Mission Statement; Solar Energy Trade Mission to India, February 15-19, 2010, 65755-65758 [E9-29557]

Agencies

• DEPARTMENT OF COMMERCE
• International Trade Administration

[Federal Register Volume 74, Number 237 (Friday, December 11, 2009)]
[Notices]
[Pages 65755-65758]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-29557]


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DEPARTMENT OF COMMERCE

International Trade Administration


Mission Statement; Solar Energy Trade Mission to India, February 
15-19, 2010

AGENCY: Department of Commerce.

ACTION: Amendment.

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Mission Description

    The United States Department of Commerce, International Trade 
Administration, U.S. and Foreign Commercial Service (CS), is organizing 
the second Solar Energy Trade Mission to India from February 15 to 19, 
2010. Led by a senior Department of Commerce official, the mission will 
continue to build on the Department's efforts to open the burgeoning 
Indian solar market to U.S. firms and to position U.S. companies to 
seize export opportunities as India gears up to rapidly expand its 
solar energy capabilities. Ideal trade mission participants will be 
representatives of leading U.S. manufacturers of solar technology, 
including utility-scale technologies such as photovoltaic and 
concentrated solar power, and manufacturers of products such as solar 
street lighting, solar home lighting, and solar water pumping systems. 
The mission will also be open to a limited number of representatives of 
trade associations, councils and groups in the solar energy sector. The 
mission will visit three cities: New Delhi, Bangalore, and Mumbai, 
where participants will receive market briefings and meet with key 
government decision makers and prospective private sector partners 
during customized, one-on-one meetings.

Commercial Setting

    India is facing a critical shortage of energy. Due to its sustained 
economic growth, the country suffers from an energy deficit, which 
stands to worsen as India's economy and population continue to grow. As 
a result of the energy shortage, Indian consumers face frequent periods 
of power outages, and prices for electricity are high. In addition to 
the need for more capacity, the Indian government at both state and 
national levels has begun to recognize the threat posed by global 
climate change. As such, the Government of India (GOI) acknowledges 
that some of the country's energy needs must be met with cleaner 
sources of power. All of these issues have compelled the GOI to move 
forward with an action plan to address its energy needs.
    In 2008, the GOI released its National Action Plan on Climate 
Change (NAPCC), part of which addressed energy needs and particularly 
focused on solar energy as an area of development. Concurrent with the 
development of the NAPCC, three Indian states--Rajasthan, Gujarat, and 
Karnataka--have progressively launched their own efforts to develop 
solar projects. Since the NAPCC was initially released, CS India has 
aggressively worked to facilitate the development of the nascent Indian 
solar market, focusing on the aforementioned states. In March 2009 the 
first U.S. Solar Energy Trade Mission to India took place, which 
brought 14 U.S. companies to India, along with Deputy Assistant 
Secretarial leadership from the Departments of Commerce and Energy, and 
a board member from the U.S. Export-Import Bank. The mission 
successfully introduced U.S. solar energy technology to relevant Indian 
officials, and, as a result of the mission, U.S. firms have signed 
memoranda of understanding to develop 5MW solar projects in Rajasthan. 
Prior to this trade mission Indian officials acknowledged that they 
were not familiar with U.S. solar technologies, and that they believed 
European firms had more proven products. The trade mission helped to 
highlight the strength and cost effectiveness of U.S. technologies--a 
crucial step for positioning U.S. firms in this market.
    As a follow-up to the first trade mission, in July 2009 CS India 
organized a solar finance roundtable in Mumbai, which brought together 
key government decision makers from Rajasthan, project finance bankers, 
and two U.S. energy developers. Lack of project finance options had 
emerged as a stumbling block to the development of utility-scale solar 
power projects in Rajasthan. Roundtable participants addressed critical 
issues such as power purchase agreements, renewable energy purchase 
obligations, transmission line issues and tariff structures, and the 
Rajasthan government officials confirmed that they would put the policy 
mechanisms in place to make the solar projects financially viable.
    Building on the positive momentum to date, CS India approached the 
U.S. Trade and Development Agency to fund an orientation visit to the 
U.S. by officials from Rajasthan. The visit, which will take place 
during October 2009, will coincide with Solar Power International, the 
largest solar industry trade show in the United States. By attending 
this show the Indian officials will be exposed to the variety and depth 
of U.S. solar technologies, and they will visit demonstration sites to 
see firsthand the integration of solar energy into the U.S. power grid.
    The second Solar Trade Mission to India will continue to build on 
the above efforts and will help keep U.S. firms at the forefront of 
this emerging market. In particular, the mission will continue CS 
India's extensive efforts to positively influence policy and will allow 
U.S. manufacturers to weigh in with Indian officials as crucial 
government decisions are soon to be made that will impact the direction 
this market will take.

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    The GOI is poised to release its highly anticipated National Solar 
Plan, which will outline new government initiatives aimed at developing 
solar energy projects. While details of this plan are still being 
finalized, it is expected to mandate at least 20,000MW of solar energy 
generation by 2020, and up to 200,000MW by 2050, and will offer 
government funding and incentives toward that end. The plan will also 
mandate installation of solar rooftop panels for 10,000 government 
buildings, in addition to installing household rooftop solar units in 
one million homes by 2020.
    Price considerations for solar energy have been and will continue 
to be an issue, yet some estimates indicate that solar energy prices 
will reach parity with conventional energy sources in as little as 
three years. Anticipated price parity, coupled with the expected 
government incentives, make it even more urgent that U.S. solar firms 
establish themselves in India right now.
    The second Solar Trade Mission to India will expose participants to 
key officials from the states most ready to move forward on solar 
projects, as outlined below.

Rajasthan

    The state of Rajasthan is deploying a broad, ambitious solar energy 
development framework. According to studies conducted by the U.S. 
Department of Energy, Rajasthan receives the second largest amount of 
solar radiation in the world. State officials have long recognized the 
viability of solar for their energy needs, and they are finalizing 
plans to erect numerous utility-scale projects throughout the state. In 
support of these goals, the state is preparing to formalize the 
critical government policies that are needed to catapult these projects 
off the drawing board. Such policies will include: land availability 
secured by the government; guaranteed assistance with transmission 
lines and interconnection; and, power purchase agreements ensuring that 
all power produced by solar projects will be purchased at pre-
determined rates. Projects totaling 56MW have been allocated to 
different developers, including two separate 5MW projects to U.S. 
developers. In addition, the Asian Development Bank is funding 
construction of a 50MW solar project in the state, and this project 
will be open to competitive bidding. The state has a long-term vision 
to establish itself as a global hub for solar energy production, and it 
is important that U.S. firms are present as this market moves forward. 
Opportunities for U.S. exports associated with these projects will 
include concentrated solar power technologies, photovoltaic equipment, 
rooftop solar installations, and household solar photovoltaic 
equipment.

Gujarat

    After Rajasthan, the state of Gujarat receives the second largest 
amount of solar radiation in India. Gujarat state officials are moving 
quickly to facilitate the development of solar energy projects, and in 
August 2009 they approved a range of projects totaling 716MW allocated 
to thirty-four different project developers, four of which are U.S. 
firms. Because these allocations have recently been made, time is of 
the essence. Many of the project developers are still in the process of 
selecting their technical partners, and U.S. firms will lose out to 
European competitors if they are not here soon to cultivate these 
partnerships. In support of the above solar efforts, Gujarat will 
develop the appropriate power purchase agreements and price guarantees, 
and will guarantee to lay power lines from the solar substations to the 
main grid. Land is already being set aside for these projects. Gujarat 
will also mandate that ten percent of all power purchased in the state 
must be from renewable sources, all of which will help develop the 
nascent solar industry. Opportunities for U.S. exports associated with 
these projects will include: concentrated solar power technologies, 
photovoltaic equipment, rooftop solar installations, and household 
solar photovoltaic equipment.

Karnataka

    The State of Karnataka leads the country for solar applications. 
Bangalore has the largest deployment of rooftop solar water heaters in 
the country, generating a daily equivalent of 200 MW, with 60% of the 
city's household and industrial units using solar water heaters. The 
Government of Karnataka (through the Karnataka Renewable Energy 
Development Limited--KREDL) has made roof-top thermal systems mandatory 
for all new residential/industrial structures and has implemented a Rs 
50 (about $1.10) discount (subsidy) for the monthly electric bill from 
the Bangalore Electric Supply Company. KREDL is also setting up two 
demonstration projects of 3MW and 5MW in North and South Bangalore for 
grid-connected solar power systems, which will be India's first grid-
connected solar projects. In addition to these measures, the Karnataka 
state government plans to install solar panels in major state buildings 
and public utilities. Under the recently-announced solar city project, 
the state government is planning to install photovoltaic panels with a 
capacity of 2-5 KW on rooftops of over 10,000 houses, for residential 
use with the leftover energy to be pumped to the state grid. Moreover, 
with its thriving semiconductor industry, experts predict that 
Bangalore will become a solar hub in India. Finally, KREDL just invited 
more bids from solar technology providers to design, finance, build, 
operate and maintain solar/hybrid power plants and collect user fees to 
provide solar energy on a sustainable basis for the requirement of 
village clusters.

Maharashtra

    The state of Maharashtra, home to the city of Mumbai, stands as 
India's commercial and industrial powerhouse. State officials have set 
an ambitious renewable energy purchase target of ten percent. Some of 
this energy will be generated through solar technologies, and the state 
recently announced its intent to develop a 10MW solar thermal power 
plant. The GOI also plans to install solar rooftop systems in 
households and government buildings nationwide, and many firms that 
will implement this plan are located in Maharashtra, making it an ideal 
venue to promote U.S. solar rooftop technologies. Export opportunities 
in Maharashtra include solar thermal systems and rooftop solar energy 
units.

Mission Goals

    The goals of the second Solar Energy Trade Mission to India are to 
help U.S. solar technology companies initiate or expand their exports 
to India by providing introductions to industry representatives and 
potential partners, and by providing networking opportunities, policy 
discussions with the central and state governments, and current market 
information.

Mission Scenario

    The mission will begin in New Delhi, where participants will meet 
with officials from the state of Rajasthan and potential private sector 
partners. Next, the participants will visit Bangalore, where they will 
meet with energy sector entrepreneurs and officials from the state of 
Karnataka. The final stop on the mission will be Mumbai, where 
participants will meet with government and private sector 
representatives from the states of Gujarat and Maharashtra, as well as 
leading Mumbai bankers who are familiar with the solar market and 
interested in providing project finance. The participants will also 
attend policy

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briefings by U.S. Embassy officials, market and commercial briefings by 
the CS, and networking events offering further opportunities to speak 
with local business and government representatives. U.S. participants 
will be counseled before and after the mission by CS India staff. 
Participation in the mission will include the following:
     Pre-travel briefings/webinar on subjects ranging from 
business practices in India to security;
     Pre-scheduled meetings with potential partners, 
distributors, end users, or other local industry contacts in New Delhi, 
Bangalore, and Mumbai;
     Airport transfers in New Delhi, Bangalore, and Mumbai;
     Meetings with Indian government officials; and,
     Participation in networking receptions in New Delhi, 
Bangalore, and Mumbai.

                                           Proposed Mission Timetable
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Sunday, February 14, 2010....  New Delhi
                                  Delegates arrive in New Delhi/check-in and rest overnight.
Monday, February 15, 2010....  New Delhi
                                  Embassy Briefing.
                                  Meetings with Central Government Officials.
                                  Meetings with officials from the state of Rajasthan.
                                  Business matchmaking sessions.
                                  Networking reception.
Tuesday, February 16, 2010...  New Delhi/Bangalore
                                  Business matchmaking sessions in New Delhi.
                                  Travel to Bangalore.
                                  Networking reception in Bangalore.
Wednesday, February 17, 2010.  Bangalore/Mumbai
                                  CS Bangalore market briefing.
                                  Meetings with officials from the state of Karnataka.
                                  Business matchmaking sessions.
                                  Late evening travel to Mumbai.
Thursday, February 18, 2010..  Mumbai
                                  CS Mumbai market briefing.
                                  Meetings with officials from the state of Maharashtra.
                                  Meetings with officials from the state of Gujarat.
                                  Meetings with project finance bankers.
                                  Business matchmaking sessions.
                                  Networking reception.
Friday, February 19, 2010....  Mumbai
                                  Business matchmaking session \1/2\ day.
                                  Departure for the U.S.
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Participation Requirements

    All persons interested in participating in the Solar Trade Mission 
to India must complete and submit an application package for 
consideration by the Department of Commerce. All applicants will be 
evaluated on their ability to meet certain conditions and best satisfy 
the selection criteria as outlined below. A minimum of 8 and a maximum 
of 15 organizations will be selected to participate in the mission from 
the applicant pool. U.S. companies already doing business in India as 
well as U.S. companies seeking to enter the Indian market for the first 
time are encouraged to apply. U.S. trade councils, associations or 
groups in the solar energy sector may also apply to participate in the 
mission.

Fees and Expenses

    After a company or trade organization has been selected to 
participate in the mission, a payment to the Department of Commerce in 
the form of a participation fee is required. The participation fee will 
be $5,200 for large firms and organizations and $4,500 for a small or 
medium-sized enterprise (SME) or small organization, which will cover 
one representative.\1\ The fee for each additional firm representative 
(large firm or SME) is $750. Expenses for travel, lodging, most meals, 
and incidentals will be the responsibility of each mission participant.
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    \1\ An SME is defined as a firm with 500 or fewer employees or 
that otherwise qualifies as a small business under SBA regulations 
(see https://www.sba.gov/services/contracting opportunities/
sizestandardstopics/). Parent companies, affiliates, and 
subsidiaries will be considered when determining business size. The 
dual pricing reflects the Commercial Service's user fee schedule 
that became effective May 1, 2008 (see https://www.export.gov/newsletter/march2008/initiatives.html for additional information).
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Conditions for Participation

     An applicant must submit a completed and signed mission 
application and supplemental application materials, including adequate 
information on the company's products and/or services, primary market 
objectives, and goals for participation.
     Each applicant must also certify that the products and 
services it seeks to export through the mission are either produced in 
the United States, or, if not, marketed under the name of a U.S. firm 
and have at least fifty-one percent U.S. content.

Selection Criteria

     Suitability of the applicant's products or services to the 
Indian market and targeted sector
     Applicant's potential for business in India, including 
likelihood of U.S. exports resulting from the mission
     Consistency of the applicant's goals and objectives with 
the stated scope of the mission
     Past or current export activity or ability to initiate and 
sustain immediate export activities
    Any partisan political activities (including political 
contributions) of an applicant are entirely irrelevant to the selection 
process.

Timeframe for Recruitment and Applications

    Mission recruitment will be conducted in an open and public manner, 
including publication in the Federal Register, posting on the Commerce 
Department trade mission

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calendar (https://www.ita.doc.gov/doctm/tmcal.html) and other Internet 
Web sites, press releases to general and trade media, direct mail, 
notices by industry trade associations and other multiplier groups, and 
publicity at industry meetings, symposia, conferences, and trade shows. 
CS India will work in conjunction with the CS Pacific South Network, 
which will serve as a key facilitator in establishing strong commercial 
ties to the U.S. solar industry nationwide. Recruitment for the mission 
will begin immediately and conclude no later than December 31, 2009. 
Applications received after December 31, 2009, will be considered only 
if space and scheduling constraints permit.

Contacts

U.S. Commercial Service India:

Ms. Preetha Nair, U.S. Commercial Service, New Delhi, Tel: 91-11-
23472347, E-mail: Preetha.Nair@mail.doc.gov,
Mr. Vaidyanathan Purushothaman, U.S. Commercial Service, Chennai, Tel: 
91-44-28574031, E-mail: Vaidyanathan.Purushothaman@mail.doc.gov.
Mr. P. Srinivas, U.S. Commercial Service, Mumbai, Tel: 91-22-22652511, 
E-mail: P.Srinivas@mail.doc.gov.

U.S. Commercial Service Export Assistance Centers:

Ms. Cynthia Torres, U.S. Commercial Service, Coachella Valley (Indio), 
Tel: 760-342-1310, E-mail: cynthia.torres@mail.doc.gov.
Mr. Richard Swanson, Pacific South Network Director, Newport Beach, 
Tel: 949-660-1688, ext. 153, E-mail: Richard.swanson@mail.doc.gov.

Sean Timmins,
Global Trade Programs, Commercial Service Trade Missions Program.
[FR Doc. E9-29557 Filed 12-10-09; 8:45 am]
BILLING CODE 3510-FP-P