Alpex Plans 1.6-GW Solar Cell Factory in India

• Alpex Solar is set to illuminate Mathura with a 1.6-GW solar cell factory, boosting clean energy production and sustainability in India!

Alpex Solar has announced plans to establish a 1.6-GW solar cell manufacturing facility in Mathura, Uttar Pradesh, with an investment of approximately INR 6.42 billion (USD 76.4 million). This new factory will complement the company’s existing production of 1.2 GW of photovoltaic (PV) modules at the same site. The project will be executed in three phases, with the first 500 MW of solar cells expected to be operational by October 2025.

To finance the initiative, Alpex Solar will utilize a combination of bank loans, its own resources, and equity raised from its recent INR 745-million IPO. Currently, the company operates a 450-MW manufacturing plant for PV modules in Greater Noida, employing both monocrystalline and polycrystalline technologies. The complete capacity expansion will be phased in by September 2026.

What are the key phases and financing details of Alpex Solar's new facility?

- Project Overview:

• Alpex Solar is launching a new solar cell manufacturing facility in Mathura, Uttar Pradesh.
• The facility will have an initial capacity of 1.6 GW, enhancing the company's current output of 1.2 GW of photovoltaic (PV) modules.

- Phased Implementation:

• The project is structured into three specific phases:
• Phase 1: Installation of a 500 MW solar cell production line, slated to become operational by October 2025.
• Phase 2: Expansion to an additional 600 MW capacity, expected to be completed by early 2026.
• Phase 3: Finalizing the remaining 500 MW capacity to reach the total goal of 1.6 GW by September 2026.

- Financing Structure:

• The total investment in this project amounts to approximately INR 6.42 billion (USD 76.4 million).
• The financing will comprise several components:
• Bank Loans: A portion of the funding will be sourced through loans from financial institutions.
• Own Resources: Alpex Solar will leverage its internal funds to support the project.
• Equity from IPO: Funds raised from a recent IPO, amounting to INR 745 million, will also contribute to financing the new facility.

- Existing Infrastructure:

• The new facility will augment Alpex Solar's established operations, which includes a 450-MW manufacturing plant located in Greater Noida.
• The Greater Noida plant currently utilizes both monocrystalline and polycrystalline technologies, demonstrating the company’s diverse manufacturing capabilities.

- Market Impact:

• This expansion aims to strengthen Alpex Solar's position in the growing renewable energy market, particularly in solar power production in India.
• The new facility is expected to create numerous job opportunities and could potentially drive down costs in the solar energy sector by increasing domestic manufacturing capacity.

- Strategic Goals:

• Aligning with India’s commitments to renewable energy targets, this project contributes to the broader objectives of the government in promoting clean energy initiatives and reducing dependency on fossil fuels.