Development Watch – Week #2 Mar’26

Development News

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Rs. 25,000 Crores support for solar manufacturing

India’s solar industry is pushing for significant government funding to boost domestic manufacturing of solar ingots and wafers. The National Solar Energy Federation of India has requested ₹20,000-25,000 crore in viability gap funding. This aims to build 50 GW of local capacity. The industry also wants incentives for machinery. The National Solar Energy Federation of India, representing 85% of active solar manufacturers, also suggested to the Ministry of New and Renewable Energy that 10% of the VGF support go to the ancillary solar equipment industry. It also sought an incentive package of ₹3,000-4,000 crore to promote domestic machinery and equipment used in solar manufacturing lines.

US, China challenge ‘Make in India’ incentives

India’s manufacturing push under the production-linked incentive (PLI) scheme is facing global scrutiny, with the US and China challenging subsidies they say distort trade. The US has imposed preliminary 126% duties on Indian solar imports over alleged unfair subsidies, a move analysts say could shut Indian panel makers out of the US market. The panel was set up after consultations between the two countries — the first step in the WTO dispute process — failed to resolve China’s challenge to New Delhi’s sector-specific subsidies. The program, spanning 14 sectors from electronics and pharmaceuticals to solar modules and medical devices, carries a total outlay of 1.91 trillion rupees ($21 billion).

SHANTI Act and regulatory clarity

ndia Inc is waiting for the next set of operational steps from the government that will formally open up the nuclear energy sector for private players following notification of the SHANTI Act. clarity on implementation will determine how quickly investments move from intent to execution, industry executives said, “Following the passage of the SHANTI bill, private investors will look for regulatory clarity, policy stability and strong institutional reliability before committing long-term capital”. Among the immediate requirements is the issuance of rules covering licensing procedures, eligibility criteria, financial security norms, insurance requirements, compensation mechanisms and the framework for a nuclear liability fund.

CIDCO plans 120 Acres commercial hub in Navi Mumbai

he Maharashtra government’s town planning and infrastructure development authority, the City and Industrial Development Corporation of Maharashtra (CIDCO), has invited bids to develop a large-scale International Corporate Park in Navi Mumbai’s Kharghar. The proposed corporate park will be developed on nearly 120 acres of land and is envisioned as a modern commercial district designed to attract large corporations, financial institutions, commercial establishments and mixed-use developments. The project will be implemented under the state government’s Theme-Based and Iconic City Development policy. The authority plans to appoint a private developer through a competitive bidding process to undertake the construction and development of the project. The selected bidder will be chosen based on the highest gross revenue share percentage offered to CIDCO in present value terms, under the H1 selection method.

Railways electrification guards from oil supply risks

Indian Railways has undertaken electrification of its network in mission mode over the last decade, significantly reducing its dependence on imported diesel. As a result, 99.4% of the Broad Gauge (BG) railway network has now been electrified, marking one of the largest infrastructure transitions in the world. With a growing share of the railway network now electrified, Indian Railways is able to rely more on domestically generated electricity, improving energy security, optimising energy expenditure and reducing exposure to volatility in global oil markets. Indian Railways saved 178 crore litres of diesel in 2024-25 compared to 2016-17, representing a 62% reduction in diesel usage. Today, the bulk of India’s train operations run on electric traction, powered through a diversified electricity mix that includes coal, hydro, solar, and other renewable sources.

Bharat Forge French collab for flight components

Bharat Forge’s aerospace division on Wednesday inaugurated a landing-gear components machining facility in Pune in collaboration with France-based Liebherr-Aerospace & Transportation SAS, becoming one of the first Indian companies to operate OEM-approved landing gear components machining capabilities. Bharat Forge now has a full-stack aerospace manufacturing portfolio, including aero-engine components, airframe structures, and landing-gear sub-systems for civil and military aviation. The company also produces turbine and compressor parts, forged rings, shafts, and discs, along with structural and landing-gear elements. Bharat Forge is also setting up an advanced aerospace ring mill in India to produce high-value forged rings for aero-engine programs.

Security escort for vessels in Strait of Hormuz

A shipping industry body and a state-run oil company on Friday called for security escorts for vessels transiting the Strait of Hormuz – a critical route for oil and gas shipments from West Asia – and suggested exploring alternative ports such as Yanbu in Saudi Arabia to ensure uninterrupted supplies of energy and other commodities from the crisis-hit region. At a high-level inter-ministerial meeting chaired by shipping secretary Vijay Kumar, companies also urged the government to instruct ports to waive demurrage charges and other levies, including detention and plug-in fees, for cargo and containers stuck at ports.