Viz-A-Viz with Raghvendra Mirji, Associate Vice President & Head – Power Infrastructure & Renewable Energy, Godrej & Boyce Mfg. Co. Ltd.

Q. Please tell our readers more about Godrej’s solar division, its products & services.

Godrej & Boyce, a Godrej Group Company, operates across 14 diverse businesses. Founded in 1897, the company started with the manufacture of high quality locks. It has since diversified into Consumer Goods, Office and Industrial Products & Services, Infrastructure & Real Estate.

Headquartered in Mumbai, Godrej & Boyce specializes in and is a market leader in Appliances, Furniture & Interiors, Security Solutions, Locking Solutions, AV solutions, Vending, Material Handling, Industrial Logistics, Aerospace, Nuclear Power, Défense, Tooling’s solutions for Auto industry, Process Equipment, Power Infrastructure & Renewable Energy, Real Estate and Green Building Consulting.

Godrej is one of India’s most trusted brands serving over 1.1bn customers worldwide, every day. Godrej Solar is a part of Renewable energy segment of PIRE (Power Infrastructure and Renewable Energy).

PIRE is the vertical of Godrej Electricals & Electronics (E & E), one of the 14 divisions of the Godrej & Boyce Mfg. Ltd. Godrej E&E is recognized as one of the leading technology solution providers in India.

This division basically caters to the needs of Indian and global customers in the area of Power Infrastructure & Energy Management with complete installation and maintenance.

Godrej Solar provides turnkey EPC solutions and is majorly focused on Capex based rooftop & ground mounted projects.

The solar power is seen as the fastest developing industry with increase investments and favourable government policies.Godrej has evolved as most trusted EPC solution providers for solar rooftop projects in Indian Market.

Q. As part of the Godrej’s vision 2020 towards Greener India, what are the major initiatives that the company has been taken so far?

Today, we enjoy the patronage of 1.1 billion consumers globally across consumer goods, real estate, appliances, agriculture and many other businesses. In fact, our geographical footprint extends beyond Earth, with our engines now powering many of India’s space missions.

With a revenue of over USD 4.1 billion we are growing fast, and have exciting, ambitious aspirations. Our Vision for 2020 is to be 10 times the size we were in 2010.

But for us, it is most important that besides our strong financial performance and innovative thought process and bend of mind, much-loved products, we remain a good company.

Approximately 23 per cent of the promoter holding in the Godrej Group is held in trusts that invest in the environment, health and education. We are also bringing together our passion and purpose to make a difference through our Good & Green initiative of ‘shared value’ to create a more inclusive and greener India.

Godrej & Boyce Mfg Ltd is installing 2-3 MWp/ year on its own premises to reduce carbon footprints. The solar power plant installed at our premises will reduce approx. 4500 tons of CO2 from the atmosphere.

Q. What are the solar projects on which the company is currently working on or in queue?

As informed, Godrej & Boyce Mfg. Co. Ltd. install solar roof top plants every year in its own premises and we plan / add up approximately 10 MWp – 20 MWp of roof top plants every year ranging from 10 KWp to multi MW and above. We have very reputed customer bases.

Some of them are Shipping Corporation of India, BPCL, NIIT, Apollo LogiSolutions, Hotel Crown Plaza etc. We had touched base to entire industry segment i.e.

Automobile, FMCG, Hospitality, Manufacturing & Corporate houses etc. There are approximately 10 MWp of solar rooftop projects which are under execution and around 16 MWp under design stage.

Q. What is your opinion on the recent levy of safeguard duty on solar modules and cells? How it will affect the domestic solar market?

In todays globalised economy any protectionist approach from Government, may benefit Indian manufacturing companies in the short term but it will have long term impact on the competitiveness and quality of the services, that is inherent part of this sector.

The imposition will increase the overall cost of solar power plant by 15% and will decrease ROI & thus equity IRR for Developers.

But it is also vital to promote Indian module manufacturing and as per DGTR the safeguard duty was necessary to prevent complete erosion of manufacturing base of solar industry in India.

Around 90% of the solar modules used in Indian projects are imported from China and Malaysia because it is cheaper than domestic manufacturers.

But before imposing safeguard duty we could have ramped up the capacity too to meet 100 GW target by year 2022.

Q. How do you see the future of Indian rooftop solar in coming years and what will be the key trends that drive in shaping the industry & in near future, what will be the Godrej’s expansion agenda for the solar sector?

We are very optimistic about solar roof top segment. Among the diversified sources like coal, natural gas, hydro & nuclear power, the solar power is the fastest growing industry with increasing investments and favourable government policies.

In India, rooftop solar has maintained a 10-12% share of overall solar capacity & it is bound to increase multi fold in coming future.

Godrej & Boyce Mfg. Co. Ltd. will play a pivotal role in uplifting the sector both in terms of increasing awareness & quality standards both in roof top and Ground mounted segments.