Premier Energies to Invest ₹6,000 Crore in Ingot and Wafer Manufacturing, Boosting India’s Solar Ambitions

Premier Energies has announced plans to invest ₹6,000 crore over the next three years to establish large-scale ingot and wafer manufacturing facilities, reinforcing its position as one of India’s leading integrated solar manufacturers. The investment is part of the company’s broader ₹12,500 crore capital expenditure plan, which also includes expanding solar cell and module manufacturing, as well as entering adjacent businesses such as inverters, battery storage systems and transformers. The new facilities, with 10 GW each of ingot and wafer manufacturing capacity, will be set up at Naidupeta in Andhra Pradesh, where the company has been allotted around 200 acres of land by the state government.

The expansion is expected to play a significant role in strengthening India’s domestic solar manufacturing ecosystem. By producing key raw materials such as ingots and wafers locally, Premier Energies aims to reduce dependence on imports, improve supply chain resilience and achieve greater backward integration. The project also aligns with the Indian government’s efforts to promote self-reliance in renewable energy manufacturing, particularly as domestic production of critical solar components is expected to gain momentum from 2028.

The investment underscores Premier Energies’ confidence in the long-term growth of India’s renewable energy sector, driven by rising demand for solar power and supportive government policies. Once operational, the new manufacturing facilities are expected to enhance the company’s production capabilities, improve operating efficiencies and strengthen its competitiveness in both domestic and international markets. The move is also likely to contribute to India’s clean energy transition while supporting employment generation and industrial development.

The announcement has been well received by market participants, with analysts maintaining a positive long-term outlook for the company. According to the consensus of 18 analysts, Premier Energies carries an overall ‘Buy’ rating with an average 12-month target price of ₹1,112.22. Individual price targets range from ₹814 to ₹1,340, reflecting confidence in the company’s expansion strategy and earnings growth potential. Analysts believe that successful execution of the planned investments, coupled with increasing demand for domestically manufactured solar equipment, could support sustained value creation for shareholders over the coming years.