American solar power technology company First Solar announced its new solar modules manufacturing facility in Tamil Nadu, being set up with a capacity of 3.4 gigawatts (GW), is expected to be commissioned in the second half of this year.
The factory, which was developed based on the advanced manufacturing model created by First Solar's most recent factory in Ohio, will manufacture the company's Series 7 modules.
The Production Linked Incentive (PLI) scheme has granted the facility cash benefits. First Solar was one of the three manufacturers selected to receive the full range of incentives, which are reserved for fully vertically integrated manufacturing. The incentives are subject to the facility meeting product efficiency and domestic value creation thresholds, which will be evaluated on a quarterly basis beginning in the second quarter of 2026 through 2031.
The PLI initiative intends to lessen India's reliance on solar module imports from outside and to encourage the production of high efficiency solar modules in India. Upon the activation of their manufacturing facilities, manufacturers are chosen under the scheme through a competitive bid process and receive specific cash incentives over a five-year period.
First Solar said that it stands out from the other ten top solar producers in the world because it is the only one with US headquarters, doesn't use crystalline silicon (c-Si) semiconductors, and doesn't produce in China. It does not rely on China c-Si supply chains and instead uses a fully integrated, continuous process to make thin film PV modules under one roof.
