging stations can allow up to ten small to medium-sized cars, ten high-end cars, two buses, and one truck to charge simultaneously.

The stations would guarantee a ten-minute charging time for three-wheelers and 18 minutes for four-wheelers.

The company operates over 100 charging stations across Tamil Nadu, Karnataka, Kerala, and Andhra Pradesh, catering to private vehicles.

Karthikeyan Santharam, Managing Director and CEO, said, “We are also committed to developing our own team for R&D and operations & maintenance. As an Original Design Equipment company, we procure charging equipment based on our own designs. These factors make it possible for us to keep the downtime to a bare minimum of a few hours and ensure higher utilization of assets – up to 40%, which is double the industry average.”

The project funding route chosen by the company is based on revenue sharing. The company also plans to rapidly expand its charging station footprint by exploring various other funding options.

The company plans to float a new vertical for fleet operators and owners of commercial vehicles to set up AC charging stations at their respective locations.

According to Santharam, the new vertical will focus on signing up builders, residential and commercial complexes, fleet operators, and travel agencies to use the company’s dedicated charging hubs. The company will not club personal and commercial vehicles in the same location to avoid impacting the space owners’ reputation and operational difficulties.

EV sales reached a record 486,669 units in the first quarter of 2024, increasing by 40% year-over-year. The market consistently exceeded the 100,000-unit threshold each month during the quarter, and March witnessed the highest-ever monthly EV sales figure of 204,337 units.

According to Mercom Capital’s Q1 2024 Funding and M&A Report for Storage and Grid, in the first quarter of 2024, corporate funding in the smart grid sector amounted to $686 million across 14 deals.

Waaree Renewable Technologies, the solar engineering, procurement, and construction (EPC) arm of the Waaree Group, posted a net profit of ₹541.8 million (~$6.48 million) in the fourth quarter (Q4) of the financial year (FY) 2024, an increase of 341% year-over-year (YoY) from ₹122.8 million (~$1.47 million).

The company’s total revenue stood at ₹2.73 billion (~$32.68 million), a growth of 344% YoY from ₹614.9 million (~$7.36 million). The revenue from the EPC segment surged 343% YoY to ₹2.67 billion (~$31.96 million).

The Earnings before Interest, Taxes, Depreciation, and Amortization (EBITDA) grew by 237% YoY to ₹753 million (~$9.01 million) from ₹222.9 million (~$2.66 million).

Waaree’s unexecuted order book stood at over 2,365 MW as of March 31, 2024.

The company said its bidding pipeline remains robust.

Full Year 2024

Waaree posted an annual net profit of ₹1.48 billion (~$17.71 million) in FY 2024, an increase of 167% YoY from ₹553.3 million (~$6.62 million).

The growth in net profit can be attributed to the execution of 704 MW of solar EPC projects during the year.

The company’s total revenue for the year stood at ₹8.76 billion (~$104.88 million), a growth of 150% YoY from ₹3.51 billion (~$42.02 million). The revenue from the EPC segment surged 151% YoY to ₹8.58 billion (~$102.72 million).

The annual EBITDA grew 147% YoY to ₹2.07 billion (~$24.78 million) from ₹837.5 million (~$10.02 million).

The company’s key ongoing projects include a 980 MW ground-mounted project in Kurnool, Andhra Pradesh, a 412 MW ground-mounted project in Bikaner, Rajasthan, a 210 MW ground-mounted project in Khandwa, Madhya Pradesh, a 154 MW ground-mounted project at Thoothukudi, Tamil Nadu, and a 78 MW ground-mounted project at in Chhattisgarh.

Waaree Renewable Technologies emerged as one of the top utility-scale solar EPC service providers in the calendar year 2023, according to Mercom’s India Solar Market Leaderboard CY 2023.

Waaree posted a net profit of ₹644.6 million (~$7.7 million) in the third quarter of FY 2024, an increase of 158% YoY from ₹249.8 million (~$3 million).

The Delhi Electricity Regulatory Commission (DERC) has approved the Battery Energy Storage System (BESS) agreement between BSES Rajdhani Power (BRPL) and Kilokari BESS for the establishment of a 20MW/40MWh energy storage project.

The Commission also adopted a single-part tariff structure, comprising capacity charges of ₹5.7million (~$68,981)/MW per year.

These charges will be billed monthly per the agreement.

Background

BRPL filed a petition under the Electricity Act, 2003, seeking approval for the BESS agreement executed on December 12, 2023, between BRPL and Kilokari BESS and adopting a single-part tariff structure.

The agreement pertains to establishing a 20 MW/40 MWh battery energy storage project at the 33/11 kV Kilokari grid substation, intended for storing, charging, and discharging electricity for BRPL.

BRPL also sought approval for deviations from the guidelines outlined in the Ministry of Power’s notification regarding the procurement and utilization of BESS as part of generation, transmission, and distribution assets, including ancillary services.

The petitioner, formed as a joint venture between R-Infra Ltd. and Delhi Power Company (DPCL), holds 51% shareholding and management control by R-Infra, with the remaining 49% owned by DPCL, a government-owned entity.

Kilokari BESS is a special purpose vehicle formed by a consortium of IndiGrid 2 and Amperehour Solar Technology.

On July 26, 2023, the Commission granted ‘in-principle’ approval for the BESS project.

Further developments occurred in August 2023 when the Ministry of Power (MOP) notified the national framework for promoting energy storage systems, emphasizing renewable energy integration and grid stability through ESS deployment.

Following this, on August 24, 2023, the petitioner engaged the Energy and Resources Institute (TERI) as a bid manager. On October 23, 2023, BRPL issued the letter of intent to the successful bidder, IndiGrid 2, and on December 22, 2023, the BESS agreement was executed.

Commission’s Analysis

The Commission noted that the bidding process conducted by BRPL aligned with the MoP guidelines, with minor deviations outlined in the request for proposal.

The petitioner justified these deviations to achieve a single-part tariff structure, with capacity charges set at ₹5.7 million (~$68,981)/MW per year. This tariff was lower than the initially proposed capacity charge of ₹10.12 million (~$121,198.3)/MW/year by the petitioner on July 7, 2023.

Considering the nature of this project, where the petitioner was not investing any capital expenditure and the approval of the BESS agreement was part of the petitioner’s power procurement process, any financial benefits derived from this project would be passed on to the petitioner’s consumers as a net offset in the power purchase cost included in the Annual Revenue Requirement (ARR).

However, concerning “Section IV, Clause I: Event of Default and the Consequences thereof, 2(c)”, the Commission directed that in the event of default and if BRPL assumed control of the project, BRPL would only be entitled to the agreed tariff of ₹5.7 million (~$68,981)/MW per year.

Any payment from BRPL to Kilokari for termination would not be factored into BRPL’s ARR determination; only the agreed tariff would be considered as the power purchase cost for BRPL.

The Commission ruled that any monetary benefits accruing to BRPL from the operation of this project would be passed on to consumers in the ARR as a net offset in the power purchase cost.

In May last year, DERC proposed to amend the state’s net metering regulations for renewable energy to provide greater flexibility to prosumers and consumers by enabling peer-to-peer transactions through blockchain or other technologies.

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Oriano, Waaree Renewable Technologies, Prozeal Green Energy, Tata Power Solar, and Gensol Engineering emerged as the top utility-scale solar engineering, procurement, and construction (EPC) service providers in the calendar year (CY) 2023, according to Mercom’s India Solar Market Leaderboard CY 2023. Oriano was the top EPC player with a market share of 14.8%, followed by Waaree Renewable Technologies and Prozeal Green Energy with 13.7% and 13.6%, respectively.

THDC India has invited bids for the development of 600 MW to 2,000 MW on/off stream pumped storage projects on a turnkey basis with operation and maintenance for 15 years in various states in India. The last date for the submission of bids is May 13, 2024. Bids will be opened the next day. The scope of work includes selecting sites, conducting all relevant studies and investigations, and preparing preliminary feasibility reports and detailed project reports.

The Ministry of New and Renewable Energy (MNRE) has approved the use of thin film solar modules produced at First Solar’s (FS India Solar Ventures) vertically integrated solar manufacturing facility in Tamil Nadu in projects that have a Domestic Content Requirement (DCR) mandate. DCR solar modules refer to those in which both the solar cells and modules are manufactured within India. MNRE introduced this policy to promote local manufacturing and support the ‘Make in India’ initiative.

Grew Energy, a renewable energy venture of the Chiripal Group, announced plans to set up a 3.2 GW solar module manufacturing facility in Kathua, Jammu & Kashmir. The company will invest ₹45 billion (~$ 538.8 million) to establish the fully integrated three-stage facility on 80 acres of land. Upon completion, the plant will have an annual production capacity of 3.2 GW of high-efficiency solar modules and 2.8 GW of solar ingots, wafers and cells.

East Central Railway has invited bids to empanel agencies to implement 1.1 MW rooftop solar projects for the Samastipur division. The last date for submitting bids is June 10, 2024. Bids will be opened the same day. The selected solar power developer will oversee all aspects of the project, including engineering, design, procurement, installation (including civil and structural components), testing, and commissioning of the solar systems.

The Pune Division of Central Railway has invited bids for state-wise empanelment of agencies to implement grid-connected rooftop solar power projects in Maharashtra through public-private partnerships and on a design, build, finance, operate, and transfer basis. The projects would be developed in two capacity ranges — (i) above 10 kW and up to 100 kW, and (ii) above 100 kW and up to 500 kW. Bidders can quote for one or all the capacities.

India’s power sector emissions rose 7.2% in 2023 from the previous year as a decline in hydropower generation due to droughts, particularly in the second half of the year, offset gains from wind and solar output, according to a report from energy think tank Ember. Hydropower generation fell by 15% in 2023, forcing an increased reliance on coal-fired power plants to meet demand. India’s weakened monsoon spell, coupled with the country’s strong GDP growth, added nearly 190 million tons of CO2 to global emissions in 2023.

In a recent paper published in Solar Energy, researchers said they collected data from a solar cell factory to develop and evaluate water recycling strategies in the manufacture of solar Passivated Emitter and Rear Cells. A team of researchers from Fraunhofer Institute for Solar Energy Systems ISE, Technische Universität Berlin, RENA Technologies, and the University of Freiburg have, for the first time, developed a comprehensive water model of a solar cell factory to reduce water consumption and minimize wastewater production.

Lithium-ion storage solutions provider Flux Power Holdings’ net loss for the third quarter of the financial year 2023-24 widened 83% year-over-year  to $2.64 million on higher operating and interest expenses. The adjusted earnings before interest, taxes, depreciation, and amortization loss for the quarter was ₹1.38 million compared to a loss of $676,000, primarily attributable to the impact of lower revenue.

Array Technologies, a utility-scale solar tracker supplier, reported a net loss of $11.3 million in Q1 2024 from a net income of $17.2 million in the same quarter last year due to lower sales and declining average selling prices. Revenue came in at $153.4 million, down 59% from $376.8 million in the prior year quarter. The timing of project deliveries drove the YoY decline in revenue.

Solar module manufacturer Canadian Solar posted a net income of $12.35 million in the first quarter (Q1) of 2024, an 85.25% YoY drop from $83.71 million as the company continued to tackle pricing pressures in light of lower module average selling prices. The drop in profit was offset by the lower manufacturing costs and higher contribution from battery energy storage solutions sales. Canadian Solar’s operating expenses during the quarter increased to $203.68 million, an 18.15% YoY increase from $172.4 million.

Germany-based solar energy equipment supplier SMA Solar Technology reported a net income of €28.5 million (~$30.6 million), down by 44.8% YoY from €51.7 million (~$55.6 million) in Q1 2023. Earnings before interest, taxes, depreciation, and amortization amounted to €49.9 million (~$53.6 million), down by 16.8% YoY from €60.0 million (~$64.5 million) in the corresponding quarter of the previous year.

Fluence Energy, a utility-scale energy storage firm, reported a 66% narrower net loss of $12.9 million in the second quarter of FY 2023-24 from $37.4 million last year as it reigned in its operating expenses. Despite an 11% fall in quarterly revenue from $698 million last year to $623 million in the second quarter, Fluence’s gross profit more than doubled from $30 million last year to $64 million. Gross profit margin improved to about 10.3%, compared to 4.4% for the same quarter last year.

U.S-based solar energy, battery, and storage service provider Sunrun incurred a net loss of $87.8 million in Q1 of 2024 due to the company transitioning from traditional tax equity to tax credit sales, causing it to invest $181 million in working capital. The company expects to recover this investment in the next quarter as cash from tax credit sales is recovered via arrears, while cash from tax credit allocation is earned back at the time of installation.