How Much Does It Cost to Recycle a Solar Module in India? 06 November, 2025 | Circular Economy, Energy Transitions Ajinkya Kale and Akanksha Tyagi Suggested citation: Kale, Ajinkya and Akanksha Tyagi. 2025. How Much Does It Cost to Recycle a Solar Module in India? New Delhi: Council on Energy, Environment and Water. Download Study Download Press Release Overview India’s rapidly increasing solar waste is emerging as a critical challenge for its waste management system. Simultaneously, the country’s expanding solar manufacturing sector is increasing demand for raw materials, most of which are imported. Adopting a circular economy strategy through solar module recycling can address twin issues of reducing waste and import dependence. Currently, commercial module recycling is limited in the country. A comprehensive financial assessment of this sector is crucial to evaluate the associated costs and identify potential revenue opportunities for recyclers. The study proposes targeted actions for policymakers, technology providers, and cell and module producers to establish a cost-effective, reliable and robust recycling industry, thereby creating a circular solar industry. Key Highlights Recycling of solar modules costs between INR 883 and INR 1,079 per module (approximately INR 4.11 to INR 5.02 per watt) in India with high investments and operating costs. Machinery costs have the highest share among the investments, comprising 45-50 per cent of the total. Among operational expenses, module procurement cost has the highest share of 56-68 per cent. Mechanical recycling recovers aluminium, glass, copper, and low-grade silicon. Currently, this pathway is financially unviable, resulting in a loss of about INR 10,230 per tonne (INR 1.05 per watt). Chemical recycling recovers aluminium, glass, copper, high-grade silicon, and the precious metal silver. This pathway is also financially unviable, resulting in a loss of INR 12,431 per tonne (INR 1.26 per watt). If waste modules are available at zero cost for recyclers, then mechanical recycling can generate benefits of INR 17,000 per tonne and chemical recycling can generate benefits of INR 15,000 per tonne. If EPR certificate trading is extended to solar waste, mechanical recycling and chemical recycling could yield a net financial benefit of INR 11,770 per tonne (INR 259 per module) and INR 9,659 per tonne (INR 213 per module) respectively, at 30 per cent of the Environment Compensation as per the E-Waste (Management) Rules 2022.

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06 November, 2025 | Circular Economy, Energy Transitions

Ajinkya Kale and Akanksha Tyagi

Suggested citation: Kale, Ajinkya and Akanksha Tyagi. 2025. How Much Does It Cost to Recycle a Solar Module in India? New Delhi: Council on Energy, Environment and Water.

Download Study

Download Press Release

Overview

India’s rapidly increasing solar waste is emerging as a critical challenge for its waste management system. Simultaneously, the country’s expanding solar manufacturing sector is increasing demand for raw materials, most of which are imported. Adopting a circular economy strategy through solar module recycling can address twin issues of reducing waste and import dependence. Currently, commercial module recycling is limited in the country. A comprehensive financial assessment of this sector is crucial to evaluate the associated costs and identify potential revenue opportunities for recyclers.

The study proposes targeted actions for policymakers, technology providers, and cell and module producers to establish a cost-effective, reliable and robust recycling industry, thereby creating a circular solar industry.

Key Highlights

• Recycling of solar modules costs between INR 883 and INR 1,079 per module (approximately INR 4.11 to INR 5.02 per watt) in India with high investments and operating costs. Machinery costs have the highest share among the investments, comprising  45-50 per cent of the total. Among operational expenses, module procurement cost has the highest share of 56-68 per cent.
• Mechanical recycling recovers aluminium, glass, copper, and low-grade silicon. Currently, this pathway is financially unviable, resulting in a loss of about INR 10,230 per tonne (INR 1.05 per watt).
• Chemical recycling recovers aluminium, glass, copper, high-grade silicon, and the precious metal silver. This pathway is also financially unviable, resulting in a loss of INR 12,431 per tonne (INR 1.26 per watt). 
• If waste modules are available at zero cost for recyclers, then mechanical recycling can generate benefits of INR 17,000 per tonne and chemical recycling can generate benefits of INR 15,000 per tonne.
• If EPR certificate trading is extended to solar waste, mechanical recycling and chemical recycling could yield a net financial benefit of INR 11,770 per tonne (INR 259 per module) and INR 9,659 per tonne (INR 213 per module)  respectively, at 30 per cent of the Environment Compensation as per the E-Waste (Management) Rules 2022.