Websol Gears Up for Expansion and Generational Shift in Solar Manufacturing

Websol, recognized as India’s oldest solar module manufacturer, is undergoing a major leadership and operational transition. Octogenarian Managing Director Sohan Lal Agarwal is passing operational responsibility to his 29-year-old granddaughter, Executive Director Sanjana Khaitan. Alongside this generational change, the company is executing multi-phase capacity expansions at its manufacturing hub in the Falta Special Economic Zone (SEZ) near Kolkata, while refining its approach to module fabrication and state-level investments.

What Happened

Founded in 1990, Websol initially entered the sector with a 1 MW module facility built to supply an Italian client. Decades later, the company is scaling its domestic manufacturing infrastructure and reshaping its operational footprint. While Agarwal continues to provide strategic direction, Khaitan is directly overseeing plant operations and project rollouts.

As part of its capital allocation strategy, Websol announced it will not proceed with an earlier proposed ₹3,538 crore investment in Naidupeta, Andhra Pradesh, which had been announced in January. Management cited a shifting political landscape in West Bengal and active industrialization initiatives by the state government as key reasons to concentrate resources locally. However, the company indicated that it still intends to pursue initiatives in Andhra Pradesh at a later stage.

Key Highlights

• Cell Capacity Additions: Websol currently operates two cell manufacturing lines with a capacity of 600 MW each. The second line is being expanded to 750 MW while upgrading from mono-PERC to TOPCon technology, raising combined cell capacity to 1.35 GW by January 2027.
• Line-III Development: The company is constructing an additional 2.2 GW cell line (Line-III), with production targeted for 2027, driving toward an aggregate target of 5.35 GW by 2028.
• Ingot and Wafer Plans: Websol intends to deploy ₹2,200 crore toward creating a 5 GW ingot and wafer manufacturing capacity, though specific timelines have not yet been established.
• Decentralized Module Strategy: Websol maintains a module manufacturing capacity of 550 MW but is opting against matching it directly to cell capacity. Instead, management favors a partnership model, having previously engaged in discussions with Chennai-based Swelect Energy Systems.
• Financial Metrics: The company recorded a turnover of ₹373 crore in the first quarter of 2026-27, delivering an EBITDA margin of 34 percent and a net profit margin of 21 percent.

Why This Matters

Websol’s manufacturing model diverges from prevailing industry practices. While many solar producers favor fully integrated production facilities where cells and modules are manufactured together, Agarwal advocates for centralized cell fabrication paired with decentralized module assembly. Under this framework, cells can be produced at scale centrally while modules are assembled closer to end markets, avoiding the logistical challenges and costs associated with transporting bulky finished modules over long distances.

The current expansion also marks a recovery from earlier industry cycles. In 2009–10, during an industry downturn, Websol faced potential asset auctions by lenders. The company negotiated a one-year repayment window and sustained operations through a four-year contract manufacturing arrangement with Chinese firm Renesola, enabling it to clear its financial obligations and reposition for long-term growth.

What to Watch Next

Key forthcoming developments for Websol include the completion of the Line-II TOPCon conversion to achieve 1.35 GW cell capacity by January 2027, followed by the planned operational readiness of the 2.2 GW Line-III within 2027. Observers will also track the finalization of timelines for the ₹2,200 crore ingot and wafer project, future tie-ups for decentralized module assembly, and any eventual project proposals in Andhra Pradesh.

Frequently Asked Questions

Who is leading Websol’s day-to-day operations?

Executive Director Sanjana Khaitan, granddaughter of Managing Director Sohan Lal Agarwal, manages operations, while Agarwal continues to set strategic direction.

Why did Websol cancel its planned investment in Andhra Pradesh?

Managing Director Sohan Lal Agarwal indicated that the company chose to focus on West Bengal due to comfort with the local operating environment and active government engagement, leading to the decision not to move forward with the ₹3,538 crore project in Naidupeta.

What is Websol’s module manufacturing strategy?

Rather than building vast in-house module capacity to match its multi-gigawatt cell lines, Websol prefers to utilize a partnership model for decentralized module fabrication, reducing the need to transport finished modules across the country.

Source: The Hindu BusinessLine