What We Can Expect From INOXGFL Group's "Solar Business"?

The INOXGFL Group, which has carved out a niche for itself in India’s wind energy sector, is now stepping into a completely different market space. After building its presence in wind turbine manufacturing, EPC services, and operations & maintenance (O&M), the firm has decided to place its bets on the solar energy business.

The group announced its plans to venture into solar module manufacturing in 2024. Since then, it has been working to commission its maiden solar module manufacturing unit in Gujarat. Alongside this, it has also begun pursuing backward integration through solar cell production and expanding its solar module manufacturing footprint in Odisha.

But the company isn’t limiting itself to manufacturing alone. The Noida-based firm has also begun laying the groundwork to manage the O&M of solar and hybrid projects, develop Independent Power Producer (IPP) projects, and take on solar EPC contracts, thereby broadening its business scope.

Inox Green’s Entry into Solar O&M

Inox Green, a subsidiary of the INOXGFL Group, entered the solar O&M segment in FY25. According to the latest updates, the firm has built a 1.6 GWp solar O&M portfolio — all added during the first quarter of FY26. This is in addition to its 3.5 GW wind O&M portfolio.

These solar projects are spread across states including Rajasthan, Gujarat, Karnataka, Tamil Nadu, Telangana, Madhya Pradesh, Uttar Pradesh, Uttarakhand, and Haryana. A number of these are hybrid projects, combining both solar and wind.

“During the quarter, the machine availability for our entire portfolio averaged around 95.6%. Inox Green added approximately 1.6 GWp of solar O&M contracts between April and May 2025. Our move into solar O&M has been strategic, given that one of our group companies has recently commenced solar module manufacturing and the imminent large-scale opportunities in hybrid, RTC, and FDRE projects,” said S.K. Mathu Sudhana, CEO, Inox Green.

The Manufacturing Plan

The group has drawn up ambitious plans to manufacture both solar modules and solar cells. Its first step is a 1.2 GW solar module manufacturing plant in Gujarat, followed by a proposed 4.8 GW module plant in Dhenkanal, Odisha. The same site will also house a 4.8 GW solar cell plant. The Odisha government has already allocated land for the project.

Interestingly, the same district had earlier been earmarked by the Waaree Group for an integrated wafer, ingot, cell, and module facility, but Waaree later shifted most of its project out of Odisha in a “strategic realignment.”

Which Brings More O&M Revenue: Solar or Wind?

In a recent interaction with investors, the company’s top management explained the revenue and margin differences between its wind and solar O&M businesses.

Wind projects, they noted, deliver stronger margins compared to solar. Exact figures vary by project size, but broadly:

• Wind O&M: Revenue of ₹8–10 lakh per MW; margins of 45–50%

• Solar O&M: Revenue of ~₹2 lakh per MW across its 1.6 GW portfolio; margins around 20%

Growing Appetite for Solar Tenders

The company also revealed that the Inox Group is actively bidding for solar O&M tenders floated by IPPs and large corporates.

“Further, we are participating in multi-gigawatt wind and solar O&M tenders from IPPs, as many large companies are moving away from capital O&M to outsourced models. We believe Inox Green has an edge here, given our strong credentials,” Mathu Sudhana added.

What Could Work in Inox Group’s Favour

The group believes its integrated approach — spanning manufacturing, EPC, and O&M — will help it secure better margins than competitors. Its dual capability in both solar and wind O&M also positions it strongly to manage hybrid projects. That said, management has clarified that wind will remain its primary business.

“Our IPP arm and the solar manufacturing business under Inox Clean are shaping up well, and the synergies across Inox Clean, Inox Wind, Inox Green, and Inox Renewable Solutions are both unique and beneficial. Backed by the large capacity targets of Inox Clean, we expect more orders for Inox Wind, EPC opportunities for Inox Renewable Solutions, and long-term O&M service opportunities for Inox Green across both wind and solar,” said Devansh Jain, Executive Director, INOXGFL Group, in the latest investor call.

Challenges Ahead 

The solar industry faces a unique set of challenges across both manufacturing and projects. Volatility in raw material prices such as polysilicon, wafers and ingots from China, shifting tax regimes, and the inherent difficulties of setting up solar cell lines — from securing skilled manpower and stabilising production timelines to keeping pace with rapidly evolving technologies — weigh heavily on manufacturers. Add to this the need for foreign collaborations, geopolitical uncertainties, and fears of overcapacity in domestic module manufacturing, and the hurdles only multiply.

For EPC firms and IPP players, the pressure comes largely from costs, shrinking margins, and intensifying competition as new entrants jostle with established names in an increasingly crowded solar market.