With reference to solar power production in India, consider the following statements:
- 1.India is the third largest in the world in the manufacture of silicon wafers used in photovoltaic units.
- 2.The solar power tariffs are determined by the Solar Energy Corporation of India.
Which of the statements given above is/are correct?
Answer & explanation
Answer: (d) Neither 1 nor 2
Neither statement is correct. India is not a leading maker of silicon wafers; the wafers and ingots used in solar cells are still largely imported. Solar tariffs in India are found through competitive bidding, not fixed by the Solar Energy Corporation of India (SECI), which only conducts the bidding and buys the power as an intermediary.
- ✗ 1. Ingots and wafers, the first step of the solar supply chain, remain heavily import-dependent in India, so it is not the world's third-largest wafer maker.
- ✗ 2. SECI conducts tariff-based reverse bidding and acts as an intermediary procurer. The tariff is discovered by bidders under Government of India guidelines issued under Section 63 of the Electricity Act, 2003.
Remember · In India solar tariffs come from competitive (reverse) auctions run by agencies like SECI; SECI does not set them. Wafer manufacturing is still import-dependent.
Sources
- PIB, Ministry of New and Renewable Energy: Government extends ALMM Framework to Solar Ingots and Wafers (18 March 2026) ↗ “one step further up the solar supply chain to include the ingots and wafers, which currently remains heavily import-dependent”
- Solar Energy Corporation of India: What We Do ↗ · reference work “SECI conducts tariff-based reverse bidding for grid-connected solar, wind, hybrid, round-the-clock (RTC), and Firm and Dispatchable Renewable Energy (FDRE) projects.”
- PIB, MNRE: New Guidelines for Tariff Based Competitive Bidding Process for Solar Power (26 August 2017) ↗ “These Guidelines have been issued under the provisions of Section 63 of the Electricity Act, 2003 for long term procurement of electricity”
Question and answer: UPSC's official GS Paper I (2018, Series A) — paper ↗ · answer key ↗. Explanation: Minimalist IAS, checked 1 Oct 2026 (how we verify). ·