Waaree Energies, an Indian solar power module manufacturer, is planning to build a new solar PV module manufacturing facility in the US state of Texas. The facility will be located in Brookshire and is projected to have an initial capacity of 3 GW per year. The facility is slated to begin operations by the end of 2024.
The company expects to invest up to $1 billion in the new facility over the next four years, bringing the facility’s production capacity to about 5 GW annually by 2027. Furthermore, the company plans to incorporate an integrated solar cell facility in the country, which is scheduled to begin operations by 2025. It has entered into a multi-year contract to supply several gigawatts of solar modules to SB Energy over the next five years. The agreement will also strengthen its presence in the US, where it has supplied more than 4 GW of modules from its Indian facility to customers in the US.
Additionally, Waaree has submitted a draft red herring prospectus (DRHP) for an IPO to raise $361 million to the Securities and Exchange Board of India (SEBI), the country’s market regulator. The company plans to utilise the proceeds from the IPO to partially finance the construction of a 6 GW ingot wafer, solar cell, and module production plant in Odisha, India.
REGlobal’s Views: With the uncertainties regarding import policies in India, many Indian module manufacturers have been exporting significant volumes of modules to the US market at attractive prices. As the Inflation Reduction Act has led to the expansion of module manufacturing capacities in the US, many foreign manufacturers have announced ambitious plans to set up facilities here. On similar lines, Waaree aims to capitalise the large upcoming opportunity in the growing US solar market.
