Waaree to Build 5 GW Solar Module Manufacturing Facility in US
The company will invest up to $1 billion over the next four years
India-based solar module manufacturer Waaree Energies has announced it will build a 5 GW integrated solar cell and module manufacturing facility in Brookshire in the U.S.
The facility is expected to produce 3 GW of solar modules annually by the end of 2024. The company plans to invest up to $1 billion over the next four years to scale the capacity to 5 GW by 2027.
The facility will be technology-agnostic, manufacturing both Mono-PERC and TOPCon modules.
Waaree said it would add an integrated U.S.-made solar cell facility to be operational by 2025. The company has not disclosed the solar cell technology to be deployed.
The company said it has supplied over 4 GW of solar modules manufactured at its Indian facility to the U.S.
The manufacturing expansion plans are expected to benefit the company’s long-term supply agreement with SB Energy.
Waaree will supply SB Energy with solar modules for the next five years following the commissioning of what the company claims to be one of the largest solar module manufacturing facilities in the U.S.
Sunil Rathi, Board member, Waaree Solar Americas Inc., said, “Most major components used in the manufacturing of these solar modules will be sourced domestically, enabled in part due to the Inflation Reduction Act. By setting up the new facility in the Houston area, Waaree brings critical technologies that will boost American solar production, reducing reliance on overseas sources while supporting strong U.S. jobs. We are committed to the U.S. and its growing demand for clean energy.”
With the advanced tax credit benefits under the Inflation Reduction Act (IRA), many Indian companies have announced plans to set up solar module manufacturing facilities in the U.S.
In June, another India-based solar module manufacturer and EPC solutions provider, Vikram Solar, and renewable energy investors Phalanx Impact Partners and Das & Co. announced the formation of a new joint venture called VSK Energy, which will invest up to $1.5 billion in developing vertically integrated solar manufacturing operations in the U.S.
Recently, the U.S. Department of Treasury and the Internal Revenue Service proposed regulations and provided guidance to the advanced manufacturing production credit established by the IRA, which would extend credit for production within the U.S. and the sale of certain eligible components, including solar.
In August this year, Waaree raised ₹10 billion (~$120.8 million) in a second round of equity funding led by ValueQuest, a boutique portfolio management company, to help expand its existing manufacturing capacity by 6 GW. The additional capacity will include manufacturing solar ingots, wafers, cells, and modules.