JA Solar pens agreement to build 1 GW fab capacity in Andhra Pradesh, India

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Chinese Tier-1 solar company JA Solar has confirmed it is to begin construction of a 500 MW solar cell production facility in the southern Indian state of Andhra Pradesh in December – with a solar module facility of a similar size to follow shortly after.

In May the company signed a memorandum of understanding (MoU) with the infrastructure arm of Essel Group for the development of the fabs, and Essel Group’s CEO Ashok Agarwal has confirmed that movement has begun on securing suitable land for the initial 500 MW solar cell factory.

The facility is expected to be located at the Sri City Industrial Park in the state, with initial investment set to reach $150 million.

The CEO also confirmed that the MoU outlines plans to develop a 500 MW solar module production plant nearby, with a completion date penciled in for mid-2017.

The projects would help boost India’s local content production capacity and deliver a significant boost to Prime Minister Narendra Modi’s goal of installing 100 GW of solar PV capacity in India by 2022.

According to the government, India’s current solar cell production capacity is 1,328 MW, with module production capacity standing at 2,523 MW. JA Solar’s involvement would, therefore, significantly boost India’s capacity to meet its domestic content requirements, which are set at 5 GW of solar capacity by 2022.