How to Start Solar Panel Manufacturing Business

You may have been wondering how to start solar panel manufacturing business in this time where running a profit-based enterprise seems to be the only economic way-out. Even as it is important to have a well defined solar panel manufacturing business plan before starting the production unit. A good business plan should outline your goals, market analysis, target audience, financial projections and marketing strategies.

You should also consider investing in the latest technology and equipment to ensure that you can produce high quality solar panels efficiently. It is important to create a detailed financial plan that includes production costs and expected revenue.

Before starting a solar panel manufacturing business, it is important to understand the size of the market, consumer preferences, latest trends, etc.

You should also consider investing in the latest technology and equipment to ensure that you can produce high quality solar panels efficiently. You need to develop a comprehensive marketing and sales strategy that can help you reach your target customers effectively.

Types Of Solar Panels
Here are some different types of solar panels you may like to venture into trading with or rather selling for the main purpose of making a profit:
  • Monocrystalline solar panels

Monocrystalline solar panels are the oldest type of solar panels and comprise monocrystalline solar cells made out of pure silicon. These cells are expensive as they have higher power output, occupy less space, and tend to last longer.

These panels will have a large surface area for better absorption of sunlight and have an efficiency of between 18 to 24 percent. Monocrystalline solar panels have greater heat resistance and they last up to 30 years. Entrepreneurs looking to start solar panel manufacturing plant can start this monocrystalline solar panels production.

  • Polycrystalline Solar Panels

These panels are also called as multi-crystalline panels and are considered as mid-range panels as they are less efficient compared to monocrystalline panels and are easily affordable. To make wafers, raw silicon is melted and poured into a square mold.

Polycrystalline solar panels are made up of poly fragments of silicon crystals and do generate much electricity compared to monocrystalline panels as there is less freedom for the electrons to move in poly fragments of silicon but the process involved in solar panel manufacturing plant is extremely simple and faster.

  • Thin-film Solar Panels

These solar panels are thin and flexible as the cells used for these panels will be 350 times thinner than the crystalline wafers used in the other 2 types of solar panels. They are made from layers of semiconducting materials such as silicon, copper indium gallium selenide, and cadmium telluride and have an efficiency of around 12 percent and tend to degrade more quickly compared to crystalline panels.

The semiconductor layer is placed between conducting layers, with glass on top making it look attractive and can be used as solar roof tiles. Due to its lightweight construction customers can save installation costs making it the most affordable panel and recognized as a second-generation solar panel.

How to Start Solar Panel Manufacturing Business

Taking a look at how to start solar panel manufacturing business can be a great idea! But first, let us snatch a peep at it. The solar panel manufacturing business is one of the fastest growing business in India and has grown by almost 50% in the past decade alone.

Solar energy is a renewable energy source and won’t run out like fossil fuels. It is not only eco-friendly but also cost-effective undoubtedly. Hence governments across the world have announced several policies and incentives such as the PLI scheme to encourage solar panel manufacturing business everywhere.

The solar energy market was therefore valued at USD 59 billion in 2020 and is expected to reach USD 230 billion by 2028 globally.

Several manufacturing industries are installing solar rooftops due to environmental regulations has provided a vast market for solar panel manufacturing industry owners.

For complete setup of solar panel manufacturing plant, it requires many components like a solar panel, DC distribution box, battery, panel stand, wire, tracking structures, etc. Solar panels are used to collect energy from the sun to convert it into electricity with the help of solar cells arranged in it.

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Here are some step-by-step procedures on how to start a solar panel manufacturing business:

  • Detailed Project Report

A detailed project report provides you an excellent clarity by helping you to estimate the cost required to start solar panel manufacturing plant, profit projections, description of the technology to be used, suitable marketing strategies, components needed to run a successful industry, etc.

  • Finance Arrangement

Entrepreneurs can utilize government subsidies and bank loans for financial assistance to start a solar panel manufacturing business. DPR plays a critical role to secure a bank loan and also to be eligible for subsidies.

  • Register and Get Necessary Licenses and Permits

Bureau of Indian standard and Ministry of new and renewable sources of energy under the compulsory registration scheme, the PV modules need to undergo testing from a NABL testing lab and should clear all the testing parameters, and must comply with all the terms and conditions.

  • Infrastructure

Entrepreneurs can lease, buy or build an infrastructure to start solar panel manufacturing business. It is advisable to have an infrastructure at the location having good convenience for sales and marketing. Once the infrastructure is ready, the next step is to procure machinery and install them.

  • Machinery and Raw Material Procurement

Starting a solar panel manufacturing business requires a wide range of machinery and the type of machinery depends on the type and scale of production. Industries can choose manual or semi-automated or fully automated production processes. Consulting an expert before selecting machinery is extremely important.

  • Hire Trained Workforce

The solar module manufacturing industry requires a trained and skilled workforce to increase production and efficiency. Hence new enterprises need to conduct regular training sessions for laborers to improve their skills and reduce manufacturing errors in the solar panel manufacturing plant.

  • Marketing and Branding

Marketing is the last phase but it decides the success of solar panel manufacturing business. The market for solar panels is growing all over the globe at a rapid phase and manufacturers must build efficient market strategies to conquer large market share. MNCs and manufacturing units are installing solar panels on their rooftops and have provided huge market opportunities.

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