1. Potential for Industries related to Solar Power in India and M&A opportunities in C-Si module Segment Institute of Management Technology Ghaziabad Akash Jauhari IMT Ghaziabad

2. Background: Solar Power Solar Power Value Chain Related Business: Production, Technology Providers, Power Plants, Finance, Consultancy, Engineering & Architect Indian Perspective: Role of MNRE, IREDA, CERC, JNNSM Companies present in India Akash Jauhari IMT Ghaziabad

4. Annual revenues from solar power in India to grow from $ 107 million in 2013 to $ 2300 million in 2022 with a CAGR of 36%.

5. India’s cumulative PV installations to be around 19.5 GW by 2015, making it among top 8 solar power producing countries.

6. Exports continue to drive production for another 3-4 years, before domestic demand getting substantialAkash Jauhari IMT Ghaziabad

8. Thin film to remain competitive to C-Si technology in India, as cheaper and better suited to Indian climate. Cumulative domestic demand for thin film module to over 3.5 GW between 2013-2022. Target price should be $1/W.

9. Rather than setting up a C-Si module manufacturing plant in India, it will be financially more viable to acquire a existing firm and expand according to requirements.

10. Polysilicon and Wafer & Ingot segment, which are currently non existent in India, are expected to be $ 2300 million and $ 1500 million respectivelyAkash Jauhari IMT Ghaziabad

11. Recommendations Existing module manufacturers in India should invest in forward integration, mainly in inverters, power project and project financing. – margin get higher Indian Players should focus on identifying customers in hot markets of Italy, Japan and US. They need to invest in improving their supply chain and sales channel in order to competitive. Global leaders with core competencies in polysilicon and Wafer & ingot production should invest in India, as technology is not available. – Hemlock semiconductor & REC. It is better to invest in thin film power plant rather than C-Si in India, due to cost & performance issues. Expected to break even in 10 years, while CERC PPA’s available for 25 years at Rs 15.3 per KW hr. Akash Jauhari IMT Ghaziabad

12. Recommendations For foreign companies & investors: Explore opportunities to work with Indian firms like joint projects, collaborations and M&A. This will help to access domestic market faster and capture domestic market easier. In C-Si Module segment, prospect target companies are – Websol Energy Ltd. Kolkata PV Power tech Mumbai Akash Jauhari IMT Ghaziabad

15. Field Study

16. Exploratory in Nature

17. Financial data, quantitative in NatureAkash Jauhari IMT Ghaziabad

18. Solar PV Value Chain Source: Nor Sun Corp. Akash Jauhari IMT Ghaziabad

20. Soft finance facility available through IREDA, Govt. of India.

21. SEZ like policies – zero import duty, exempt from excise duty, priority sector lending, SIP etcAkash Jauhari IMT Ghaziabad

24. Research study by Energy Bulletin Group.

25. Adjusting targets: As of 2011, total installed capacity is only 300 MW. Thus scenario with adjusted capacity may be employed, ex 75% of JNNSM.Akash Jauhari IMT Ghaziabad

26. Projections for Solar PV power in India Akash Jauhari IMT Ghaziabad

27. Projection for Solar Thermal in India Akash Jauhari IMT Ghaziabad

29. Current market of C-Si is about 90%, rest being Thin film.

30. We expect thin film to gain market share in India:

31. Newer technology with lower polysilicon requirement

32. Lower cost compared to C-Si

33. Better suited to Indian condition of high temperature

34. New plants being set up in India. Ex. Moser Bear

35. Market share of thin film to grow at an average of 10% between 2012-22C-Si module V/S Thin Film Akash Jauhari IMT Ghaziabad

38. Estimate for Module domestic market in India. Akash Jauhari IMT Ghaziabad

40. Estimating Cash flows for a 10 MW project, assuming 50% debt taken at 11.5% 20 years.

41. Total Initial cost comprising of land, civil works, modules etc comes out to be 27.13 million. Straight line depreciation for 20 years. Tax = 35%Akash Jauhari IMT Ghaziabad

42. Setting up a Thin Film Power Plant in India Akash Jauhari IMT Ghaziabad

43. Solar P.V Value Stack Source: Green Rhino Energy Akash Jauhari IMT Ghaziabad

44. Cell & Module Production in India Annual Production of Cell & Module in India & total Import and export related to solar industry ( Source: MNRE annual presentation, Sept 2010) Akash Jauhari IMT Ghaziabad

45. C-Si module Manufacturers in India Source: Company websites Akash Jauhari IMT Ghaziabad

49. Scope for Expansion – Financial & Technological

50. Supply chain network (Domestic & International)

51. Business Group/ Family Background

52. Core Competency of Group

53. Match with Business PortfolioAkash Jauhari IMT Ghaziabad

54. Prospect Target : Websol Energy Kolkata Stock Performance Acquisition Scenario Akash Jauhari IMT Ghaziabad

56. International certification

57. Core Competency – Module Manufacturing

58. Scope to Expand

59. Mumbai –SEZ : Export & Domestic distribution advantageAkash Jauhari IMT Ghaziabad