Fujiyama Power Systems Limited announced that its board has approved a ₹350 crore capital investment to set up a new 1.2 GW TOPCon solar cell manufacturing facility at its Ratlam plant in Madhya Pradesh.
The strategic expansion is timed to capitalize on crucial upcoming regulatory changes in India’s solar industry and a massive boom in residential rooftop solar installations.
Project Blueprint: The Ratlam Solar Cluster
The greenfield expansion transitions the company toward next-generation N-type cell technology.
- Technology Upgrade: The plant will utilize TOPCon (Tunnel Oxide Passivated Contact) technology. TOPCon offers significantly higher efficiency (typically greater than 24.5%) and a lower degradation rate over time compared to older P-type technology.
- Capacity Outlay: 1.2 GW (Gigawatt) per annum, bringing the company’s total footprint closer to fully integrated multi-gigawatt scaling.
- Capital Investment: ₹350 crore, funded via internal accruals and debt financing structures.
- Target Timeline: The facility is scheduled to begin commercial operations in the first quarter of FY2028 (April–June 2027).
Strategic Rationale: Navigating ALMM-II and DCR Mandates
Fujiyama’s decision to build out domestic cell capacity ahead of 2028 is heavily driven by immediate policy directives coming from the Ministry of New and Renewable Energy (MNRE):
- The ALMM-II Deadline: The central government is implementing the Approved List of Models and Manufacturers (ALMM) Phase II for Solar PV Cells effective June 1, 2026. This policy effectively mandates that developers must use locally certified solar cells—not just locally assembled modules—to qualify for government projects and subsidies.
- Feeding the Rooftop Boom: Fujiyama is an established brand in Tier-2 and Tier-3 residential markets, boasting a network of over 8,900 channel partners. By manufacturing its own cells, the company ensures a steady supply of Domestic Content Requirement (DCR)-compliant panels specifically for high-volume subsidy schemes like the Pradhan Mantri Surya Ghar Muft Bijli Yojana (targeting 1 crore households).
- Deep Backward Integration: Fujiyama currently operates a 1 GW Mono PERC solar cell plant in Dadri, Uttar Pradesh, alongside manufacturing bases in Himachal Pradesh and Haryana. Upgrading to TOPCon in Ratlam—where it is also developing a 2 GW Solar Power Generating System—creates an integrated ecosystem that eliminates third-party component sourcing dependencies.
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