more-inIndia and the U.S. have been filing a number of disputes against each other, challenging the other’s domestic content requirement in the renewable energy sector. The WTO found that the mandatory domestic content requirement under JNNSM violated the National Treatment provision of Article III:4 of the WTO agreement. The Indian government has significantly reduced the domestic content requirement after the initiation of proceedings at the WTO. At the beginning of the mission, the domestic content requirement in the auctioned contracts was as much as 50% of the total output generating capacity. The reasons stated by India include that the eight U.S. states were giving “performance-based incentives” for generating renewable energy.
Source: The Hindu February 27, 2017 18:55 UTC