Despite India’s Solar Boom, the ₹3,700 Cr Recycling Opportunity Remains Elusive: CEEW

India began its solar manufacturing journey in 2010 with the Jawaharlal Nehru National Solar Mission (JNNSM), marking its entry into the large-scale solar deployment and domestic manufacturing. Later, with the “Make in India” drive, the government introduced Domestic Content Requirement (DCR) schemes and customs duty protections to encourage local manufacturing.

Now that India's module manufacturing exceeds 60 GW and so many large solar projects are in place, India is at a turning point, needing ways to manage discarded solar panels and recover and reuse their materials. However, India’s solar module recycling market is currently at a very nascent stage, with only a few commercial recyclers operating. 

According to new research by the Council on Energy, Environment and Water (CEEW) estimates that India's solar manufacturing could lead to Rs. 3,700 crore worth of market opportunity in 2047. Despite being at a nascent stage, according to a pair of new independent studies released by the CEEW, if this potential is realised, recovering valuable materials such as silicon, copper, aluminium, and silver from solar waste could meet 38% of the sector’s manufacturing inputs by 2047. Thereby helping to avoid 37 million tonnes of carbon emissions by replacing virgin resources with recycled ones. 

The twin CEEW studies provide India’s first comprehensive blueprint for building a domestic solar recycling ecosystem that supports both clean energy and manufacturing self-reliance. By 2047, India’s installed solar capacity could generate over 11 million tonnes of solar waste, largely from crystalline-silicon modules. Managing this would require nearly 300 recycling plants across the country and INR 4,200 crore in investment, the studies estimate. 

Why Do Solar Recyclers Remain Unviable?

Despite this potential, the CEEW study finds that solar recycling in India is not yet viable today, with recyclers incurring losses of Rs. 10,000–12,000/tonne. The biggest operational expense is buying back waste modules, which accounts for nearly two-thirds of the total (around INR 600 per panel), followed by processing, collection, and disposal costs.

For recycling to become profitable, the research suggested that modules need to be priced below Rs. 330, or recyclers supported through EPR certificate trading, tax incentives, and R&D investments in efficient recovery of silicon and silver.

Policy Recommendations

To enable large-scale adoption, the CEEW studies recommend EPR targets for collection and recovery under the E-Waste (Management) Rules, 2022, led by the Ministry of Environment, Forest and Climate Change, and a Circular Solar Taskforce under the Ministry of New and Renewable Energy to align policy, finance, and industry action.

They also propose a centralised solar inventory to identify waste hotspots, and urge producers to share material data and design modules for easy disassembly. Together, these steps would build robust collection systems, spur R&D in material recovery, and embed circularity into India’s renewable energy missions—keeping the clean energy transition resource-resilient and self-sustaining.

Rishabh Jain, Fellow, CEEW, said, “India’s solar revolution can power a new green industrial opportunity. By embedding circularity into our clean energy systems, we can recover critical minerals, strengthen supply chains, and create green jobs—while turning potential waste into lasting value. Building this circular economy is most important for India's resilient and responsible growth.”

Akanksha Tyagi, Programme Lead, CEEW, added, “Solar recycling can be the bridge between India’s clean energy and manufacturing ambitions. Beyond managing waste, it’s an opportunity to innovate—by designing panels for easier recovery, improving material purity, and creating new value chains around critical minerals. Introducing EPR targets, creating demand for circular products, improving data transparency, and designing for recyclability could turn India’s solar waste challenge into a green industry opportunity.”