Kolkata-based solar module manufacturer Vikram Solar has increased the manufacturing capacity of its Falta facility in West Bengal by 1 GW.

The manufacturing lines in the facility at Oragadam in Chennai, Tamil Nadu, have also been upgraded to produce Tunnel Oxide Passivated Contact (TOPCon) and Heterojunction Technology (HJT) solar modules.

These initiatives are set to boost Vikram Solar’s annual nameplate production capacity to 4.5 GW.

Gyanesh Chaudhary, Chairman and Managing Director of Vikram Solar, said the expansion of the Falta and Chennai facilities will enable the company to manufacture high-quality solar modules.

In October last year, Vikram Solar filed its draft red herring prospectus with the Securities and Exchange Board of India to raise funds of up to ₹15 billion (~$173.1 million) through an initial public offering. The company also has an offer for sale of up to 17.45 million equity shares by the promoter group.

Vikram Solar plans to utilize the net proceeds from the fresh issuance for several key investments, including ₹7.93 billion (~$91.5 million) for capital expenditure through its wholly owned subsidiary, VSL Green Power, to establish a 3 GW solar cell and module manufacturing facility.

Additionally, ₹6.03 billion (~$69.6 million) will be allocated to expand the company’s module manufacturing capacity to 6 GW.

The company plans to boost its production capacity to 10.5 GW by FY 2026 and 15.5 GW by FY 2027. This includes the proposed 3 GW solar cell manufacturing facility in Tamil Nadu.

India added 11.3 GW of solar modules and 2 GW of cell manufacturing capacity in the first half of 2024, according to Mercom India’s research report, State of Solar PV Manufacturing in India 1H 2024.

India’s solar module capacity is projected to reach 172 GW, while solar cell capacity will reach almost 80 GW by 2026. Mono PERC technology is expected to remain dominant, accounting for 57.2% of modules and 49.7% of cell production by 2026, followed by advances in TOPCon, HJT, and other technologies.