India in 2010 launched Jawaharlal Nehru National Solar Mission. It aims to have 20,000 MW of grid-connected solar power by 2022. The US already had consultations with India on solar domestic content for the phase-I of the programme. Dismissing the allegations, India said its National Solar Mission programme is WTO-compliant and it would defend its stand in the Geneva-based multilateral body.
The US has challenged that the domestic content requirements discriminate against US exports by requiring solar power developers to use India-manufactured equipment instead of US equipment and that these requirements are against WTO rules.The US added that solar power developers receive certain benefits and advantages, such as long-term tariffs for electricity, contingent on their purchase and use of solar cells and solar modules of domestic origin.
Commerce Secretary Rajeev Kher pointed out that several US companies have won contracts in phase-II of India's National Solar Mission. He further added that US solar and renewable energy projects are protectionist in nature.
"The claim states that India provides less favorable treatment to imported solar cells and solar modules that accorded to like products originated in India and they are trade-related investment measures inconsistent with India's obligations under the GATT," according to the WTO.
A request for consultations is the first step in the WTO dispute settlement process and is intended to help parties find a solution. If the matter is not resolved through consultations within 60 days of the request, the US may ask WTO to establish a dispute settlement panel.
The US has challenged that the domestic content requirements discriminate against US exports by requiring solar power developers to use India-manufactured equipment instead of US equipment and that these requirements are against WTO rules.The US added that solar power developers receive certain benefits and advantages, such as long-term tariffs for electricity, contingent on their purchase and use of solar cells and solar modules of domestic origin.
Commerce Secretary Rajeev Kher pointed out that several US companies have won contracts in phase-II of India's National Solar Mission. He further added that US solar and renewable energy projects are protectionist in nature.
"The claim states that India provides less favorable treatment to imported solar cells and solar modules that accorded to like products originated in India and they are trade-related investment measures inconsistent with India's obligations under the GATT," according to the WTO.
A request for consultations is the first step in the WTO dispute settlement process and is intended to help parties find a solution. If the matter is not resolved through consultations within 60 days of the request, the US may ask WTO to establish a dispute settlement panel.
No comments:
Post a Comment