Enphase Energy, engaged in the development and manufacture of solar micro-inverters for residential and commercial purposes, plans to broaden its product line and sell lithium-ion batteries by the year-end in India.
Following the launch of its battery in Bengaluru and Kochi, the company has received pre-sales orders and anticipates continued growth, having doubled its revenue in India from the previous year.
Raghu Belur, SVP, Co-Founder, Chief Products Officer, Enphase Energy, said, “India’s story is much broader than Enphase’s international story, and hence we are broadening our product base from solar inverters and adding lithium-ion batteries for India.”
The company manufactures lithium-ion batteries at a third-party manufacturing facility in the US. Belur indicated that the company could establish a manufacturing plant in India in the future, stating, “If India is going to be a big battery market, which I think it will be, we will consider setting up a battery plant there as well,” he told businessline.
The Balancing Act
Sourcing lithium for batteries presents challenges as China controls a large portion of the global supply chain. With the lion’s share of lithium deposits concentrated in countries such as Australia, Chile, China, Argentina, and Brazil, China has emerged the dominant processor in this space.
While Enphase plans to sell Lithium-ion-phosphate batteries, Belur acknowledged the company’s focus on diversification and innovation, and said, “We continuously adapt and select the best available options,” said Belur. “Balancing these factors is crucial, and we remain open to adopting new technologies as they emerge.”
Belur also highlighted the need to diversify the supply chain. “Initially, Enphase’s manufacturing was based in China. Now, while some production remains there, China is one of its smallest markets, with the majority of its manufacturing now taking place in the US.
The California-headquartered company, which has a 55 per cent market share in the US, has recorded double-digit growth in Europe, and considers India a key market for renewable energy. With increased support from the Indian government through initiatives like the SuryaGhar programme, Enphase sees significant expansion opportunities in India, noted Belur.
The company has manufacturing facilities in the US, Mexico, China, and India. Its plant in Chennai, India, produces microinverters with an annual capacity of six million units, which are exported to markets in the US, Brazil, South-East Asia, and Europe. Additionally, the company’s R&D centre in Bengaluru drives Enphase’s technology and engineering development. Enphase has shipped 73 million microinverters to over 150 countries