Government Proposes ALMM Mandate for Solar Cells by April 2026
Stakeholders can submit their comments and suggestions by October 6, 2024
September 9, 2024
The Ministry of New and Renewable Energy (MNRE) has issued a draft amendment to the Approved List of Models and Manufacturers (ALMM) Order to include solar cells in the ALMM framework. The final list is expected to be operational by April 2026.
Stakeholders can submit their comments and suggestions by October 6, 2024.
The ALMM framework was first introduced in January 2019, focusing on regulating the quality of solar modules. The ALMM List-I specifies the approved models and manufacturers of solar modules. However, despite initial provisions for a separate list for solar cells (List-II), this list was never issued, largely due to India’s low domestic manufacturing capacity. As the country gears up for a massive expansion in solar cell production, MNRE is now moving forward with plans to introduce List-II.
The draft amendment proposes that List II, which specifies approved models and manufacturers of solar cells, will be issued by 2026. This aligns with the government’s push to bolster domestic manufacturing capacity and reduce import dependence.
Once the List-II is effective from April 1, 2026, all solar projects falling under ALMM’s purview will be mandated to use solar modules listed in ALMM List-I, and these modules must use cells listed in ALMM List-II.
Projects with a bid submission date before the issuance of the List-II order will be exempt from the requirement of using ALMM-approved solar cells.
Projects bid out after the issuance of the amendment, including those under Section 63 of the Electricity Act 2003, must adhere to the new requirements. This includes a mandatory clause in their tender or Request for Selection documents stating that both modules and cells used in the projects must come from manufacturers enlisted in ALMM List-I and List-II unless the projects are commissioned before April 2026.
Solar modules currently listed under ALMM List-I that do not comply with the requirement of using ALMM List-II-approved solar cells after the April 2026 deadline will risk being delisted.
The Ministry expanded the ALMM by adding 4,089 MW of new solar module capacity. The cumulative module manufacturing capacity under ALMM now stands at 54,706 MW.
In a recent update to the ALMM Order, MNRE revised the guidelines for the inspection and final enlistment of provisionally listed manufacturers. According to the new rules, the final enlistment must be completed within two months of the application. If the National Institute of Solar Energy has conducted the inspection but MNRE has not yet received the recommendation, the provisional enlistment will automatically become final after two months.