"Premier Energies has earmarked a ₹11,000-crore capital expenditure to expand its annual production capacity by 7.4 GW for cells and 6 GW for modules."

Renewable energy company Premier Energies plans to more than double its annual manufacturing capacity for solar cells and modules as part of an ₹11,000-crore expansion programme aimed at meeting rising domestic demand, a senior company official said.

The Hyderabad-based firm intends to raise its cell manufacturing capacity to 10.6 gigawatt (GW) and module capacity to 11.1 GW. It currently operates four manufacturing units near Hyderabad in Telangana with a combined capacity of 3.2 GW for cells and 5.1 GW for modules.

“Yes, we have a substantial expansion plan of ₹11,000 crore. We would be adding 7.4 GW of cell capacity in Andhra Pradesh and 6 GW of module capacity in Telangana,” Vinay Rustagi, Chief Business Officer at Premier Energies, told PTI.

Rustagi said the expansion is driven by strong demand and the company’s alignment with the government’s Approved List of Models and Manufacturers (ALMM) framework, under which a significant portion of its existing cell capacity is approved. The ALMM initiative, led by the Ministry of New and Renewable Energy, aims to promote domestic manufacturing, reduce import dependence and support the ‘Make in India’ programme.

The company also plans to enter the manufacturing of ingots and wafers as part of its backward integration strategy, with the objective of becoming one of the largest integrated renewable energy equipment manufacturers outside China. Ingots and wafers are key inputs for solar cell manufacturing.

On funding, Rustagi said Premier Energies raised ₹1,300 crore through its initial public offering last year, while ₹2,200 crore has been secured through debt from state-owned Indian Renewable Energy Development Agency (IREDA). The remaining investment will be met through internal accruals.

“The expansion plan is based on growing demand. The demand for our modules is increasing in India and overseas. We have an order book of ₹13,000 crore in the domestic market alone and are fully booked for the next one year,” he said.

The company has also been exporting solar cells to the US market, Rustagi added. He said the planned investment in ingots and wafers would make operations more resilient and aligns with the government’s goal of achieving self-sufficiency in solar manufacturing.