Open letter to Adani, Waaree & Vikram

Dear Jayantbhai, Hiteshbhai and Gyanesh

 (This is an Open Letter to you all).

My two-penny worth thoughts would be akin to the proverbial showing of the lamp to the Sun (with apologies too). Nevertheless, I would still risk doing so.

I am writing this email with the sole objective of requesting you leaders to grow together, rather than grow at the cost of each other (including other stake holders in the solar eco-system).

- The core thought - Businesses (and companies) grow when the market expands, when demand grows, and NOT during regimes of protectionism. I am sure, you tasted success because of DCR projects during 2015 and 2016. But, growth could also have been because of market expansion during those years (may be, a little lesser in percentage terms without DCR).

- Demand started falling since October, 2016, after which state/NTPC tenders started showing a downtrend. The effects were felt in 2017. Tender flow has reduced further in 2017, and this will felt more during 2018. If tenders get delayed or dry up in 2018, the effects would be worse in the following years.

- Protectionism, driven by penal import duties, will further curtail the market.

- The crux of the 80:20 market rule is that you will succeed 20% of the time in sales, if you have a well-defined target audience of 100%. Now, if the size of the target customers reduces, the absolute numbers that the 20% delivers to you too will reduce. In plain words, 50 customer orders out of 1000 customers is better than 20 customer orders out of 100 customers.

- We all are well-aware of the aftermath of market curtailment that happened in Germany. We all know what happened to Indian cell manufacturers when there was no local market.

- One thought on macro-economics and GDP: Indian industry and businesses in general are losing out in the global marketplace partially because of high cost of power. In case we reduce power costs for the end consumers using solar technologies, they will succeed. With their success, India's GDP and tax collection will rise. More jobs will get created across ALL industries and businesses. "Make-In-India" programme will truly succeed when jobs get created across all sectors.

Request to you all gentlemen:

- I remember an earlier effort when, at Waaree and at Vikram, we tried to expand the base of the Indian Solar Manufacturers' Association, to bring in more stakeholders, to further the business cause of the entire sector. Let us take this further. Let developers, investors and even power consumers have a say, as associate members (if not as normal members). May be, this will even help you define strategies to successfully compete against Chinese manufacturers.

- Get rid of the "fear" and "uncertainties" of duties that are effectively delaying projects and investments.

- Look at the power and influence of the Indian Wind Power Association. As an association, they challenge tenders, they challenge discoms, they challenge ERC orders. Why can't solar do the same?

- Let us understand - Is our real fight with our competitors or with discoms and regulators? Success in which battle will generate more business for us? This is the key.

- Lastly, even if the major module manufacturers become cell manufacturers, the challenge of technology evolution will always bog you down. Duty-based protectionism will not take away the risks associated with technology obsolescence.

Once again, apologies for making this an Open Letter. And, With wishes and prayers for your continued success.

Regards