You are here: Home » Markets » Commodities » Energy
Business Standard

India complains to WTO against US on renewable energy

India's complaint is on the grounds that subsidies are inconsistent with world trade norms

Topics
Wto

IANS  |  New Delhi 

Image courtesy: Gamesa
Image courtesy: Gamesa

India has moved the World Trade Organisation (WTO) against the subsidy given by eight US states in renewable under American domestic content requirements, the Commerce Ministry said on Tuesday.

"We have sought consultations with the US on the matter," a senior Indian official said here.

"India has requested consultations with the US under the dispute settlement system regarding alleged domestic content requirements and subsidies provided by eight US states in the renewable sector," the earlier said in a statement in Geneva, regarding the Indian complaint filed last week.

The eight US states are - Washington, California, Montana, Massachusetts, Connecticut, Michigan, Delaware and Minnesota.

India's complaint is on the grounds that subsidies are inconsistent with world trade norms because they provide less favourable treatment to imported products.

According to rules, if consultations fail to resolve the dispute within 60 days, the complainant may request adjudication by a panel.

The US had, in 2013, brought a complaint against India before the on similar grounds, alleging violation of global trading rules.

A WTO panel ruled earlier this year that India's domestic content requirement under its national solar programme is inconsistent with its treaty obligations.

The programme, launched in 2010, mandates that a solar power producer compulsorily source a certain percentage of solar cells and modules from local manufacturers in order to be able to benefit from the government guarantee to purchase the produced.

US and the European Union have taken anti-dumping measures also against cheaper Chinese solar panels in order to protect their own industries, as pointed out to IANS in an interview here earlier this month by Chinese major Trina Solar's President Helena Li.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Tue, September 13 2016. 09:10 IST
RECOMMENDED FOR YOU
.