An obligation of 14.9% can be levied on such imports for six months from July 30, 2020 to January 28, 2021 whereas the responsibility can be barely lesser at 14.5% within the following six months, an official notification issued on Wednesday stated.
The nation first imposed the responsibility in 2018 for 2 years to stop dumping of Chinese language photo voltaic tools within the nation, charging 25% within the first yr, and 20% within the second.
The responsibility was charged on tools from China and Malaysia the place plenty of Chinese language-owned photo voltaic corporations are based mostly. Nevertheless, within the authorities’s newest notification, Malaysia has been exempted.
The discover doesn’t point out any exemptions or a “grandfather clause”, which might have allowed renewable power corporations to assert reimbursements on the responsibility they’ve paid whereas importing tools from China, the place 80% of India’s photo voltaic tools is sourced from.
Including a “grandfather clause” to present energy buy agreements would imply that there’s an understanding between photo voltaic builders and the federal government that the challenge prices greater than the allotted price range on the time of closing of the deal, and therefore, compensation can be offered to the builders by way of the distribution corporations.
Home photo voltaic tools manufacturing needed the safeguard responsibility to be prolonged for 4 years, however the DGTR stated one-year extension can be enough. Home photo voltaic manufacturing associations had welcomed this advice, however requested the charges to be elevated to not less than 50%.
Builders have been earlier anticipating a primary customs responsibility (BCD) to exchange the safeguard responsibility on the finish of this month. Energy and renewable power minister RK Singh had just lately instructed stakeholders that BCD of 15-20% on photo voltaic tools can be imposed in August, which might double in a yr’s time.
Though no official announcement has been made but, business stakeholders anticipate the BCD to be levied together with the safeguard responsibility.